[Provisional Translation]

Opening Statements by the Ministers

Concerning the Lifting of "the Evacuation-Prepared Areas in Case of Emergency" Designation

MINISTER OF ECONOMY, TRADE AND INDUSTRY YUKIO EDANO: I would now like to open the press conference about the Nuclear Emergency Response Headquarters.

First of all I would like to provide the following information.

The 21st meeting of the Nuclear Emergency Response Headquarters has just been held, at which it was decided to lift the Evacuation-Prepared Areas in Case of Emergency designation. To make the decision to lift the designation of the areas concerned, we received a recovery plan from all five municipalities where the Evacuation-Prepared Areas in Case of Emergency are located, and based on these plans the Government has engaged in close exchanges of opinions with the mayors of these municipalities and the government of Fukushima Prefecture, gaining their consent for the lifting. In addition, the Nuclear Safety Commission (NSC) has also provided a response that it has no objections to the lifting of the areas. It was based on this process that the decision to lift the Evacuation-Prepared Areas in Case of Emergency designation was made. Following the lifting, the various restrictions that were in place will also be lifted, including restrictions on entry into the areas by children and pregnant women, the closure of schools in the areas affected, and restrictions on the construction of emergency temporary accommodation. While the Government recognizes that it made steady progress towards the recovery and reconstruction of the areas affected by the nuclear accident, we are also aware that the residents who have evacuated have voiced their concerns concerning radiation decontamination and infrastructure to support daily life in the areas where the designation of Evacuation-Prepared Areas in Case of Emergency has been lifted.

The key to achieving the recovery plans that have been submitted will be decontamination operations, and Minister Hosono will be providing an explanation about this issue shortly. The Government will take the lead in efforts to engage in decontamination, including as an initial measure the maximal utilization of the 220 billion yen in reserve funds. In addition, the Reconstruction Headquarters in Response to the Great East Japan Earthquake will work in close cooperation with relevant Government ministries and agencies to make a full response to the reconstruction of infrastructure required for daily life in tangible and intangible forms, such as the development of temporary accommodation and reopening of transportation routes, as well as the reopening of schools, maintenance of the medical care system and efforts to ensure employment opportunities.

In addition, a basic agreement has been reached today with Fukushima Prefecture that Small and Medium Enterprises, of which their offices are located within the Evacuation-Prepared Areas in Case of Emergency, will be provided new sources of funding required for continuing or resuming their operations in the affected areas.

In all cases the Government will continue to make a maximum response towards the realization of the recovery plans submitted by the municipalities concerned, based on the current situation facing the local governments and residents, and will provide detailed assistance to ensure that the residents can return to their homes.

Final report by the "Third Party Investigation Commission on Symposiums Related to Nuclear Power Generation"

MINISTER EDANO: My second point is not related to the proceedings of the Nuclear Emergency Response Headquarters, but concerns the "Third Party Investigation Commission on Symposiums Related to Nuclear Power Generation," the final report of which was published today and about which a press release has already been issued. I would like to make one comment concerning this report.

The report notes that in certain symposiums hosted by the Government, the Government engaged in improper practices. This is truly outrageous behavior and is highly regrettable. I would like to reiterate my apology to the people of Japan.

The most important thing relating to the administration of nuclear power is public trust and this incident will have aroused a strong sense of distrust among the residents close to where nuclear power stations are located and among the public in general. In terms of the background to this incident, the report notes that the guidelines relating to the management of these symposiums were left unclear. Upon receiving this report I immediately called the Directors General of the Nuclear and Industrial Safety Agency (NISA) and the Agency for Natural Resources and Energy (ANRE) and instructed that fundamental measures be taken to prevent recurrence. In addition to swiftly compiling such preventive measures, the Government will also promptly discipline those involved.

From now I am resolved to take the lead in making every effort to restore the public's trust in the nuclear power administration of Japan.

That is all from me. Next, Minister Hosono will provide information concerning decontamination operations.

Lifting of "the Evacuation-Prepared Areas in Case of Emergency" Designation and Decontamination Operations

MINISTER FOR THE RESTORATION FROM AND PREVENTION OF NUCLEAR ACCIDENT GOSHI HOSONO: Before providing an explanation about decontamination operations, I would like to say a few words concerning the lifting of the Evacuation-Prepared Areas in Case of Emergency designation.

Since March 11, members of the public, particularly those in Fukushima Prefecture have been forced to endure extreme inconvenience in their daily lives. This is something that the Government as a whole feels extremely sorry about. I believe that the decision today to lift the Evacuation-Prepared Areas in Case of Emergency designation represents a significant step forward in the post-accident situation, and I will take responsibility in making every effort to push forward Government efforts to ensure that the residents will be able to return to their homes safely. Today, Minister of Health, Labour and Welfare Komiyama told me that the Ministry of Health, Labour and Welfare (MHLW) will make every effort to deal with medical-related issues, and Minister of Education, Culture, Sports, Science and Technology Nakagawa told me that the Ministry of Education, Culture, Sports, Science and Technology (MEXT) will be making similarly thorough efforts to address issues relating to children, including the reopening of schools.

It is our role to push forward determinedly with the recovery plans that have been submitted by each municipality, and I will take responsibility for ensuring that this is done. Each of the five municipalities affected have submitted their own recovery plan. Among these, the city of Minamisoma has expressed a wish to reopen schools at the beginning of October and as many residents in Minamisoma are still living in the Evacuation-Prepared Areas in Case of Emergency, I believe that the city will probably lead the way for the reopening of schools. Other municipalities have also expressed their own wishes concerning the timing for the return of residents and the reopening of schools, and the Government will push forward operations to ensure that these wishes can be met to the greatest extent possible.

Next I would like to talk about decontamination operations, which are the key to the lifting of the Evacuation-Prepared Areas in Case of Emergency designation and will be the key for future lifting of area designations.

The second supplementary budget has already made provisions for budgetary allocations of reserves for decontamination amounting to approximately 220 billion yen. In addition, the Ministry of the Environment (MOE) plans to submit budget requests for the third supplementary budget amounting to 245.9 billion yen, including for the disposal of contaminated waste materials. The budget requests for the fiscal 2012 budget were yesterday decided by MOE, and including waste disposal-related requests, the budget requests for fiscal 2012 amount to 453.6 billion yen. In addition, for fiscal 2013, with regard to operations for which contracts can be concluded during the course of fiscal 2012, it is planned to request that these expenses be covered by the issuance of treasury bonds, which will amount to 230.8 billion yen, also including the costs relating to waste disposal. The total budgeted amount for decontamination efforts therefore standards at the very large sum of 1.1482 trillion yen, and the Government will work to ensure that these budgetary allocations are used thoroughly to engage in decontamination operations.

First of all, the Government has already initiated a model program for decontamination, in the 12 municipalities where evacuation orders have been issued. There are also local governments that have begun decontamination operations and the local governments have also been asked to select areas for the model decontamination programs, which will be able to be launched in sequence. The essential key to progressing with these decontamination operations will be temporary and intermediate storage facilities. MOE will take responsibility for issuing a roadmap by the end of October concerning the modalities and the facilities.

It is vital that we receive the understanding of regional residents when we present the roadmap. For this reason, I hope to travel to Fukushima Prefecture next Sunday to explain the current thoughts of the Government to the Governor and people of the Prefecture, and to hear l various opinions of the public.

We will be asking the region to take on a heavy responsibility for the temporary and intermediate storage facilities. I want to apologize for this, and do everything I can to gain the understanding of locals on the matter.

With the lifting of the Evacuation-Prepared Area in Case of Emergency designation today, I believe that many must be wondering how we intend to handle the Restricted Area and Deliberate Evacuation Area. First, more than anything, we must complete Step 2 of the TEPCO Roadmap towards Restoration from the Accident at Fukushima Daiichi Nuclear Power Station within this year. This is our priority. The entire Government is working as one toward the achievement of Step 2.

However, we will not wait for the completion of Step 2 to begin initiatives toward the detailed monitoring of radiation levels or the recovery of the residential living environment. Minister Edano is in charge of making the final judgment on the revision of each area. Thoroughly collaborating with him, we will conduct a series of discussions with Fukushima Prefecture and the concerned local governments. I believe that even if we begin discussion at the time of the completion of Step 2, some time will be required after the completion of the step before we can lift the designations of the Restricted Area and Deliberate Evacuation Area. Our thinking on this is that we would like to make a decision on these matters with the utmost care.

That is all I have to report.

Q&As

The Evacuation-Prepared Areas in Case of Emergency

REPORTER: This question is to Minister Edano. I would like to confirm this again - what is the reason behind the decision to lift the Evacuation-Prepared Areas in Case of Emergency designation now?

MINISTER EDANO: The Evacuation-Prepared Areas in Case of Emergency was created in preparation for the possible sudden worsening of the situation at the nuclear power station - so that we could respond quickly. From that perspective, although such risk was no longer present after the completion or conclusion of Step 1, we could not simply return to the old situation, but needed a plan for the return of residents. We therefore created a thorough plan while discussing the issue sufficiently with locals and we can now begin work toward their actual return. This is the process that led to the announcement today.

REPORTER: Just to confirm, regulations placed on the area are no longer being enforced as of right now, correct?

MINISTER EDANO: The order for lifting came from the Prime Minister as the head of the Nuclear Emergency Response Headquarters.

I don't think there is any misunderstanding about this, but just to be clear, the lifting of the regulations on the area does not mean that residents can return right now. We have had each municipality create its own plan for the return of residents. The Government will fully and properly support these plans, assisting with the actual reopening of facilities such as schools and hospitals in line with each plan. But the lifting - yes, it has gone into effect.

REPORTER: I have a question for Minister Edano.

Concerning the five municipal recovery plans created as a premise of the lifting, Kawauchi Village, for example, has decided that residents will be able to return home by the spring of next year. We are approaching the winter, something which I believe will make recovery work such as decontamination more difficult. Can the Government offer any guarantee that the targets set in these plans can be achieved?

MINISTER EDANO: Of course the recovery plans created this time will not be easy to implement. We are aware of this. We lifted the Evacuation-Prepared Areas in Case of Emergency designation based on the recovery plans after carrying out thorough consultations with each municipality, from the perspective that there are those who desire to return to their homes as soon as possible and whether we are able to actually realize that.

At the meeting of the Nuclear Emergency Response Headquarters today, each minister, such as Minister for Reconstruction in response to the Great East Japan Earthquake Tatsuo Hirano, confirmed that they would do their best on their respective projects. For instance, the Minister of Health, Labour and Welfare will do her best in the area of medical care. They have confirmed that the Cabinet and Government will exert every effort for the implementation and realization of the recovery plans. I believe that we can realize these plans.

REPORTER: I have a sort of administrative question. Can I receive the plans of each municipality? Even summary versions would be fine.

MINISTER HOSONO: The requests of each of the five municipalities are included in the plans and are basically being explained at respective municipal assemblies, so I don't imagine there would be anything wrong with making them public, but I need to check on that. Once I have confirmed the matter, if there is anything we can release today, we will.

Final Report from the Third-party Investigation Committee and the Future Nuclear Power Policy

REPORTER: My question is for Minister Edano.

Concerning the latest reports that the Government is scripting debates about nuclear power, the inappropriate actions of an ANRE official at a symposium on a pluthermal project at the Unit 3 reactor of Hokkaido Electric Power Company's (HEPCO) Tomari Nuclear Power Station have now been made clear.

HEPCO did not report this incident until it was pointed out by the Investigation and Verification Committee. What do you think of HEPCO's response? Also, related to that, with inappropriate actions coming to light on the part of not just HEPCO but the Government as well at the symposium in the process leading up to a decision on the pluthermal project, don't you think that there are now doubts about the fairness of the process for accepting pluthermal power? The pluthermal power project has not started yet, but I wonder if we should seriously reconsider its implementation going forward. What do you think?

MINISTER EDANO: First of all, I want to clarify the responsibility of the Government as the party directly involved in this, prevent this kind of thing from happening again and tackle the question of punishment related to the matter. To this end, we have commissioned the Third-party Investigation Committee to conduct an investigation.

Concerning the involvement of electric power companies in these incidents, this is of course mentioned in the latest report. Nevertheless, first, as the Government, we must here and now exert every effort to unequivocally take responsibility for this and work to see it doesn't happen again. I think that what is unequivocally vital is how everyone, especially the people of Hokkaido, interprets the report, and how power companies interpret the report.

As for whether there were flaws in the process - the least I can say is that some of the things which were done should not have been done. There is no doubt about that. On the other hand, in terms of the total process, respective mayors have made their decision on the issue from a comprehensive perspective, based not just on symposiums, but on municipal council meetings, discussions, and the explanations made at a variety of explanatory meetings.

REPORTER: The initiation of the reactor has been pushed back from next spring, the original schedule. Do you think this will continue as planned?

MINISTER EDANO: First, there will be a fundamental discussion of the entirety of the policy for nuclear power. As part of that fundamental reconsideration, the plan for pluthermal power will be naturally reconsidered as well.

REPORTER: Do you mean that it will be difficult to carry out?

MINISTER EDANO: What I mean is, like the issue of whether or not to restart nuclear power stations basically, we will need to conduct a verification of the safety of the plan and receive a certain level of understanding from local residents.

Temporary Storage Facilities and the Municipal Recovery Plans

REPORTER: This is a question for Minister Hosono. You said that you want to present a roadmap within October concerning issues such as temporary storage facilities. However, fire at such facilities due to spontaneous ignition and other causes is becoming an issue. There have been 15 cases of fire in Miyagi Prefecture alone. What are your thoughts on the current state of the management of temporary storage facilities?

MINISTER HOSONO: I have yet to confirm the issue of fire at temporary storage facilities. Since this is an important point, I would like to thoroughly confirm the matter.

At the current stage, I believe there are problems yet to be fixed concerning the way irradiated waste materials are stored in the regions where decontamination has taken place. Therefore, in the roadmap, I would like to clarify what is the safest method for managing temporary storage facilities. The roadmap will also include information on how long it will take to construct intermediate storage facilities, and what the appropriate method of temporary storage is for that time period.

Concerning the question I just received from Mr. Sekine of the Asahi Shimbun, the reconstruction plans of each municipality will be posted on the Nuclear Emergency Response Headquarters website within today. I will ask those in charge to hurry up and have them posted at the earliest possible hour. Please refer to that website.

Final Report from the Third-party Investigation Committee

REPORTER: This is a question for Minister Edano. Concerning the Third-party Investigation Committee into accusations that the Government is scripting debates on nuclear power, you said that you will promptly take disciplinary actions against those involved. Will these be limited to those who are directly involved in the scandal - that is, public relations officials of ANRE and NISA? What kinds of disciplinary actions are possible?

MINISTER EDANO: I have my own idea about this based on the report I received today. However, since this is a grave matter for those involved, although I will make a decision as early as possible, I would like to hold off on reporting anything until the decision is actually made.

REPORTER: Are you considering disciplinary actions against senior officials?

MINISTER EDANO: I have various ideas at this moment, but I believe I shouldn't be making any suggestions before a final decision is made given the nature of the matter. The decision will be made as soon as possible - I don't think you will wait that long - and I will promptly make an announcement when the decision is made.

Intermediate and Temporary Storage Facilities

REPORTER: This is a question for Minister Hosono. Would it be possible to specifying places for intermediate storage and temporary storage facilities in the roadmap to be presented within October? Is there such a prospect?

MINISTER HOSONO: First of all, concerning temporary storage facilities, although progress has been gradual, the goal is now in sight in some places thanks to the great amount of efforts put forth by each municipality in Fukushima Prefecture. However it is not the case that the national government can decide site locations. The decision will be made by each municipality with consideration for the entire community. What the national government can do is support them by providing explanations at briefing sessions, for example, and backing them up fully in terms of budget. Therefore, we will not be designating places for temporary storage facilities within the roadmap.

Concerning intermediate storage facilities, honestly speaking, it is very difficult to select locations for such facilities. Therefore, in the roadmap to be presented in October, although we will lay out our approach, I think it will be difficult to specify places.

By presenting our basic ideas so as to visualize what the process will be, I would like to seek the understanding of the people of Fukushima Prefecture on the necessity of creating such facilities and work toward a decision on locations at the earliest possible stage.

(Abridged)