TEPCO shares plunge more than 18 per cent in Tokyo

March 29, 2011 | 16:34

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Shares in Tokyo Electric Power Co. plunged 18.67 per cent on Tuesday as concerns over its ability to manage a crisis at its stricken Fukushima nuclear plant continued to unnerve investors.

TEPCO shares closed limit down at 566 yen, and have now lost nearly three quarters of their pre-crisis value before a 9.0 magnitude earthquake and a 14 metre tsunami hit Japan on March 11, crippling the Fukushima Daiichi plant.

The Japanese government on Tuesday said nationalising the beleaguered utility was "an option" but denied it had immediate plans to do so.

Citing government sources, the Yomiuri Shimbun said Tuesday that Tokyo is examining taking a majority stake in TEPCO as well as bearing responsibility for paying liabilities stemming from the nuclear plant crisis.

By taking control of the utility, the government would also be able to help ensure that TEPCO has sufficient capital to maintain stable supplies of electricity, the Yomiuri said.

The earthquake and tsunami knocked out the cooling systems of the Fukushima plant's six reactors -- triggering explosions and fires, releasing radiation and sparking global fears of a widening disaster.

Radiation from the plant northeast of Tokyo has wafted into the air, contaminating farm produce and drinking water, and seeped into the Pacific Ocean, although officials stress there is no imminent health threat.

AFP

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