Subsidies attract companies, but not workers, to Fukushima zones

By SUSUMU OKAMOTO/ Staff Writer, Asahi Shimbun March 18, 2025

Billions of yen in government subsidies have attracted businesses and fueled a surge in industrial park development across areas affected by the Fukushima nuclear disaster.

But one big problem remains: Most workers are not returning to these municipalities that were depleted through evacuation orders.

………………………………………………………………………………….Industrial parks developed by local governments are almost entirely funded by the central government.
So far, 21 parks have opened in the region since the disaster, with nine more planned.

The total cost has exceeded 100 billion yen.

While the construction boom has given the impression of an economic revival, actual progress has fallen short of government and local expectations.

WORKERS NOT RETURNING

………………………………….Interviews with local governments and companies show that 89 businesses and organizations employ around 2,500 people in newly developed industrial parks.

Around 1,050 work in six towns and villages with high radiation levels and restricted access―Tomioka, Okuma, Futaba, Namie, Katsurao and Iitate.

But only about 15 percent of them live within those municipalities. Most of the workers commute from Iwaki and other nearby cities.

DEBATE OVER CONTINUING SUBSIDIES

In November, municipalities affected by the nuclear disaster strongly opposed a government review that suggested a possible end to the industry ministry’s subsidy program around 10 years after the lifting of all evacuation orders.

Experts on the review panel argued that the economic impact of the subsidies remains unclear.

But Kawauchi Mayor Yuko Endo, whose entire village was evacuated, warned, “The town won’t survive if the subsidies are cut off.”

Over the eight years through fiscal 2023, the ministry’s program has distributed 95.9 billion yen to 135 companies and organizations.

“Without jobs, people won’t return to nuclear disaster-affected areas,” a ministry official said. “Without people, neither commercial nor medical facilities can come back.”

The government has allocated an additional 11 billion yen for the program in fiscal 2025.

LONG ROAD TO SUSTAINABLE GROWTH

“Young people in Fukushima Prefecture were already leaving for cities before the disaster,” said Toshiyuki Kanai, a professor at the University of Tokyo’s of Faculty of Law. “Creating jobs alone won’t bring people back.”

However, he added: “The government has little choice but to continue support, given its responsibility for the displacement caused by the nuclear disaster. The scale of the damage is irreparable.”………………… https://www.asahi.com/ajw/articles/15656086?fbclid=IwY2xjawJG4llleHRuA2FlbQIxMQABHflEUQCKoAUe6O8fzoy952K_909rjqNLcrSehKzuCAKI-j0j72skaYMOlQ_aem_Qo9irxiJmty4KnXYMVu3aA