JLPT N1 Reading Comprehension Lesson 41

Japan has promoted nuclear power generation on the grounds of low costs and reduced CO2 emissions, but since the Fukushima nuclear accident, many people have come to desire (note) a move away from nuclear power. However, there are also voices of opposition in the business community. They argue that phasing out nuclear power will lead to "power shortages" and "rising electricity rates," weakening the international competitiveness of Japanese industries and worsening the economy. Looking at the published figures, the generation cost per 1 kWh is 4.8–6.2 yen for nuclear power, compared to 8.2–13.3 yen for hydro, 10–14 yen for wind, and 10–17.3 yen for oil, giving nuclear an advantage. However, nuclear power plants also bear the costs of accident compensation, decommissioning, and the storage of spent nuclear fuel, so they are not necessarily cheap. Furthermore, enormous tax revenues are poured in as government subsidies. As for electricity rates, there is a fundamental problem with how they are determined in the first place. In Japan, the cost is calculated by adding a certain profit margin to the necessary expenses. If costs are incurred, the rate can be raised. To change this, the regional monopoly of power companies should be ended, and the power generation and transmission sectors should be separated into different companies. Electricity rates will definitely go down. On this occasion, why not push forward with the phase-out of nuclear power and the reform of the entire electricity industry?