(Bloomberg) — Japan’s new economy minister said the country will need to maximize the use of existing nuclear power plants as artificial intelligence and data centers are expected to boost electricity demand.
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It is “natural” for Japan to pursue both atomic and renewable energy to meet growing needs without increasing carbon emissions, said Yoji Muto, who was appointed to the position on Tuesday. The new government will aim to restart as many reactors as possible, as long as they are safe, he said on Wednesday.
Muto’s comments indicate a continuation of former Prime Minister Fumio Kishida’s work, which saw Japan return to nuclear power as a major energy source while many reactors were still offline after the 2011 Fukushima disaster. His successor, Shigeru Ishiba, had during his campaign said Japan needed to reduce its dependence on the energy source, but later said he would support restarting existing plants.
Ishiba’s comments led to a decline in utility stocks earlier this week as investors speculated that the new administration would negatively impact the push to embrace nuclear power. The move is part of a global resurgence as countries turn to nuclear fission for stable and emissions-free electricity to meet demand.
Muto also said Japan will have to protect its nuclear industry by developing next-generation reactors. The country is revising its strategic energy plan that will dictate its energy mix, which currently consists of 70% fossil fuels such as natural gas and coal, after 2030.
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