Japan energy policy a slippery mess
Not that long ago Japan’s environment ministry was mulling a 2,400-yen tax on each ton of carbon emitted by households using kerosene and liquefied petroleum gas, which are the main heating and cooking fuels in Japan. Even the head of the Japan Association of Corporate Executives (Keizai Doyukai) got into the act, saying that Japan needs “higher rates of the carbon tax to be imposed on goods and services.”
Now we hear that Japanese government has reportedly set aside 215 billion yen as an emergency relief package to aid people and small businesses affected by soaring crude oil prices.
The package includes eased lending terms for small enterprises, subsidies for ship, bus and airline operators that serve rural areas, and further discounts in nighttime expressway tolls.
On top of this, Tokyo plans to hand out more money to local governments in colder areas of the nation so they can aid low-income people in their areas.
No one among us is unaffected by the rise in oil prices, so it is a mystery why the government is singling out only specific individuals and businesses for special treatment. You would think that if the government really wanted to help people, they would simply cut the taxes that currently double the consumer price of gasoline and kerosene at the pump.
Classic LDP ploy of giving money to rural Japan. This will only increase as the rural areas further depopulate, which increases the Diet votes to population ratio of rural areas (traditional LDP stronghold).
December 27th, 2007 at 12:20 am