Tokyo Electric Power Co. submitted a claim for 120 billion yen ($1.57 billion) to the central government on Oct. 24 under the nuclear power compensation law.
Tokyo Electric Power Co. submitted a claim for 120 billion yen ($1.57 billion) to the central government on Oct. 24 under the nuclear power compensation law.
The money will partially cover the 150 billion yen the utility has already paid in compensation for damage caused by the accident at its Fukushima No. 1 nuclear power plant. The government is expected to assess the claim and pay TEPCO within 30 days.
Utilities have two types of insurance covering accidents at nuclear power plants: policies with private companies and special compensation contracts with the government. The catastrophic Fukushima accident, which was triggered by the March 11 Great East Japan Earthquake, will be covered by the government system, which requires the central government to pay a maximum of 120 billion yen for every nuclear plant that has caused a nuclear accident. This will be the first time the system has been applied.