Japanese nuclear plants to spend $24bn on safety

13 August 2015 (Last Updated August 13th, 2015 18:30)

Eleven nuclear plant operators in Japan are likely to spend JPY3tn ($24bn) on reinforcing the safety of the country's atomic power facilities.

Eleven nuclear plant operators in Japan are likely to spend JPY3tn ($24bn) on reinforcing the safety of the country’s atomic power facilities.

According to anonymous sources in the industry, safety measures will include the installation of breakwaters and ensuring the availability of emergency power sources.

The nuclear firms will also need to implement anti-terrorism measures within July 2018, reported The Japan Times.

"The firm expects a monthly improvement of JPY7.5bn ($60.1m) on its balance sheet for each reactor."

These safety measures, although increasing expenses for the companies, will be mandatory in order to win regulatory approvals for the nuclear reactor restarts.

Japanese authorities have thus far approved restarts for five units out of the 25 applications, submitted by 11 companies.

Kyushu Electric Power has already restarted operations for reactor No 1 at the Sendai nuclear power facility. The second reactor at the plant is expected to be operational in mid-October.

Following the restart, the firm expects a monthly improvement of JPY7.5bn ($60.1m) on its balance sheet for each reactor.

Japan halted nuclear power generation at 48 facilities after the 2011 Fukushima disaster, and now the country is seeking ways to recommence the reactors and increase power generation.

Fossil fuels imported to meet the country’s energy demands have been negatively affecting its economy, and long-term suspension of power generation after the March 2011 disaster could force energy companies to consider rate increases.