Workers are flanked by bags of radioactive debris along a road in the town of Tomioka, Fukushima Prefecture, In July 2016.
Estimated cost of Fukushima disaster might balloon to ¥218 billion
March 24, 2018
In more bad news for taxpayers, the Board of Audit says the cost of the Fukushima nuclear disaster could balloon to ¥218.2 billion, up 58 percent from the previous estimate of ¥126.4 billion.
The board released the latest estimate Friday in light of the government’s adoption of a Cabinet decision in December 2016 to raise the upper limit on financial assistance for Tokyo Electric to ¥13.5 trillion from ¥9 trillion.
The government is borrowing funds from financial institutions for delivery to Tokyo Electric Power Company Holdings Inc. through a public-private body to help it deal with compensation and other costs related to the triple core meltdown in March 2011.
The principal of the funds will be repaid from contributions by Tepco and other power companies to the body, called Nuclear Damage Compensation and Decommissioning Facilitation Corp., and from proceeds from the sale of Tepco shares it owns.
But the interest payments will be shouldered by taxpayers.
According to the latest estimate, if Tepco uses up the ¥13.5 trillion assistance limit, it will take 17 to 34 years for the government to finish repaying the funds, and interest payments will balloon to between ¥131.8 billion and ¥218.2 billion.