Korean Energy Economic Review ISSN:1599-7057(Print) 에너지경제연구

A review of the effectiveness of Nuclear Liability and Compensation system (Nuclear Liability) in Korea is an urgent and important issue, given that the damage caused by the Fukushima nuclear power plant accident cannot be guaranteed by the US Nuclear Liability, which requires the largest amount of compensation in the world. In response to this necessity, this paper studies ways to improve Nuclear Liability by comparing and analyzing international cases from a financial point of view. It is significant in that this study presents practical improvement measures based on the economic analysis theory of tort law. Specifically, this study suggests that it is necessary to return to Unlimited Liability from the current Limited Liability in order to maximize the duty of care of nuclear plant operators. In addition, measures for increasing the amount of compensation and establishing a new Nuclear Damage Compensation Fund are reviewed so that adequate compensation for victims of nuclear could be guaranteed. Also, the termination of the Indemnity Agreement for nuclear liability, regular amendments to the law, and participation in international conventions are reviewed to suggest measures to strengthen proactive accident deterrence. This paper has academic and social implications in that it has expanded the topic of Nuclear Liability, which has been studied very limitedly from a legal point of view in Korea, to a financial perspective.