A group of 13 Japanese companies led by Onomichi Dockyard and Imabari Shipbuilding has invested $80m (€74m) in a project to build floating nuclear power plants, British energy startup Core Power announced.

According to Core Power, floating nuclear power plants would offer a number of clear competitive advantages over conventional land-based facilities. In addition to being smaller, more efficient and less expensive to build and operate, being offshore would protect them from the consequences of earthquakes and tsunamis.

Core Power said offshore nuclear power production is an ideal solution for Japan, an island nation still recovering from the Fukushima-Daiichi accident in 2011. Japan has been slow to recommission its existing nuclear plants despite expected growth in demand. Offshore production could play a key role in addressing both safety and economic concerns in the near future, CorePower said.