Chubu Electric Power Company, Incorporated | Partial Amendment to the Articles of Incorporation (6) at Chubu Electric Power Company, Incorporated

Status
AGM passed
AGM date
Previous AGM date
Proposal number
12
Resolution details
Company ticker
9502
Resolution ask
Adopt or amend a policy
ESG theme
  • Environment
ESG sub-theme
  • Other
Filer type
Shareholder
Company sector
Utilities
Company HQ country
Japan
Resolved clause
To add the following new chapter to the Articles of Incorporation: Chapter X. The Nuclear Fuel Cycle Article X. The Company shall withdraw from the plan to establish the nuclear fuel cycle which is not expected to be economically viable. To achieve this purpose, the Company shall: ① Not reprocess spent nuclear fuel held by the Company; ② Abandon the equity injections and loan guarantees for Japan Nuclear Fuel Limited; ③ Reverse the provision for reprocessing and allocate such amounts to expenses required for impairment accounting of spent nuclear fuel which are currently recorded as assets; and ④ Safely manage and store plutonium held by the Company which was generated from past reprocessing without relocating it.
Supporting statement
The nuclear fuel cycle policy collapsed with the failure of the fast breeder reactor plant. The Rokkasho Reprocessing Plant is planned to be completed within fiscal year 2026 by means of postponing the testing of the vitrification facilities aggressively. However, because construction began 32 years ago and has already been postponed 27 times, aging and technological obsolescence of the plant have already begun. Because the melter used to solidify radioactive liquid waste in glass requires replacement due to design flaws, it is inevitable that construction cost which has already ballooned to 4.5 times will increase even further. Because areas contaminated during active testing are inaccessible, seismic reinforcement of such contaminated area is impossible. It means that completion of the plant is impossible. Even if the plant commenced operations, it would only be capable of operating at around 10% of capacity, as possession of excess plutonium is prohibited. Cost estimates calculated on the assumption that 800 tons per year would be processed over 40 years are nothing more than an impracticable plan only, and the project lacks any rational basis. The Company has invested approximately 60.3 billion yen in Japan Nuclear Fuel Limited and has provided debt guarantees totaling 88.7 billion yen as of the end of fiscal year 2024. In order to avoid economic risk, the Company should withdraw from the reprocessing business and from Japan Nuclear Fuel Limited.

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