Don’t get too excited
With the government looking determined to push through a tax reform bill that JP reported on last week, it might come as something of a surprise to hear that it’s being reported tonight that they have agreed to drop the bill, or at least the clause concerning “road-designated tax revenues”, which has been facing stiff opposition and causing the oft-stated ‘confusion’ in parliament.
That Mainichi article linked above might lead you to believe that consumers in Japan can now look forward to cheaper gasoline at the pump. But I for one won’t be holding my breath.
Kyodo reports rather fuller details, including -
The withdrawal comes after the ruling and opposition camps accepted [House of Representatives Speaker Yohei] Kono’s offer made earlier in the day to resolve the tense confrontation over the bill in the lower house, a senior opposition lawmaker said. The offer calls for withdrawing the stopgap bill and seeking “some kind of conclusion within this fiscal year” through March on a separate bill to maintain the special taxes for 10 years beyond their expiration on March 31.
There’s no suggestion of nixing the gas tax, or lowering the rate. All this does is free up parliamentary time, by postponing a spat that sounds like it was beginning to get out of hand -
Prior to the deliberations at the financial committee, about 50 DPJ members blocked the passage near the committee room, holding up signs which read ”Road interests versus people’s lives.” In the committee meeting, opposition lawmakers protested against holding a vote, seizing the committee head’s microphone and slamming desks.
There’s clearly other pressing business the government wants to get round to (keep your eyes open) and could do without such strident hindrance. But it can only be seen as a postponement - the government will resubmit the issue in a bill in some other form in the near future, and in the face of further opposition, are likely to force it through.
And a Kyodo survey reports that all 47 prefectural governors support a further 10-year tax extension.
But of course they do. If my longevity in office was directly related to the number of favours I return, I’d be pretty sweaty about a revenue cut too. That’d make a right mess of my pork-barrel budget.
January 31st, 2008 at 11:13 amYes. This issue directly impacts the cozy relationship between the LDP and road construction companies.
Out here in Tochigi, it seems as if they are paving everything in sight. Yet a friend who works in road construction told me that the amount of work available is less than half of what it was in the “bad old days.”
January 31st, 2008 at 12:06 pmDown in the very south of Amakusa is Ushibuka, which is about as impenetrably remote as Kyushu gets. The town itself is a small fishing town around a quiet, pretty little bay. There’s another little island, further out, served by a perfectly standard bridge.
Now, though, it’s served by enormously flamboyant and unnecessary bridge so huge it has a junction, and a fully circular exit ramp halfway along it. I kid you not.
It’s played up as a work of art, but the fact is that it cost over 12 billion yen (10-16 years ago) to build and 8 contractors were involved in its construction.
For a little perspective, the bridge serves an island with almost no one on it. It’s a 3-hour drive along one single-lane road from the nearest civilisation, Kumamoto (which many think is inaka in itself).
But it’s part of an civic art project! The dudes at the Japan Society of Civil Engineers gave it a prize! What a wonderfully clever way to get the people to swallow the pork.
January 31st, 2008 at 12:36 pmI belong to the 3rd minor opinion group who will completely reject the government bill of Liberal Democratic Party, but only temporary support for Democratic Party of Japan(who will just submit a bill to abolish the gas taxes.) We want to submit a bill to abolish the gas taxes AND install another (the same amount of) carbon taxes. This is also the opinion of Social Democratic Party and others.
Those carbon taxes will be used to support post-gasoline industries.
January 31st, 2008 at 6:15 pm