Japan to fund Fukushima decontamination via sale of government shares in Tokyo Electric Power Co.

December 20
4:16 AM 2013

Japan's government will assume decontamination costs from the 2011 Fukushima nuclear meltdowns via the sale of its shares in Tokyo Electric Power Co. (TEPCO). TEPCO is the operator of the wrecked plant.

Bloomberg, citing a statement by Nuclear Emergency Response Headquarters (NERH), said that the decontamination costs near the Fukushima site are estimated at about ¥2.5 trillion ($24 billion). The Japanese government aims to recover the costs through the sale of its shares in TEPCO.

The measure is part of a package unveiled by Prime Minister Shinzo Abe's government to accelerate the rebuilding of the Fukushima region, the report said.

NERH clarified that while the Fukushima clean-up and rebuilding responsibilities rest on the Japanese government, TEPCO will be responsible for compensation claims arising from the disaster. The Fukushima disaster, brought about by a record earthquake and resulting tsunami, has left tens of thousands homeless, Bloomberg wrote.

Meanwhile, the cost of an interim storage facility for radiation-contaminated soil near Fukushima is estimated at about ¥1.1 trillion. Japan's government will also raise the ceiling on loans to TEPCO to ¥9 trillion from ¥5 trillion, NERH said in a statement. 

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