The Japan Business Federation, or Keidanren, proposed Friday that the government, in its next basic energy policy, should “clearly spell out a policy to make the utmost use of power sources that contribute to the country’s energy security and have high decarbonization effects, such as renewables and nuclear energy.”

“Concerns over future power shortages cannot be wiped out and there will be no choice but to reduce domestic capital spending as a result if the government fails to clarify a path toward expanding the use of such energy sources.

The proposal noted that Japan has been facing the toughest energy challenges since the oil crises in the 1970s and 1980s. Predicting that unstable international situations, decarbonization and progress in digital transformation will boost demand for electric power in the future, Keidanren stressed that securing cheap and stable clean energy sources, such as nuclear power, is essential.

It claimed that the nation’s power supply capacities will plummet in the 2040s and later unless the restart of currently idled nuclear reactors is accelerated — on condition that their safety is secured — existing nuclear plants are rebuilt and new nuclear plants are constructed.

Keidanren also underlined the need to quickly realize plans to build innovative light-water reactors with improved safety.

Furthermore, it called on the government to set numerical targets for nuclear power capacities for 2040 and 2050.