hello there. welcome to "newsline." it's wednesday, july 27th, 9:00 a.m. in tokyo. i'm kathryn kobayashy. japan will soon begin paying composition following the train crash on saturday. the state-run xinhua news agency reported on tuesday that the family of a victim from fuchien province and the local government had agreed on a payment of 500,000 yuan or about $78,000 in damages. the chinese government is trying to stave off criticism by swiftly providing support for the victims' families.

but the chinese public seems to be increasingly discontented with the government's actions. an online survey shows that more than 99% of the respondents are dissatisfied with the handling of the accident by the railways ministry. 98% replied that they do not believe the ministry's explanation. a chinese expert says the signal system for the country's high-speed railway network is unstable because it was built too quickly. the professor of beijing transport university made the remark in an interview with nhk on tuesday. he indicated the signal system could be affected by lightning and other weather conditions. >> translator: the country needs to review its railway policies and discuss the cause of the latest accident. >> zou has been critical of the construction of the high-speed railway and his comments widely reported by the chinese media. markets here in tokyo are open, so ai uchida joins us with

the latest. >> let's start thachks with a look at the currency markets. on the new york foreign exchange, the dollar dropped to the upper 77 yen range on tuesday on concerns over a lack of progress in u.s. debt talks. investors sought the safety of the yen with only one week left until the august 2nd deadline for raising the federal debt limit. at one point, the dollar dipped to 77.83 yen. that marks the lowest level in about four months since march 17th following the earthquake in northeastern japan. taking a look at tokyo markets, right now, the greenback is trading at 77.98 to 78 yen. now on the other hand, the yen's strength against the dollar and other major currencies is making overseas travel cheaper for japanese holidaymakers. >> translator: it's a great chance. i can buy brand name products.

>> a travel agency says reservations for overseas trips plunged immediately after the march 11th disaster but demand for travel is back up to the same level as last year. by country, the agency says the number of customers to south korea and other asian countries is up year on year. it also says the number of japanese tourists to hawaii and guam is at the same level as last year. the agency has put up posters encouraging customers to take advantage of the favorable exchange rates. and now let's get a check on the markets. the dow ended lower for a third straight session as remain uninspired by ongoing debt talks. to see how stocks are trading here this wednesday morning we cross over to ramin mellegard. even with solid earnings being reported in the u.s., it seems markets are being driven by washington and not wall street. >> yes, very good morning to you, ai. exactly so. that does seem to be the driver of the markets so far.

that's despite pretty solid earnings from the likes of amazon and broadcom which is -- makes chips for mobile devices. but that didn't really help the nasdaq or the dow both ending lower on tuesday in the u.s. just having a look at the opening levels here for the nikkei and the topix and both indexes actually just a touch lower. but again you can see there the nikkei still holding on to that key 10,000 level. we'll see how it develops throughout the day. in its defense, the nikkei has closed above that key 10,000 level for five trading sessions in a row. so proving a little resilient despite the concerns over the u.s. debt issues ongoing right now and the stronger yen. in fact, talking about the yen, let's have a look at currency markets right now. and as you mentioned, the yen actually strengthened against the dollar, dipping below that 78 yen level. barrier into the 77 yen region. just hovering around the upper levels there right now. and that's over the possible uncertainty over possible credit

downgrade in the u.s. debt where the stalemate continuing in washington between the obama administration and opposing republicans. now in japan, let's not forget, we're right smack in the middle of earnings season here. and nissan, one of the global auto giants is due to announce results today. we're going to keep track of that. and many japanese blue chip companies already analysts saying have to re-evaluate their domestic production levels with regards to that strong yen. and nissan's already come out and said it's going to up its production in china as well as other areas of central america and europe. and just like canon which came out with its results just the other day, many japanese corporations are trying to buffer the effects of the strong yen against their bottom line. now today we are also going to see results from hitachi construction machinery, as well as industrial robotics giant fannic, both of which have exposure to china markets and also semiconductor

equipmentmaker avantis. the u.s. debt talks issue seem to be driving the markets up for now. we'lsee how the earnings and economic data also play into markets later on. back to you in the studio. >> thanks for that, ramin. ramin mellegard from the tokyo stock exchange. speaking of exchanges, the president of japan's two major equity markets -- >> translator: it's not wise for the japanese forces to compete for a larger share of business. >> the president of the osaka securities exchange is also eager for integration. >> translator: it's important to consolidate the markets as soon as possible amid ridly changing economic conditions around the world. >> the talks are aimed at beefing up their international competitive edge. there are growing moves toward consolidation among stock exchanges in the united states and europe. the two japanese exchanges are

hoping to reach a decision by this autumn. sorry about that mishap in the video there. but here now for you is a recap of the latest market figures. we'll be back with more business next hour. but for now, back to catherine. >> thanks, ai. the operator of the fukushima daiichi nuclear power plant has begun looking for new ways to reduce the amount of contaminated water hampering efforts to stabilize the damaged

reactors. they sent a remote controlled robot into the number three reactor building on tuesday to take photos of the piping and measure radiation levels. tepco decided to use the robot to find methods of cooling the nuclear fuel in the number three reactor with less water. the utility injects about 390 tons of water into the three damaged reactors every day, but most of it becomes contaminated with radioactive tfls. tepco says the temperature of the number three react sor relatively stable but it needs more water than the others because of leaks and other problems. reducing the volume of contaminated water is the key to putting the reactors under control, but a system for treating radioactive water has been hit by a series of troubles. tepco hopes to eventually send workers into the buildings to find a way to pour water directly on to the fuel rods. self-defense force units operating in the northeastern prefecture of iwate following

the march 11th disaster have wrap upped their relief activities there. a farewell ceremony was held at the prefectural government building on tuesday. the iwate governor thanked the troops for their rescue efforts and helping survivors start rebuilding their lives. >> the head of the ground self-defense division said the troops were very grateful for all the encouragement they had received. a total of 610,000 sdf troops have carried out rescue and relief operations in the prefecture for four months, including collecting bodies and removing debris. meanwhile, they held a farewell party for the squad as a thank you for their dedicated efforts. letters of appreciation and commemorative gifts were presented to each unit.

>> iwate is one of the three prefectures hardest hit by the march 11th earthquake and tsunami. forces plan to continue their activities. a memorial concert for victims of the march 11th disaster was held on tuesday at a new world heritage site in northeastern japan. ♪ the requiem concert was held near the quake-hit area in iwate prefecture. members of the vienna philharmonic and japanese violinists performed two pieces by mozart. ♪

>> the audience of about 150 people included the austrian ambassador to japan and tourists from the tokyo area. the organizer says the visitors donated about $5,700, and the money will be sent to quake survivors. renewable energy has become a hot topic since the march 11th disaster struck japan. just as the ocean brought destruction in the form of tsunami it also offers an endless supply of eco-friendly electricity. next we find out what the prospects are for actually harnessing this power. >> reporter: the akashi strait runs between japan's main island and awaji island. the strait has some of the fastest currents in japan. a test is under way to harness this tidal stream power. so far, this type of trial has only been conducted in a few

countries, such as england and south korea. the leader of this project is kiyomi, a local venture capitalist. suzuki first noticed how powerful these tides were when he was the captain of a cargo ship. four years ago, he started his own company to convert tidal power into electricity. turbines with propellers are placed in the water. when the tide goes in or out, the propellers turn. the rotational force is sent to a generator above the water which converts the energy into electricity. water is much denser than the air that pushes wind turbines so tidal power is more efficient with less wasted energy. >> there are so many places like this around us. tidal power could be a huge asset to japan. we should use it effectively.

>> reporter: suzuki's company spent three years inventing a uniquely shaped turbine. they found inspiration in tuna, which swim at extremely high speeds. the streamlined tuna shape avoids clogging from seaweed and helps the turbine spin more efficiently. even when the tide changes direction, the turbine adjusts with no energy wasted. last year the company began tests with the turbine that can generate five kilowatts of electricity, enough to power an entire house. however, an unexpected event set the project back. the turbine came loose and was swept away by the ocean. the metal component connecting the turbine to the boat was too weak to withstand the pull of the ocean. it snapped off. the experiment was put on hold. suzuki's researching other materials besides metal to make

the connecting piece. suzuki is getting ready to start testing again. his current goal is to develop a turbine within two years that can generate 300 kilowatts and put it on to the akashi strait bridge. he wants to use tidal power to light up the bridge. suzuki believes if these types of plants were established in the kiroshi current of the pacific ocean, they could produce as much energy as one nuclear reactor. >> translator: whether japan grows or declines, depends on how self-sufficient we become with our energy supply. i don't just mean in my lifetime. we're thinking 30, 50 or 100 years from now. that was an effort by a venture firm to put tidal power generation into practical use. a similar joint project is under way in the strait between

japan's main island of honshu and the southwestern island of kyushu. a local university plans to begin a test operation of the tidal power facility within the current fiscal year. now earlier, michio spoke to a professor of the university of tokyo's institute of industrial science. he's an expert on renewable marine energy, including tidal power. >> translator: thank you, professor, for joining us. at the moment, energy harnessing marine power seems to be attracting a lot of attention. can you elaborate on the reasons? >> the trend of renewable energy is moving from land to see and to deep seas at that. until now, the primary form of renewable energy was land-based wind power generation, but space on land is limited, and there have been health issues related to low frequency waves. so there has been a shift to the sea. >> translator: our video showed tidal stream power, one example of renewable marine energy.

what are other types of marine power generation? >> translator: what you are seeing now, these are marine turbines mounted in shallow seas. wind turbines. these are seabed mounted meaning that they are fixed to the seabed with piles. and these seabed-mounted wind turbines, they have already been commerciali commercialized. and for seas deeper than 70 meters, floating type wind turbines are used. and that is what we are moving towards right now. >> with so much potential, there must be a lot of research going on worldwide. what are the differences between japan and other countries.

>> translator: the current front-runners in marine energy are the european countries, particularly britain, followed by the united states. since about last year, the united states has been making great advances. and south korea and china are aggressively developing their technologies as well. in these countries, the government takes initiative, allocates budgets and builds testing facilities on the sea for real life trials. unfortunately, japan has high levels technology, but not much government initiative or government support is available so there are no such real sea trial facilities. we have no such testing facilities so far. so these are the differences. >> translator: these projects are amazing, but what are the challenges facing the use of renewable marine energy?

>> translator: speaking about renewable energies in general, they are essentially unstable. like with wind energy and other renewables, marine energy works with nature. so it's very difficult to control and manage power supply and consumption, and this is a challenge faced in all countries. and one solution is to store electricity in a giant storage battery. and all countries are currently considering this and making investments in batteries. in any case, renewable marine energy is a technology that is rapidly approaching commercialization. so in japan also, the industrial community and researchers should urge the government to build a real sea trial facility in one or two years so that japan can a front-runner in the area in about three years with many devices lined up on our seas. >> thank you, professor.

today we've asked university of tokyo professor takeshi about japan's renewable marine energy. professor, thank you for your perspective. >> thank you. newsline is the place to turn to for the latest on japan, post-march 11th. we have two segmented offering two unique perspectives on the fallout from the earthquake and tsunami. nuclear watch brings you insight and information on the impact of the fukushima daiichi crisis. and "the road ahead" examines japan's efforts to recover and rebuild. don't miss "nuclear watch" and "the road ahead" on "newsline." lawyers for a nepalese man have requested a retrial based on new dna findings. the man was convicted of robbing and murdering a woman in 1997. he has consistently denied the charges and saute retrial in

2005. the new comparative analysis of bodily fluid on the victim and hair found at the murder site indicate the victim might have had contact with another man and that it's highly likely he committed the crime. on tuesday, the lawyer submitted a lawyer to the court requesting a retrial. in convicting mana li, the court ruled it's highly unlikely another man was at the crime scene with the victim. the lawyers say the new findings have clarified mistakes in the court's decision. but prosecutors say the new evidence is not enough to change the guilty sentence. lawyers and prosecutors will meet at the court on august 10th to discuss legal procedures. japan and china have agreed to speed up talks on creating a defense hot line to avoid emergencies in the high seas near japanese territory. japan's administrative vice defense minister nakai and the deputy chief of the general staff of the chinese people's liberation army agreed on this at their meeting in tokyo on

tuesday. this was the first bilateral defense meeting since march 2008. japanese officials pointed out the chinese navy's recent activities near japan. this included the passage of a chinese fleet in international waters between the main island of okinawa and miyako island last month. the two sides agreed that defense officials will step up talks on establishing a hot line to prevent china's naval activities around japan from escalating into a crisis. they also confirmed they will try to resume defense exchanges and arrange a visit to china by japanese defense minister k kitazawa. exchanges have been suspended since a collision last year. the four-hour meeting was fruitful, saying the twoides had exchanged views on matters of interest. he said china and japan don't always share the same opinions and it's important to talk and listen to each other.

and now let's take a look at the global weather forecast with sumi zushi. >> hello there. welcome to your weather update. the focus of the rain in asia is going to be here in the korean peninsula. we're also keeping a watch on this tropical storm just making its way into the philippines. torrential downpours impacting the korean peninsula. flooding risk going to be extremely high out here. the rain eases slightly during the day, but it will start to intensify again by night. also. more showers to come for the northeastern corner of china here. the ground here already quite saturated so flooding cannot be ruled out here either. also for inland areas, looking at steady rain to develop again for chongqing as well as sichuan. the southern half of china does stay dry. meanwhile, looking very unsettled across japan.

lots of chorms popping up here. best of sunshine to be found in the north for hokkaido. also down towards the okinawa island. tokyo cloudy at 30 degrees. 33 in beijing. very warm here. and it stays extremely hot down in the south. 37 in nanchang. now let's get an update on the tropical storm nock-ten. it has already triggered deadly landslides as well as flooding. it will continue to move in a northwesterly direction fairly slowly before heading out to the south china sea. it is on a strengthening track over the next 24 hours. we will tcontinue to see drenching downpours occurring in the area. 100 millimeters or more in eastern luzon as well as strong to damaging winds. very dangerous rough sea conditions as well. so the situation does look extremely critical out here.

now over towards the americas, severe storms impacting the northern plains. southern canada just now. that's going to be moving steadily eastward along the u.s./canada border into your wednesday. looking quite thundery out towards the northeast as well. and we'll continue to see plenty of showers developing along the gulf coast. showers will continue to pop up over the four corners down along west mexico as well. temperatures stay hot in the southern plains. 40 degrees in oklahoma city. 37 in houston. coming in at 32 in chicago. now for europe, these thunderclouds continue to remain very active, moving in a northeasterly direction here. so impacting places like the baltic states, ukraine as well as belarus out here. lots of unsettled weather and over to the west, this rain band moving in from france is steadily going to be moving in to central europe. becoming a bit more widespread, so turning things unsettled and wet for italy, the alpine region as well as western germany.

the british isles will start to see rain moving in from the west. light showers to watch out for across ireland, but it will stay mostly calm. spain and portugal will be looking at very warm conditions again. lots of sunshine to be found once again. 32 degrees in madrid. 33 in lisbon. 24 in vienna and moscow stays hot. 33 for your daytime high. all right. here is your extended forecast.

our lead stories -- china will soon begin paying compensation to the families of the victims of saturday's high-speed train crash amid mounting criticism over the authority's inadequate handling of the accident. the state-run xinhua news agency reported on tuesday that the family of a victim from fujian province and the local government had agreed on a payment of 500,000 yuan, or about $78,000 in damages. the chinese government is believed to be trying to stave off criticism by swiftly providing support for the victims' families. but the chinese public seems to be increasingly disconnecticut tented with the government's actions. an online survey shows that more than 99% of the respondents are

dissatisfied with the handling of the accident by the railways ministry. 98% replied that they do not believe the ministry's explanation. a chinese expert says the signal system for the country's high-speed railway network is unstable because it was built too quickly. the professor zhou jian made the remark in an interview with nhk on tuesday. zhou indicated the signal system could be affected by lightning and other weather conditions. >> translator: the country needs to review its railway policies and discuss the cause of the latest accident. >> zhao husband been critical of the construction of the high-speed railway and his comments are being widely reported by the chinese media. and that wrap ups this edition of "newsline." i'm catherine kobayashi in tokyo. thanks for joining us.