Fukushima nuclear plant disaster to impact global nuclear power industry: Report

DUBAI: The recent natural disasters that led to a nuclear meltdown at the Fukushima nuclear plant in Japan will have far-reaching impacts for the global nuclear power industry, a new report has said.

A new report from Deloitte Touche Tohmatsu Limited ( DTTL), 'Empowering Ideas 2011: A Look at Ten of the Emerging Issues in the Power and Utilities Sector', said that the impact of the events in Japan on the nuclear industry will be both profound and long-lasting.

DTTL Global Industry Leader for Energy & Resources Peter Bommel said: "As the demand for energy continues to increase, energy companies will face formidable challenges in balancing safety concerns with energy demands."

The report includes the prediction that governments, utilities, and consumers will increasingly tap into energy efficiency and demand side management programmes in order to address these challenges globally.

Another trend, according to the report, is the growing importance of data analytics, which help companies analyse enormous data sets to create scenarios and take informed decisions.

Kenneth McKellar, Partner and Middle East Energy & Resources Leader at Deloitte Middle East, said although the region has weathered the recent economic crisis better than most, due to its growing population, the Middle East will require significant investment in generating capacity and networks to produce the required energy for business and domestic users.

"The Fukushima disaster will definitely result in a call for enhanced safety standards, especially in the areas of protection against flooding, terrorist attacks, and airplane crashes. These increased requirements could potentially spell the end for the older power plants," he said.