Japan's signature on the Convention on Supplementary Compensation for Nuclear Damage makes the international agreement binding after a 17-year pregnant pause in which Japan, despite its problems at the Fukushima Daiichi power plant, was hesitant to sign.
The deal, which required five countries with nuclear power gauged at 400,000 units of nuclear capacity to go into effect, obliges signature countries to cover a minimum in compensation for nuclear accidents that occur on their soil and establishes an international fund that will act as an compensation pool for countries that experience nuclear accidents.
Japan's representative to the Atomic Energy Agency Mitsuru Kitano said that Japan, given the devastating events at the Fukushima Daiichi power plant in March 2011, had “responsibility to push forward, not only nuclear safety, but also the international convention.” Japan passed legislation in November 2014 that authorized its representative to sign onto the agreement.
The convention now goes into effect on April 15, which is 90 days after Japan submitted its paperwork in Vienna.
The convention is viewed as good for export businesses, because it limits liability in the event of an accident, The Japan Times reported. This has benefits for Japan, which has put its domestic nuclear power generation on standby, although suppliers can still participate in international deals.
The United States has long supported the convention that has now been signed by 17 nations, although most have not ratified the agreement. Ukraine, Canada, India and the Czech Republic are among the 17 that have signed. The United States, Argentina and Romania are the only contributors to date, according to the World Nuclear Association.
U.S. nuclear industry suppliers would be required to come up with $70 million in the event of an accident, the media report said.