Press Conference by Minister Muto (Excerpt)

*Note: This is a provisional translation for reference purposes only.

10:58-11:07 a.m.
Tuesday, October 29, 2024
Press Conference Room, METI Main Building

Opening Remarks

Outlook for electricity supply and demand

To begin, I would like to mention two points.
First, a council under the Agency for Natural Resources and Energy (ANRE) will hold a meeting today and determine measures for balancing electricity supply and demand this winter.
As it is expected that an electricity reserve rate of at least 10% or more can be secured this winter, we do not intend to issue a request for electricity saving. Meanwhile, we recognize that the situation is unpredictable in light of the potential risks of abnormal weather and the stoppage of power stations due to unforeseen problems. We will continue to maintain vigilant monitoring of the electricity supply and demand situation.
Moreover, from the next fiscal year onward, electricity demand is expected to increase because of the further suspension and abolishment of thermal power stations and the construction of new and additional data centers. To address this and secure supply capacity, we will promote the utilization of renewable energy to the maximum extent possible and the restart of nuclear power stations on the basic premise of ensuring safety. Furthermore, we will strive to advance the development of both a system and a market environment that encourage investment in decarbonized power sources.
For details of the outlook for electricity supply and demand, the administrative staff will hold a briefing after the end of the council’s meeting today.

Unit 2 of the Onagawa Nuclear Power Station

The second topic is related to the first one: a reactor startup at Unit 2 of the Onagawa Nuclear Power Station will begin today. Regarding Japan’s electricity supply structure, particularly in eastern Japan, the dependency ratio of thermal power is currently around 80%. In addition, no nuclear power stations have been restarted in eastern Japan, and electricity rates are around 20% to 30% higher there than those in western Japan.
Going forward, as electricity demand is expected to increase, we believe that the restart of nuclear power stations in eastern Japan is extremely important from the perspectives of the vulnerability of the electricity supply structure in eastern Japan, the gap in electricity rates between eastern and western Japan, and the need to secure opportunities for economic growth by taking advantage of decarbonized power sources.
In addition, the startup of Unit 2 of the Onagawa Nuclear Power Station is the first nuclear plant in eastern Japan to restart operations since the occurrence of the Great East Japan Earthquake and the first domestic boiling water reactor (BWR) to restart, and this will mark a major milestone. We expect Tohoku Electric Power Company to continue to advance the work while ensuring the top priorities are safety and maintaining vigilance in all operations.
I will end my remarks here.