Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Tepco’s Reactors May Take 30 Years, $12 Billion to Scrap

Tepco’s Damaged Reactors Take 30 Years, $12 Billion Scrap
Damaged reactors at the crippled Fukushima Dai-Ichi nuclear plant may take three decades to decommission and cost operator Tokyo Electric Power Co. more than 1 trillion yen ($12 billion), engineers and analysts said. Source: Tokyo Electric Power Co. via Bloomberg

Damaged reactors at the crippled Fukushima Dai-Ichi nuclear plant may take three decades to decommission and cost operator Tokyo Electric Power Co. more than 1 trillion yen ($12 billion), engineers and analysts said.

Four of the plant’s six reactors became useless when sea water was used to cool them after the March 11 earthquake and tsunami knocked out generators running its cooling systems. The reactors need to be decommissioned, Tepco Chairman Tsunehisa Katsumata said today. He couldn’t give a timeframe.

All the reactors, including Units 5 and 6, will be shut down, and the government hasn’t ruled out sealing the plant in concrete, Chief Cabinet Secretary Yukio Edano told reporters today in Tokyo.

The damaged reactors need to be demolished after they have cooled and radioactive materials are removed and stored, said Tomoko Murakami, a nuclear researcher at the Institute of Energy Economics, Japan. The process will take longer than the 12 years needed to decommission the Three Mile Island reactor in Pennsylvania following a partial meltdown, said Hironobu Unesaki, a nuclear engineering professor at Kyoto University.

“Lack of public support may force the decommissioning of all six reactors,” said Daniel Aldrich, a political science professor at Purdue University in Indiana. Tepco “will try to salvage two if it can find public support, which may be unlikely.”

The damaged reactors will take more than a few weeks to stabilize, Katsumata, who took charge of Tepco’s response after President Masataka Shimizu was hospitalized, told reporters.

Kan’s Criticism

Prime Minister Naoto Kan yesterday blamed inadequate tsunami defenses at the plant for the world’s worst nuclear accident since Chernobyl in 1986, saying that the safety standards set by Tepco were too low. Efforts to cool fuel rods at the four reactors have been hindered by detection of radiation levels that can prove fatal for a person exposed for several hours.

The utility is focusing on bringing the crisis at the Fukushima Dai-Ichi plant under control and can’t comment on the power station’s future, Naoyuki Matsumoto, a spokesman for Tepco, said by telephone yesterday.

Japan is studying various ways to cool water at the plant’s reactors and fuel-rod ponds, Chief Cabinet Secretary Edano said. It will take “considerable time” until the temperature drops and is stable, he said.

Covering the plant with fabric and removing contaminated water to a tanker are among options under consideration for reducing the threat from radiation, Edano said.

‘Considering Possibilities’

“Specialists are considering various possibilities and means to contain the nuclear power plant situation and minimize radiation effects in surrounding areas and harm to health,” he said. “We haven’t reached a conclusion about what means are possible or effective.”

Japanese authorities rated the Fukushima accident a 5 on the International Atomic Energy Agency’s 7-step scale for nuclear incidents, under which each extra point represents a 10-fold increase in seriousness.

At Pennsylvania’s Three Mile Island in 1979, one reactor partially melted in the worst U.S. accident, earning a 5 rating. Its $973 million repair and cleanup took almost 12 years to complete, according to a report on the World Nuclear Association’s website. More than 1,000 workers were involved in designing and conducting the cleanup operation, the report said.

Chernobyl Sarcophagus

Ukraine is unable to fund alone the cost of a new sarcophagus to cover the burned out reactor at Chernobyl, due to be in place by 2014. The 110 meter-high arched containment structure has a 1.55 billion euro ($2.2 billion) total price tag and the London-based European Bank for Reconstruction and Development has so far raised about 65 percent of that.

The Fukushima reactors may take about three decades to decommission, based on Japan’s sole attempt to dismantle a commercial reactor, said Murakami of the Institute of Energy Economics.

Japan Atomic Power Co. began decommissioning a 166-megawatt reactor at Tokai in Ibaraki Prefecture near Tokyo in 1998 after the unit had completed 32 years of operations, according to documents posted on the company’s website. The project will be completed by March 2021, or after 23 years of work, and cost 88.5 billion yen, the documents show.

Japan Atomic took three years through June 2001 to stabilize and remove nuclear fuels from the reactor core.

“It looks indisputable that Tepco will go ahead and dismantle the four reactors, and costs may exceed 1 trillion yen,” said Murakami, who worked at Japan Atomic for 13 years and was involved in the decommissioning of the Tokai plant. “Removing damaged fuels from the reactors may take more than two years, and any delays would further increase the cost.”

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.