China's state media reported Thursday that the Asian giant has approved a nuclear safety plan and stated that its nuclear power plants meet the latest international safety standards, though some plants need to improve their ability to cope with flooding and earthquakes, writes Canaccord Wealth Management in its Morning Coffee newsletter.
China suspended approvals of new nuclear power plants in the wake of Japan's nuclear crisis in March 2011 following a devastating tsunami, and ordered nationwide safety checks on existing plants and construction sites, Canaccord notes.
It also pledged to review its nuclear power development plan. The State Council, China's Cabinet, approved a nuclear safety plan for 2011-15 in a meeting chaired by Premier Wen Jiabao on Thursday. The state media also reported that China aims to enhance nuclear safety standards and lower the risks of nuclear radiation by 2020, the report said.
Also on Thursday, The New York Times reported that Japan’s prime minister may order one of the nation’s idled nuclear plants restarted as early as next week, and local leaders around the plant signalled a willingness to drop their opposition.
The restarting of the two reactors at the Ohi nuclear plant, which supplies electricity to the heavily urbanized Kansai region of western Japan, would be the first two of Japan’s 50 functional commercial reactors to go back online after last year’s accident at the Fukushima Daiichi plant.
Noda says restarting the plant is necessary to avoid power shortages in Kansai, an area of 20 million people that includes Osaka, the third-largest city in Japan. Also of interest, the World Nuclear News highlighted Thursday that fossil fuels now provide some 90% of Japan's electricity (compared to 64% in for the same period in 2011) as nuclear plants remain shut down.
Adding that consumption of crude and heavy oil for electricity in Japan is at a four-year high. Historically, nuclear power has normally provided about 30% of Japan's electricity.
On the uranium front, Cameco Corp. (TSX: T.CCO, Stock Forum) (TSX: CCJ, Stock Forum) shares fell 2.3% to $19.41 on Friday. Paladin Energy Ltd. (TSX: T.PDN, Stock Forum) dropped 3.1% to $1.26, while Uranium One Inc. (TSX: T.UUU, Stock Forum) fell 3% to $2.32.