DAILY SUMMARY OF JAPANESE PRESS 12//06

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SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 12//06

INDEX:

(1) Bills to raise SDF overseas missions to primary duties and
upgrade Defense Agency to Defense Ministry clear Lower House; Calls
for permanent law expected to gain momentum

(2) Sixth year of MSDF dispatch to the Indian Ocean: Provided 20.3
billion yen in free oil supplies; Results difficult to evaluate

(3) JDA chief Kyuma hints at reducing the number of helicopter
flights at Futenma but closing the base in three years seen as
difficult

(4) Editorial: Doubts and concerns not yet resolved over the bill
upgrading the JDA to ministry status

(5) Japan urged to make arrangements to deal with North Korea's nuke
threat

(6) Economic advisory panel studying abolishing requirement for
companies to directly hire temporary workers

(7) TOP HEADLINES

(8) EDITORIALS

ARTICLES:

(1) Bills to raise SDF overseas missions to primary duties and
upgrade Defense Agency to Defense Ministry clear Lower House; Calls
for permanent law expected to gain momentum

ASAHI (Page 3) (Abridged slightly)
December 1, 2006

The Lower House approved yesterday a bill to raise the Defense
Agency to ministry status and a bill revising the Self-Defense
Forces Law to upgrade the SDF's overseas activities to primary
duties. They are likely to clear the Diet in the ongoing session,
and the nation is expected to have a Defense Ministry as early as
January.

The SDF's overseas activities, currently defined as secondary
duties, can be classified into five categories: (1) international
disaster relief activities, (2) UN peacekeeping operations, (3)
logistical support in contingencies in areas surrounding Japan, (4)
activities under the Antiterrorism Special Measures Law, and, (5)
activities under the Iraq Reconstruction Support Law. Once the
legislation is enacted, they will be defined as main duties.

"The SDF has already conducted such activities as part of primary
duties. Legislative steps are lagging behind reality," Defense
Agency Director-General Fumio Kyuma explained by citing missions in
Iraq and other countries.

At the same time, with the step to upgrade SDF activities, calls for
a permanent law to make things easier for dispatching the SDF
overseas are likely to gain momentum. Prime Minister Shinzo Abe is
enthusiastic about enacting a permanent law that can eliminate the
need for individual laws.

Some are wary of upgraded overseas missions altering the nature of
the country's exclusively defense-oriented policy. "SDF duties would

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change altogether," said Lower House Vice Speaker Takahiro Yokomichi
after yesterday's plenary session, in which he voted against the
bill.

An opinion emerged in yesterday's Lower House Security Committee
meeting that the SDF would change with the revision of the law.
Kyuma responded: "The SDF will not use force on overseas missions.
You must not assume that they will become armed forces."

Kyuma also explained that by citing paragraph 1 of Article 9, the
government was cautious enough to add to the bill the phrase, "in
the scope which does not constitute the threat or use of force."

An increase in joint operations by the SDF and the US military might
lead to exercising the right to collective self-defense, which is
prohibited under the government's interpretation of the
Constitution.

Abe is enthusiastic about reviewing the government's view of the
right to collective defense. He also intends to establish a panel to
reexamine the government's view.

In a Washington Post interview, Abe said in connection with
peacekeeping operations: "Is it a violation of the Constitution to
rescue attacked foreign troops who are working with Japanese troops
side by side?" He has also unveiled a plan to study ways to relax
the SDF guidelines on the use of weapons, which are currently
allowed only for defending themselves and international organ
workers under their control to cover foreign troops, as well.

(2) Sixth year of MSDF dispatch to the Indian Ocean: Provided 20.3
billion yen in free oil supplies; Results difficult to evaluate

MAINICHI (Page 1) (Excerpts)
Eve., December 1, 2006

The Anti-Terror Special Measures Law, which supports the terrorist
mop-up operations of the US, British and other countries in
Afghanistan, was extended for another year in November, and the
Maritime Self-Defense Force (MSDF) has now entered its sixth year of
duty in the Indian Ocean. As of the 27th of last month, MSDF had
supplied fuel free of charge to warships of other countries a total
of 700 times. What were the actual results of its maritime
operations carried out 18,000 kilometers from Japan?

"We will return safely at the beginning of the Golden Week
consecutive holidays (early May) next year." On Nov. 12, the MSDF
supply ship "Towada" (8,100 ton class) set sail from its homeport in
Hiroshima Prefecture. The captain, Masakazu Yamashita (54) gave this
farewell message to the MSDF officers and the approximately 300
family members sending off the ship.

It would be about five months before the vessel would return to
port. The Towada was making its sixth trip, and for many of the
crew, this would be their fifth dispatch. In addition to the
psychological and physical burden on the crew, the hardship imposed
on their families also was great. Moreover, the MSDF has only five
supply ships, so before and after the dispatches, the crews must
also undergo training and equipping and the like for their regular
duties.

The MSDF supply ships provide fuel and water cost free to US, UK and
other foreign vessels on duty in the Indian Ocean. Their role is

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that of an ocean going "gasoline stand. "

Over the past five years, a total of 55 MSDF vessels have been
dispatched. The number of personnel involved in the operations
totals 10,600. Fuel was delivered to vessels from 11 countries
totaling 460,000 kiloliters (2.3 million oil drums). The MSDF
vessels expended one year's time all together in the effort. The
cost of the fuel provided over five years came to 20.3 billion yen.

However, the specific results of the assistance are difficult to
visualize. The number of times a month for refueling has dropped
from a high in May 2003 of 32 times to the current 13 times a month.


(3) JDA chief Kyuma hints at reducing the number of helicopter
flights at Futenma but closing the base in three years seen as
difficult

OKINAWA TIMES (Page 2) (Excerpts)
December 1, 2006

(Tokyo) Defense Agency Director General Fumio Kyuma, appearing in
the Upper House Foreign and Defense Affairs Committee, made this
comment regarding removing the dangerousness of the Marines Corps'
Futenma Air Station until it is relocated to a site on the shores of
Camp Schwab in Nago City: "Perhaps there might be a way of changing
the frequency of use a bit. I would like to give some thought to
that." He thus hinted that he was thinking of studying the
possibility of reducing the number of flights of helicopters
attached to that base. On the issue of closing Futenma in three
years, as promised by Hirokazu Nakaima during his campaign for
prefectural governor, Kyuma said, "I don't think the US forces would
give their OK to that," reiterating his view that it would be
difficult.

Director General Kyuma, referring to Nakaima's campaign promise,
stressed: "I would like to quickly remove the dangerousness of
Futenma. I, too, fully understand and feel that I would like to set
some kind of goal within three years and bring about a shrinking of
its functions in a way for all to see. I will work on that now and
into the future." He explained his view that it might be possible
to consider setting a three-year limit if the goal were not
"closing" the base but "removing its dangerousness."

(4) Editorial: Doubts and concerns not yet resolved over the bill
upgrading the JDA to ministry status

TOKYO SHIMBUN (Page 5) (Full)
December 1, 2006

The bill elevating the Defense Agency (JDA) to ministry status
passed through the Lower House. It is an important bill that
includes upgrading the Self-Defense Forces' (SDF) overseas
activities (from being a supplementary duty) to a primary duty. But
doubts and concerns over the bill have yet to be resolved. We expect
debate on the bill will proceed in a conscientious manner in the
Upper House.

Fourteen hours and 20 minutes: That was the time spent for
deliberations on the JDA upgrading bill in the Diet committee before
it went to the Lower House for approval. The time for debate was too
short, compared to the 100 hours of deliberations on the bill
amending the Basic Education Law, even though the JDA bill was in

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fact obscured by the tug of war between the ruling and opposition
parties over the education bill. But the JDA bill could lead to a
major change in Japan's national security policy.

JDA is an external agency attached to the Cabinet Office at present.
Without approval from the prime minister, it cannot submit important
issues directly to a cabinet meeting or make a budgetary request.
That's why JDA has insisted on the need to be upgraded to a ministry
so that it can act swiftly.

However, should a defense emergency occur, the first person to
receive word would be the prime minister. It would be inconceivable
to postpone it pending a cabinet decision. Given this, the purpose
of the upgrading bill may be to save JDA's face as a government
organization, as well as to raise the morale of the personnel.

We have other doubts, too. One concerns the Abe administration's
move to create a Japanese-style National Security Council (NSC) and
use the Prime Minister's Official Residence (Kantei) as the control
tower for foreign and security policies. This new development seems
to contradict the JDA bill, which aims to shift defense powers from
the Kantei to the defense establishment?

Elevating JDA to a ministry status is nothing new; the idea has been
around a long time. Until recently, however, it has not seen the
light of the day. One reason is perhaps because of our nation's
recollection of the military having had its own way in the prewar
and wartime periods.

If so, why is it acceptable now to bring up that idea? If the
government cannot explain the reason appropriately, it will
naturally come under such criticism as capitalizing on the public
crisis awareness caused by the North Korean nuclear issue, or the
junior coalition partner New Komeito's insistence on enacting the
bill by the end of the year in order to avoid the Upper House
election next year.

More importantly, the bill will shift the SDF's overseas activities
from a "supplementary duty" to "primary duty."

In other words, the bill allows the government to give its
"approval" to operations of the SDF overseas, -- expanded now to
cover the Indian Ocean and Iraq through passage of special measures
laws. It allows the government to create a fait accompli. We find it
difficult to understand that the Democratic Party of Japan (DPJ or
Minshuto),which had previously demanded the removal of the SDF
deployment in Iraq from the primary duties in return for it to
approve the JDA upgrading bill, easily withdrew that demand.

There is analysis that by making overseas activities a primary duty,
the government intends to give impetus to the move to create a
permanent law enabling Japan to dispatch SDF troops as needed and
thereby to expand the range of SDF activities. Should SDF operations
go into areas leading to the use of force abroad, Japan will violate
the Constitution, not to mention undermining the nation's
defense-only policy.

JDA Director-General Fumio Kyuma has stressed: "No change will be
made to the basics of the defense policy, such as "sole
self-defense," not becoming a military power, upholding the three
nonnuclear principles, and securing civilian control. A Diet
resolution adopted along with the passage (in the Lower House) of
the upgrading bill states the need to thoroughly ensure civilian

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control. This promise must be kept in the process of deliberations
on the bill in the Upper House, and depending on circumstances, the
Upper House should issue a warning if the promise seems about to be
broken.

(5) Japan urged to make arrangements to deal with North Korea's nuke
threat

YOMIURI (Page 13) (Full)
November 30, 2006

North Korea's nuclear ambitions have posed a serious threat to
Japan's national security. Japan must make necessary arrangements,
assuming possible contingencies that might occur in the course of
trying to defuse the North Korean nuclear confrontation or dealing
with the nuclear threat.

In an effort to denuclearize North Korea, the US might launch a
limited attack on the nation, but setting aside this option, there
will be no other way but to depend on both dialogue and pressure. In
the six-party talks, the five members of the six-party talks,
excluding North Korea, should strengthen cooperation and produce
specific results so that the North will begin to move toward
denuclearization. To that end, it will be necessary for the
countries concerned to toughen sanctions and containment measures
against the North, and for China to exert its influence on that
nation.

North Korea imports 80% of its crude oil and 30% of its food supply
from China. Given this fact, China is considered to have enormous
influence over the North, but China reportedly does not want to see
North Korea collapse. Some take the view that since the ultimate
purpose of Kim Jong Il's nuclear weapons programs is to ensure his
regime's continuance, Kim will never scrap them.

In the process of pressuring the North to abandon its nuclear
ambitions, there is a possibility of triggering a public security or
military disturbances, or an exodus of refugees. Japan needs to
consider what countermeasures to take, assuming such a crisis
situation. It is also necessary to study the possibility of applying
the law for emergencies near Japan and joining hands with the US
military.

Assuming that Pyongyang might be brandishing nuclear threats with
the aim of attaining its own purposes, Japan must prepare a system
so that such threats will not have any effect.

First, Japan must upgrade its self-defense system. The government is
making preparations to introduce a ballistic missile defense (BMD)
system capable of shooting down incoming missiles. Japan should
introduce the system as soon as possible by frontloading the
project. To supplement this system, the US has brought some
equipment into Japan. If possible, Japan should ask for more
equipment to be deployed in our country.

Regarding a enemy-base strike capability, the government now takes
the policy of relying on the US even for operations within the scope
of self-defense allowed under the Constitution. In view of the
current security environment, however, there may be a case in which
Japan has to take action independently. Given this, it might be
necessary for Japan to discuss the possibility of have certain
functions, based on the principle of sharing roles between Japan and
the US.

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Second, it is important to further strengthen the Japan-US alliance.
US deterrence, including the possibility of nuclear retaliation, is
absolutely necessary as means to prevent North Korea from carrying
out reckless acts. The US has frequently confirmed its commitment to
protect Japan, but Japan also should step up efforts to strengthen
the Japan-US alliance by enhancing its own credibility as a
partner.

It is also of utmost necessity for Japan and the US to improve their
cooperative arrangements so that they will be able to effectively
respond to contingencies. Specifically, both countries should work
out a joint operation plan for times of emergency in Japan and a
mutual cooperation plan for regional contingencies.

The issue of whether Japan is allowed to use collective self-defense
is another urgent task. This issue initially should be settled by
amending the Constitution, but imminent problems should be settled
even if it means employing ingenuity. It is also necessary to
reconsider the argument for banning as a violation of the
Constitution those support activities that link the SDF to the US
military's use of force, even if such are not operations that entail
the use of force, such as transport of goods and personnel.

Japan's stance of depending on the US nuclear umbrella in dealing
with nuclear threats remains unchanged. Nonetheless, since nuclear
policy is closely related to national security, thorough discussion
is necessary. For the time being, it might be necessary for Japan to
fully discuss with the US what the United States' nuclear deterrence
should be in the future.

(By Ken Sato, vice chairman of the Institute for International
Policy Studies)

(6) Economic advisory panel studying abolishing requirement for
companies to directly hire temporary workers

ASAHI (Top Play) (Slightly abridged)
December 1, 2006

In a meeting yesterday, the government's Council on Economic and
Fiscal Policy started discussion on a review of the current
temporary staff employment system that requires companies hiring
temporary workers to reemploy them as permanent workers after they
work there for a certain period of time. This is a key element in
the "Labor Big Bang" initiative, designed by the government to
reform the labor market. In the meeting, private-sector members
proposed abolishing or extending the maximum period of a contract.
If the restriction on the contract period is removed, the obligation
on companies to give permanent status to temporary workers will be
abolished. The advisory panel will set up an expert group tasked
with discussing a sweeping review of the Worker Dispatch Law.

Four private-sector members of the advisory panel, including
International Christian University Professor Naohiro Yashiro and
Nippon Keidanren (the Japan Business Federation) Chairman Fujio
Mitarai, submitted a report titled, "Labor Big Bang and
Second-Chance Assistance." As tasks to be considered now, the report
proposes a review of the Worker Dispatch Law; an expansion of job
categories for foreign workers; future options for the minimum wage
system; and improvement in child-care service.

The focus of attention is on regulations pertaining to dispatched

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workers. Under the current law, the maximum period of a contract for
such workers is set at three years. Companies hiring temporary
workers are obligated to employ them as permanent workers after they
work there for a long period of time. Private-sector panel members
pointed out that these regulations have destabilized the status of
dispatched workers because companies tend to suspend the contracts
with such workers in short a space of time in order to avoid the
obligation to give them permanent status. They stressed that the
removal of the maximum period of a contract will contribute to
protecting the job security of dispatched workers.

However, there is the basic principle in the Labor Law specifying,
"Companies' direct employment of workers should be the basic
principle."

The correction of unfair disparities is also cited as one purpose of
the Labor Big Bang. The panel is expected to discuss easing the
conditions for dismissing regular workers or lowering such workers'
wages as part of efforts to narrow the disparities between permanent
and nonpermanent workers in a variety of employment types.

The Japanese Trade Union Confederation is worried about the Labor
Big Bang, one executive remarking: "Since discussion has been
conducted without the presence of laborers, company-friendly
measures may be worked out." It also remains to be seen how the new
expert panel will reflect nonpermanent workers' views in their
policy decisions.

Prime Minister Abe said in the meeting, "Reforming the labor market
is a major challenge for the cabinet." He plans to have the expert
panel conduct full discussion. The prime minister also intends to
set up a cross-sectional study group and include a policy direction
and timetable (for labor market reform) in the government's annual
economic and fiscal policy guidelines due out next summer.

Private-sector members also suggested enhancing the quality of
services at Public Employment Security Office institutions by
introducing the market testing system designed to increase the
efficiency of services at government offices through competitive
bidding between the public and private sectors. The Ministry of
Health, Labor and Welfare is opposed to the proposal, citing the
International Labor Organization (ILO) Treaty.

But private-sector member refuted that if the transfer of some
services to the private sector while main public networks are
maintained does not infringe on the treaty."

(7) TOP HEADLINES

Asahi:
CEFP considers eliminating corporate obligation to shift the status
of part-timers to regular employees after a certain period

Mainichi:
Council on Revitalization of Education drafts a program for students
and parents to evaluate teachers

Yomiuri:
Reform of Social Insurance Agency: Ruling camp proposes shifting
power of collection to MHLW

Nihon Keizai:
US reconsiders excessive internal control to lighten corporate

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burdens

Sankei:
LDP constitutional panel proposes allowing people 18 or older to
vote in national referendums

Tokyo Shimbun:
V-shaped pair of airstrips planned in Nago: Two-way landings in an
emergency likely to be allowed in response to US request

Akahata:
Revising the Basic Education Law for worse promoted by MEXT office
involved in prearranged questions for town-hall meetings

(8) EDITORIALS

Asahi:
(1) Murakami pleads not guilty
(2) 15th Asian Games in Doha

Mainichi:
(1) Raising Defense Agency to ministry comes with heavy
responsibility
(2) Murakami trial: Restoring market trust not an easy task


Yomiuri:
(1) DPJ made right decision on defense ministry bills
(2) Murakami trial: "Guilty statement" hard to forget

Nihon Keizai:
(1) Cooperating with NATO essential for preventing terrorism
(2) Windows Vista not free from problems

Sankei:
(1) Cross-party agreement on defense ministry laudable
(2) Murakami Fund scandal requires thorough probe

Tokyo Shimbun:
(1) Questions and concerns still remain about defense ministry
bills
(2) Murakami trial a chance to consider social disparities

Akahata:
(1) Defense ministry bills trampling on Constitution must be
scrapped

SCHIEFFER