The plan is aimed at demonstrating Japanese leadership in fighting global warming and assisting development in Africa, which was among the key agenda items at the three-day Group of Eight summit held through Wednesday in Hokkaido, government sources said yesterday.
In helping to resolve the power shortage in the area, Japan is also hoping to catch up with China in its diplomatic presence in Africa by improving business infrastructures for the possible joint development of rare metals involving Japanese companies, they said.
Due partly to budgetary restraints Japan lags behind China in so-called natural resources diplomacy in Africa.
Developed counties as well as emerging countries are turning their attention to securing rare metals as they are essential for the production of automobiles and cell phones.
The combined investment for the envisioned reactor project, including the portion of Japan's yen loans to South Africa, is expected to be worth 3 trillion to 5 trillion yen, given that the construction cost of each nuclear reactor is believed to be around 300 billion to 400 billion yen, the s sources said.
If the reactor construction scheme is realised, it will likely become one of the key projects for the Japan International Cooperation Agency.
