IEEJ: November 2012 All Right Reserved
Special Bulletin
A Japanese Perspective on the International Energy Landscape (108)

October 29, 2012

Critical Importance of Human Resources for Nuclear Safety
Ken Koyama, PhD
Chief Economist, Managing Director
The Institute of Energy Economics, JapanThe March 2011 Fukushima Daiichi nuclear power station accident has highlighted anew
that safety is the most important challenge for nuclear power generation. Nuclear safety is a key
common challenge not only for Japan where the accident occurred but also for the entire world. It is
important particularly for China, India, the Association of Southeast Asian Nations, the Middle Eastand other regions where new nuclear development projects are about to be implemented. Given
some countries’ efforts for introducing their first nuclear plants as well as large-scale nuclear plant
construction programs in China and India, it may be needless to say that nuclear safety must beenhanced further on a worldwide basis.
The Fukushima accident has indicated that nuclear safety as the top priority is supported
by various elements and requirements. Regarding nuclear safety, technological measures against
tsunami waves and station blackout have tended to attract attention. In addition to these importantmeasures, there are other key points regarding nuclear safety. They include safety standards that are
sufficient from an international viewpoint, the establishment of safety management regulations andadministrative arrangements based on safety standards, the diffusion of "safety culture" among all
the stakeholders in nuclear power generation, and the creation of safety and crisis management
measures based on the principle of defense in depth. There are many details of these key points.
Nuclear safety thus consists of various layers including the technological layer (persistent efforts touse best present technologies and improve technologies), the regulatory and institutional layer(enhancing safety standards, securing the independence of regulators and developing precautionary
disaster reduction measures) and the cultural layer (safety-oriented culture). In fact, however, there isone more important layer. That is the human resources layer linked commonly to all other layers.
Many experts and official reports in Japan have pointed to the importance of humanresources for nuclear safety. For example, the Innovative Strategy for Energy and the Environment,
released in September, emphasized that the maintenance and enhancement of human resources (andtechnology) for nuclear safety is important (http://www.npu.go.jp/en/policy/policy06/pdf/20121004/121004_en2.pdf).
On October 16, discussions at the 45th regular meeting of the Atomic Energy Commission of Japanfocused on human resources (http://www.aec.go.jp/jicst/NC/iinkai/teirei/siryo2012/siryo45/index.htm). Human
resources are thus an important issue for nuclear safety, attracting attention from nuclear energy
stakeholders.
The human resources issue also consists of various elements. Simply, however, it can bedivided into short-term and medium-to-long-term problems. Medium-to-long-term human resources
problems include those stemming from uncertainties about future of Japan’s nuclear energy. As the1IEEJ: November 2012 All Right Reserved
future course of nuclear energy is uncertain in Japan, nuclear plant makers and their parts suppliers
have difficulties securing and training nuclear engineers. It is reported that there is a risk that nuclear
engineers may bequitting electric power companies under the influence of the Fukushima accident.
University and graduate school students shy away from studying or being experts on nuclear energy,
making it difficult to secure nuclear experts. These problems are serious. The idea that Japan cansecure human resources only for decommissioning nuclear reactors does not allow for addressingthese medium-to-long-term human resources problems. This situation is quite challenging.
Short-term human resources problems are serious as well. In respect to the recent
discussions at the Atomic Energy Commission of Japan, short-term human resources problems mademore of an impression on me. At a time when it is uncertain whether offline nuclear reactors could
be restarted in addition to the third and fourth units in operation at Kansai Electric Power Co.’s Ohi
nuclear power station, how to maintain skilled human resources who have supported Japan’s nuclear
safety has become a serious problem. This is the problem emerging at present.
Engaging in the operation and management of nuclear power stations is not only relevant
for electric power company employees but also for employees of nuclear-related firms other thanelectric utilities. These workers from non-utility firms number about five times as many as thosefrom utilities. All these workers have cooperated in securing nuclear safety. The wide range ofworkers engaging in the operation and management of nuclear plants include many skilled engineers
who have played great roles in operating nuclear plants safely. The nuclear industry structure issimilar to Japan’s overall industrial structure. Supporting Japan’s international competitiveness are
excellent, technologically capable and dedicated workers not only at large companies but also at
small and medium-sized firms. At issue in the nuclear industry is the risk or problem of dissipatingskilled human resources.
According to materials submitted to the Atomic Energy Commission, the number ofregular maintenance operations at nuclear plants has declined substantially as nuclear reactors haveremained offline throughout Japan for a long time in the absence of definite schedules for restarting
them. Regular checkup operations are very important for non-utility companies engaging inoperating and managing nuclear plants. The decline in such operations has seriously affected theirearnings. Although construction operations are going on at nuclear plants for enhancing safetymeasures including those against tsunami waves, the impact of the decline in maintenance operations
is grave. One electric power company has estimated that revenues at its nuclear plant contractors infiscal 2012 would decline by 50% or more compared with fiscal 2010. If the situation is left
unchanged, excellent and skilled human resources who have supported Japan’s nuclear safety may
flow out of the industry or dissipate. A large-scale outflow or dissipation of human resources may
affect the safety of nuclear power reactors after their restart. Over a medium to long term, it may be
growingly difficult to secure a wide range of human resources for nuclear power plants. Therefore,
measures are urgently required to relieve nuclear plant-related companies, including official
financial support for them.

As Japan’s economic environment grows more severe, the nuclear industry humanresources problem is very important for overall employment. The Federation of Electric Power
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Companies of Japan has estimated that about 80,000 nuclear industry workers have taken charge ofnuclear plants. Electric utility workers account for only 12,000 of the total. Most are from nuclear
plant makers, construction firms and other relevant companies. Strong measures may be required toaddress the short-term nuclear industry human resources problem that affects local economies,employment and industrial operations. Whether Japan can secure and train human resources withinternationally excellent technologies and skills is the key to securing and analyzing the nation'snuclear safety. We should also remember that Japanese nuclear industry human resources can play arole in Japan's contributions to and responsibility for securing nuclear safety in the world including
Asia. Japan and the rest of the world are urgently required to focus on human resources for nuclearsafety.

Contact: report@tky.ieej.or.jp
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