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The 2011 Fukushima nuclear accident has become a turning point for Japan, creating loss of public trust not only in nuclear safety but in overall energy policy. More than 80 percent of the public wants to phase out nuclear power eventually. On April 11, 2014, the Japanese government adopted a new National Energy Strategy that declares its intention to reduce dependence on nuclear energy while considering it one of the important base-load electricity sources. Regardless of the future of nuclear energy, Japan needs to face five key policy issues: spent fuel management, plutonium stockpile management, radioactive waste disposal, human resources management, and restoration of public trust. I discuss these critical issues and possible policy alternatives that Japan should pursue. (Asian Perspect/GIGA)