Japan’s current Nuclear Energy Policy
Hirobumi Kayama
Agency for Natural Resources and Energy, METI
March, 2015
1. Nuclear Energy Policy in the New Strategic Energy Plan of Japan
2. Efforts and Challenges of Japanese Nuclear Energy Policy
2-1. Efforts toward Decommissioning and Contaminated Water Management
of TEPCO’s Fukushima Daiichi NPS
2-2. Existing Light Water Reactors
2-3. Reconstruction of Safety Culture
2-4. Promotion of Strategic Development of Technologies and Human
Resources
2-5. Nuclear Fuel Cycle and Fast Reactor R&D
2-6. Establishment of Appropriate Business Environment under the More
Competitive Market
Table of contents
2. Basic policy regarding measures concerning energy supply and demand
1. Issues related to the energy supply-demand structure in Japan
① Concerns over the safety of nuclear power generation and deteriorated public confidence in the
government and operators
② Outflow of national wealth and increase in dependency on the Middle East, price of electricity and
greenhouse gas emission in Japan due to higher dependency on fossil fuels
③ North America's move toward independency of its energy supply by the shale-gas revolution and
widening gap of regional energy prices in the world
・We will do our utmost to achieve the reconstruction and recovery of Fukushima while reflecting on the
pains felt by the people affected by the accident at TEPCO’s Fukushima nuclear accident. Needless to
say, that is the starting point for rebuilding Japan’s energy policy.
Introduction
① To pursue "Energy Security", "Economic Efficiency" and "Environment" on the premise of "Safety" as
the basic viewpoint, in consideration of "global viewpoint" and "economic growth“
② "Multilayered" supply structure where the strength of each energy source is to be maximized by
appropriately offsetting each other's weakness
③ More "flexible and efficient" energy supply-demand structure where various options are to be prepared
by various suppliers 2
<Description in the Strategic Energy Plan of Japan>
1. Nuclear Energy Policy in the New Strategic Energy Plan of Japan
Decided by the Cabinet in April, 2014
Nuclear power is an important base-load power source as a low carbon and quasi-domestic energy source, contributing to stability of energy supply-demand structure, on the major premise of ensuring of its safety, because of the perspectives;
i. superiority in stability of energy supply and efficiency,
ii. low and stable operational cost and
iii. free from GHG emissions during operation.
<Description in the Strategic Energy Plan of Japan>
3
1. Nuclear Energy Policy in the New Strategic Energy Plan of Japan
Ref.) Constitution of Electric Power Supply Corresponding to Demand
Dependency on nuclear power generation will be lowered to the extent possible by energy saving and introducing renewable energy as well as improving the efficiency of thermal power generation, etc. Under this policy, GOJ will carefully examine a volume of electricity to be secured by nuclear power generation, taking Japan’s energy constraints into consideration, from the viewpoint of stable energy supply, cost reduction, global warming and maintaining nuclear technologies and human resources.
<Description in the Strategic Energy Plan of Japan>
4
1. Nuclear Energy Policy in the New Strategic Energy Plan of Japan
○In light of the evaluation of characteristic of each energy source, GOJ will show the energy mix quickly after assessing the prospects for the restart of nuclear power plants, status of introduction of renewable energy and international discussions on global warming including those for the Conferences of the Parties (COP)
○GOJ has started discussion on the energy mix in the Advisory Committee for Natural Resources and Energy and established a new experts’ Working Group to examine cost of each power source.
December 25, 2014
Secretariat of the Team for Countermeasures for Decommissioning and Contaminated Water Treatment
On December 22, 2014, all fuel
removal from Unit 4 was completed. Fuel removal from Unit 4 SFP
commenced on November 18, 2013.
Removal of spent fuel assemblies was
completed on November 5, 2014, and
removal of non-irradiated fuel assemblies
was completed on December 22, 2014.
Main works and steps for decommissioning
Fuel removal from Unit 4 SFP has been completed. Preparatory works to remove fuel from Unit
1-3 SFP and fuel debris* removal are ongoing.
Fuel Removal
from SFP
Fuel Debris
(Corium) Removal
Dismantling
Facilities
Storage and
handling Fuel removal
Installing
FHM*
Rubble removal
& dose reduction
Storage and handling
Fuel debris removal
Stop leakage Dose reduction
& Leakage
identification
Dismantling
Design &
Manufacturing
of devices/
equipment
Scenario
development
& technology
consideration
Unit 4 Unit 3 Unit 1&2
FHM*: Fuel-Handling Machine Unit 1-3
Unit 1: FY2017 Fuel removal will start (under consideration)
Unit 2: After FY2017 Fuel removal will start (under consideration)
Unit 3: FY2015 Fuel removal will start (planned)
Unit 4: 2014 Fuel removal was completed
After FY2017
Water stoppage of PCV lower
part (under consideration)
*Fuel assemblies melted through in the accident.
Fuel removal from SFP
移送済み燃料(体)
1533/1533 Fuel removal has been completed on
December 22nd, 2014
(Fuel-removal operation)
5
2-1. Efforts toward Decommissioning and Contaminated Water Management of TEPCO’s
Fukushima Daiichi NPS
December 25, 2014
Secretariat of the Team for Countermeasures for Decommissioning and Contaminated Water Treatment
Freezing plant
Three principles behind contaminated water countermeasures
1. Eliminate contamination sources
2. Isolate water from contamination
(1) Multi-nuclide removal equipment
(3) Pump up ground water for bypassing
(4) Pump up ground water near buildings
(5) Land-side frozen walls
(6) Waterproof pavement
(7) Soil improvement by sodium silicate
(8) Sea-side impermeable walls
(9) Increase tanks (welded-joint tanks)
(2) Remove contaminated water in the trench*
*Underground tunnel containing pipes.
3. Prevent leakage of contaminated water Multi-nuclide removal equipment (ALPS) • This equipment removes radionuclides
from the contaminated water in tanks, and reduces risks.
• It aims to reduce the levels of 62 nuclides in contaminated water to the legal release limit or lower (tritium cannot be removed.)
• Furthermore, additional multi-nuclide removal equipment is installed by TEPCO (operation started September 2014) as well as a subsidy project of the Japanese Government (operation started October 2014.)
Land-side impermeable walls with frozen soil • The walls surround the buildings with frozen
soil and reduce groundwater inflow into the
same. • On-site tests have been conducted since last August.
Construction work started in June and the freezing
operation will start within FY2014.
• The walls aim to prevent the flow of
contaminated groundwater into the sea. •Installation of steel sheet piles is almost (98%)
complete. The closure time is being coordinated. (Length: approx. 1,500m)
Impermeable walls with frozen soil
Sea-side impermeable walls
6
2-1. Efforts toward Decommissioning and Contaminated Water Management of TEPCO’s
Fukushima Daiichi NPS
2-2. Existing Light Water Reactors
1. On the premise that safety comes before everything else and that every possible effort is made to resolve the people’s concerns, judgment as to whether nuclear power plants meet the new regulatory requirements will be left to the Nuclear Regulation Authority (NRA)
2. In case that the NRA confirms the conformity of nuclear power plants with the new regulatory requirements ,which are of the most stringent level in the world, GOJ will follow NRA’s judgment and will proceed with the restart of the nuclear power plants.
3. Examining an appropriate business environment, where nuclear power operators can realize smooth decommissioning, prompt safety measures, stable supply of electricity, etc. under the liberalized electricity markets.
<Description in the Strategic Energy Plan of Japan>
7
8
Nuclear Power Plants in Japan (As of March, 2015)
2-2. Existing Light Water Reactors
**Based on “the Basic Act on Disaster Control Measures” and “the Act on
Special Measures concerning Nuclear Emergency Preparedness”
Preparation and enhancement of the disaster prevention and evacuation plan
*Not required by the nuclear reactor law
Safety Reviews and Inspections process of NRA
Local acceptance process * No legal requirements
Local acceptance process
Disaster prevention and evacuation plan
*Not a legal
prerequisites for restart
Date Reactor Applicant
Sep. 10th 2014
Sendai NPS, Unit 1 and 2
Kyusyu Electric Power
Feb. 12th 2015
Takahama NPS, Unit 3 and 4
Kansai Electric Power
Permitted reactors
Review of basic design and
concept (for permission of reactor
installment license change)
Review of detailed
design (for approval of
construction works plan)
Assessment of Operation
management systems, etc.
(for approval of operational safety programs
Outline of processes for restart of NPPs
2-2. Existing Light Water Reactors
10
2. Disaster prevention and evacuation plan • A regional disaster prevention plan (including evacuation plan) against nuclear disaster should be
formulated by local authorities based on the Basic Act on Disaster Control Measures.
• Although formulation of regional disaster prevention plan is not a legal requirement for restart, the plan is important to ensure safety of local residents. The government supports local authorities to make a sufficient plan.
• Kyushu Electric Power submitted its application to make changes to the reactor installment license of Sendai NPS Unit 1 and 2 in July 2013.
• NRA compiled a draft evaluation report in 16th July 2014 which admits that Sendai NPPs satisfies new regulatory requirements.
• After the public comment process (until 15th August) and reviewing of the submitted opinions, NRA granted a permission(changes to the reactor installment license) in 10th September for the basic design and safety features of Sendai NPPs.
• Sendai NPPs can be restarted after i) acquiring approval of the detailed design and construction of the nuclear reactors and ii) completing pre-service inspection of operational safety programs.
1. NRA’s Safety Review Sendai NPP
18,600 page document was reviewed & 62 review meetings were held for 110 hours
3. Local Consent of the restart of Sendai NPPs • Both the governor of Kagoshima prefecture and Mayor of Satsumasendai City, hosting Sendai NPPs,
approved the restart of the NPPs, which means the local consent process was completed for those two reactors.
(Ref) Efforts towards restart of Sendai NPPs
1. Nuclear industry as well as GOJ must shed the so-called “safety myth”, and
pursue the world’s highest level of safety for operations through continuous and
voluntary safety improvement.
2. The industrial circles, including nuclear operators, need to set up business
schemes to persistently pursue safety and make efforts to foster safety culture
that places top priority on the safety of nuclear facilities.
3. Each nuclear power operator, with a firm resolve that it will never let another
nuclear accident to happen, should establish an appropriate risk management
system and implement objective and quantitative risk assessments such as
probabilistic risk assessment (PRA).
11
<Description in the Strategic Energy Plan of Japan>
2-3. Reconstruction of safety culture
A METI’s Advisory Committee published the proposals on what the industry’s initiative to voluntarily improve safety should look like were on 30th of May 2014.
12
Proposals for Voluntary and Continuous Improvement of Nuclear Safety (May 30, 2014)
(1)Implementation of risk management under an appropriate risk governance framework
(2)Activities required to be implemented based on lessons learned from the accident at TEPCO’s Fukushima Daiichi NPS as the starting point
①Implementation of exhaustive and comprehensive risk assessments including low-frequency events
②Reduction of residual risk through strengthening “defense in depth”
③Identifying the accident sequences and cliff edges at each plant, focusing on external events such as earthquakes and tsunamis, which are particular to Japan’s geographical conditions, and improving resilience including response to, and recovery from unexpected incidents that are not properly addressed by the existing ordinary system
④Reorganization of research for improving the safety of light-water reactors that are commercially operated in Japan and reinforcement of research coordination among organizations at home and abroad
(3)Attitudes especially required to steadily proceed with these activities and have them take root
①Creation of an organizational culture with a critical mind and power of imagination concerning residual risks
②Swiftly introducing state-of-the-art information and opinions from both home and abroad, and making Japan’s efforts known overseas
③Involvement of external stakeholders
④ Improving human and intelligence bases across industr
⑤ Sharing roadmaps to be constructed by each industrial actor based on the WG’s proposals and pursuing for the overall optimization through constantly monitoring actions based on the roadmaps and continuously revising the roadmaps
2-3. Reconstruction of safety culture :
Proposals for Voluntary and Continuous Improvement of Nuclear Safety
Outline of NRRC
- Established within the Central Research Institute of Electric Power Industry (CRIEPI) on October 1,2014 (Number of staff: About 110)
- Utilizing PRA, this center is to perform R&D of safety-enhancing technologies which is beyond merely fulfilling regulatory requirements and to examine and propose effective problem-solving measures at individual plant, etc.
- The authorities of nuclear safety with strong leadership experience were invited to serve as the NRRC’s executives.
Head: Dr. George Apostolakis
Executive Advisor: Dr. Richard A. Meserve
Chairman of Technical Advisory Committee: Mr. John W. Stetkar
13
2-3. Reconstruction of safety culture :
Establishment of the Nuclear Risk Research Center (NRRC)
Ref.) Role of NRRC
14
To support utilities, NRRC will - Develop modern PRA methodologies and infrastructure - Investigate mechanism, frequency and consequences of external natural hazards - Continuously be aware of and identify new risks
Production cycle of NRRC R&D outcomes
Issues to be solved to continuously improve
safety
Utilize NRRC’s R&D outputs to risk-informed decision
making
Utility’s Risk Management process
Continuous safety improvement
Outcomes 1
Gap Analysis
Identify what should be done by NRRC until when
Develop research plan/roadmap NRRC
resources
Do R&D
Produce R&D outputs
Confirm utilities’ efforts
Outcomes
2 Center of excellence
methodology model data
knowledge Skilled researchers
Trust from stakeholders
Outcomes 3
NRRC Utilities Stakeholders
Institutions - International - domestic
state-of-practice state-of-the-art
Information
release
Presentation Material of Dr. Apostlakis
Working Group on Voluntary Improvement of Safety,
Technology and Human Resource (The 5th Meeting)
2-4. Promotion of Strategic Development of Technologies and Human
Resources
1. Maintaining and developing high-level nuclear technologies and human resources is imperative for smoothly decommissioning aged nuclear power plants, which are expected to increase in the future, as well as TEPCO’s Fukushima Daiichi Nuclear Power Plants.
2. Because enhancing the nuclear safety in surrounding countries ensures the safety of Japan, maintaining and developing high-level nuclear technologies and human resources which enable Japan contribute to their safety enhancement is essential.
3. GOJ promotes the development of technologies that contribute to safety improvement of LWRs including countermeasures against severe accidents and enhance their reliability and efficiency in order to reduce risks in case of an accident.
4. Under international cooperation, GOJ also facilitates R&D of nuclear technologies that serves the safety improvement of nuclear use, such as high-temperature gas-cooled reactors which are expected to be utilized in various industries including hydrogen production and which has an inherent safety.
15
<Description in the Strategic Energy Plan of Japan>
16
2-4. Promotion of Strategic Development of Technologies and Human
Resources: Basic Policy for Formulation of Light Water Reactor Safety
Technology and Human Resource Roadmap
A METI’s Advisory Committee has conducted an active discussions for formulating the “Light Water Reactor Safety Technology and Human Resource Roadmap” in April or May 2015.
○ “Light Water Reactor Safety Technology and Human Resource Roadmap” should be formulated in full consideration of the lessons learnt from the experiences of the accident at TEPCO’s Fukushima Daiichi Nuclear Power Station, so that the public can feel confident of safety of light water reactors.
○ In order to define items of technology development and to maintain and develop human resources to
support these items, firstly we need to present challenges in realizing enhancement of the public confidence in the safety of the light water reactors and safe and continuous use of the reactors; then we need to reconstruct the roadmap by reviewing the priority of the existing technology development and schedule, with considering whether they can contribute to resolve the challenges.
○ Also, “Light Water Reactor Safety Technology and Human Resource Roadmap” should be able to
realize the optimal approach, by clarifying roles among the parties concerned such as academic societies, the government, operators, manufacturers, and research institutes; and by eliminating overlapping of roles in Japan as a whole. Furthermore, in order to obtain the highest level of outcomes with eliminating overlapping of the roles in research and development, elements of necessary international collaborative researches should be actively incorporated into the roadmap, in full consideration of the trend of the global research and development and human resource development.
<Description in the Basic Policy for Formulation of the Roadmap>
1. GOJ will make efforts to reduce the volume and harmfulness of radioactive waste and create a nuclear fuel cycle that contributes to effective utilization of resources while adequately taking the past history into consideration and continuing to seek the understanding of relevant municipalities and the international community and will promote reprocessing and plutonium use in LWRs.
2. Specifically, GOJ will promote plutonium use in LWRs, and proceed with such measures as completion of the Rokkasho reprocessing plant, construction of a MOX fuel processing plant, and completion of the Mutsu interim storage facility on the underlying premise of ensuring safety. GOJ remains committed to the policy of not possessing reserves of plutonium without specified purposes. Also GOJ will promote R&D of fast reactors, etc., through international cooperation with the U.S. and France etc.
3. GOJ will position Monju as an international research center for technological development, such as reducing the amount and toxic level of radioactive waste and technologies related to nuclear nonproliferation. GOJ will take necessary measures for issues to be overcome , such as the re-establishment of systems to implement the above mentioned actions on its own responsibility.
<Description in the Strategic Energy Plan of Japan>
17
2-5. Nuclear Fuel Cycle and Fast Reactor R&D
Electric utilities have aimed to utilize MOX fuel in 16 to 18 NPPs until 2015.
Considering when the NPPs restart and starting operation of Rokkasho reprocessing plant
(RRP), electric utilities are supposed to show new “Plutonium Utilization Plans” before they
start reprocessing to recover plutonium in RRP.
The Kansai Electric Power Co.Takahama-3 (Fukui pref.)[Applied]
The Chugoku Electronic Power Co.Shimane-2(Shimane pref.)[Applied]
Kyushu Electric Power Co.Genkai-3 (Saga pref.)[Applied]
Shikoku Electric Power Co.Ikata-3 (Ehime pref.)[Applied]
Chubu Electric Power Co.Hamaoka-4(Shizuoka pref.)[Applied]
The Japan Atomic Power Co. Tokai Daini(Ibaraki pref.)[Applied]
Hokuriku Electric Power Co.Shika-1 (Ishikawa pref.)
Hokkaido Electric Power Co.Tomari-3 (Hokkaido) J-POWER
Ohma (Aomori pref.)(under construction)
※Operation started in December 2009 ※Operation started in March 2010
Tohoku Electric Power Co.Onagawa-3 (Miyagi pref.)
TEPCO started to use MOX fuel in Fukushima-Daiichi-3 in Oct.2010, but stopped with the Tohoku Earthquake in 2011.In March 2011, TEPCO announced their decision to decommission Fukushima-Daiichi 1-4.
Got the approval of local governments
Before getting approval of local governments
Already loaded※1
※Operation started in January 2011
The Kansai Electric Power Co.Takahama-4(Fukui pref.)[Applied]
The Kansai Electric Power Co. Ohi(1~2 reactors)(Fukui pref.)
The Japan Atomic Power Co.- Tsuruga (1 reactor)(Fukui pref.)
※1 Using MOX fuel treated in France.
※Tokyo Electric Power co.(TEPCO) have planed to operate in 3~4 reactors which are not specified site.[Applied]: Electric utilities have applied for a conformity assessment with the new regulations to NRA.
(Ref)Plutonium utilization in Japan
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2-6. Establishment of Appropriate Business Environment under the More
Competitive Market
【Exploring an appropriate business environment under the more competitive environment】
Nuclear operators are also required to
1) maintain high-level nuclear technologies and human resources,
2) smoothly go through decommissioning work, which will increase in the future
3) quickly take the best safety measures in response to regulations reinforced after the TEPCO’s Fukushima nuclear accident and
4) contribute to global warming countermeasures and stable electricity supply utilizing base-load power sources.
Therefore, GOJ will explore an appropriate business environment in which nuclear power operators can meet the above challenges even under the more competitive environment promoted by the electricity system reform, learning lessons from the overseas examples.
<Description in the Strategic Energy Plan of Japan>
19
Bills
1st Reform: passed in Extraordinary Diet in 2013
1) Establishment of the Organization for Cross-
regional Coordination of Transmission Operators
(OCCTO)
2) Action programs for 2nd and 3rd Reforms etc.
2nd Reform: Passed in Ordinary Diet in 2014
1) Full retail competition
2) Revision of applicable and regulations associated with the abolishment of General Electricity Utility system
3rd Reform: Ordinary Diet in 2015
1) Legal unbundling of transmission/distribution sectors
2) Code of Conduct
2-6. Establishment of Appropriate Business Environment under the More
Competitive Market : Roadmap for Electricity Market Reform in Japan
小売全面 自由化
(参入自由化)
Nov. 13,
2013
1st refo
rm
Cab
inet D
ecisio
n o
n th
e P
olicy
on
Electricity Syste
m R
eform
Apr. 2, 2013
Cabinet Decision
Abolishment
of retail tariff
Legal unbundling of
transmission
/distribution sector
(※At around 2015:Transition to new regulatory organizations)
【1st Step】
2015
【2nd Step】
2016
【3rd Step】
2018-2020
2nd refo
rm
3rd refo
rm
The
1st B
ill
(1st bill)
2013
Establishment of the
Organization for Cross-
regional Coordination of
Transmission Operators (OCCTO)
Full retail
competition Period of transitional arrangement for retail tariff
(2nd bill)
2014
(3rd bill)
2015
The
2n
d Bill
Jun. 11,
2014
Construction
Operating Decommis
sion
Operating
start
Early Close Construction
start
Shut down
Close
(original assumption)
+
-
Nuclear power business requires long and stable payback . The experiences of other countries which have already liberalized their market indicate that it is challenging to pursue "liberalization of electricity market" and "promotion of nuclear power business" at the same time.
• “Nuclear Power in Competitive Electricity Markets (2000)”
by OECD NEA, states
In competitive market , it’s hard to predict long-term
electrical power cost, so that Nuclear power generation,
with long lead time and significant investment cost ,may
have significant investment risk compared with other kind
of power generation.
In Liberalized market, it is unclear to predict future price or
payback of investment. Private investors prefer more
flexible and short-term payback investment.
• In the UK, the electricity market was gradually liberalized
after 1990 and achieved full liberalization in 1999. With
this background as well as with increasing development of
oil and LNG in the North Sea, there were no new
construction of NPPs for 20 years after 1995.
• In the U.S., liberalization of electricity market has been
progressed in each state after 1990. With the decreasing
price of LNG, new construction of NPPs has been
stagnated for a while. Currently there are 4 projects for
new establishment of NPPs .
(2) Influence of liberalized electricity market for Nuclear power generation
(1) Image of the schedule for payback and risk of NPP
21
Additional investment
Early decommission
(Ref.) Nuclear power under the liberalized market
Price set to collect all cost of NPPs including decommission and
disposal of spent fuel. This price will be determined through the
negotiation between utilities and the government.
Price set by averaging forward price in the market
Strike Price
Reference Price
(Summary of FiT CfD in the UK) • The difference between the “Reference Price” (introduced by the market price), and the “Strike Price”
(decided by the utilities and the Government to collect all cost of NPPs including decommission and disposal of spent fuel) will be paid either by the utilities or by the Government, to level the profit and loss of NPPs and to improve the predictability of payout.
In October 2013, EDF Group and the UK Government had reached in principle an agreement on the key commercial terms for an investment contract (Feed in Tariff Contract for Difference (FiT CfD)) of the planned Hinkley Point C new nuclear power plants. (The Terms: 1630kW X 2units, Strike Price: £92.5/MWh (¢ 15.7/KWh) for 35years).
And also the UK Infrastructure Guarantee Scheme (IUK) is applicable to new nuclear power plants. In October 2014, the European Commission (EC) concluded such measures (FiT CfD and IUK) for
Hinkley Point nuclear power plants are compatible with EU state-aid rules, if the conditions are partly modified.
Pay the
Difference
to Utilities
Utilities Pay
the Difference
<Image of CfD>
Reference Price
Strike Price
(Ref.) Measures taken in UK
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