NKK Corp. will start a power generation business using refuse-derived fuel in Fukuyama, Hiroshima Prefecture, through a private-public enterprise. The Japanese steelmaker will acquire the biggest 34% interest in Fukuyama Recycling Power Co., a public-private entity in the western Japan city, and construct a large facility to burn RDFs and generate electricity, it said. The facility is due to become operational in April 2004, NKK officials said. To make RDFs, local governments will build facilities in seven locations in Hiroshima. These will use household waste from a total of 16 cities within the prefecture. The power generation facility will use a high-temperature furnace developed by NKK and will have a daily capacity of processing 314 tons of RDFs to generate some 20,000 kilowatts of electricity.