Nuclear Power Estimated to Cost Less than Thermal Power in FY 2040

Tokyo, Dec. 16 (Jiji Press)--Nuclear power is projected to be cheaper than thermal power in terms of generation costs as of fiscal 2040, Japan's industry ministry said Monday.

Thermal power generation using liquefied natural gas, which the ministry's previous projection in 2021 said would be the cheapest power source in fiscal 2030, will be weighed on swelling costs to deal with carbon dioxide emissions in the fight against global warming, the ministry said.

The latest estimate was presented to a working group of the natural resources and energy committee, which advises the industry minister, ahead of the government announcing a draft of the country's revised basic energy plan on Tuesday.

The estimated cost advantage of nuclear power is expected to exert a significant influence over experts' discussions on the power supply mix for fiscal 2040, which ends in March 2041, to be shown by the finalized revised plan.

According to the ministry's projection, nuclear power will cost minimum 16.40-18.90 yen per kilowatt-hour, up from 14.50 yen under the previous estimate due to rising expenses for plant construction and safety measures. Meanwhile, a cost estimate for coping with accidents was lowered.

[Copyright The Jiji Press, Ltd.]