JAPANESE MORNING PRESS HIGHLIGHTS 01/08/08

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E.O. 12958: N/A TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 01/08/08 Index: 1) Top headlines 2) Editorials 3) Prime Minister's daily schedule (Nikkei) 4) Assistant Secretary Hill, now in Tokyo, slams North Korea for not providing full information on its nuclear plans (Yomiuri) 5) Fujisaki named as new ambassador to the United States; Ebina to be envoy to UK (Yomiuri) Diet agenda: 6) Democratic Party of Japan (DPJ) decides neither to vote on new antiterrorism bill in the Upper House nor to file a censure motion against the prime minister (Yomiuri) 7) With DPJ not acting on antiterrorism bill in the Upper House, the measure will be passed by the Lower House on the 12th, applying 60-day constitutional rule (Tokyo Shimbun) 8) Final days of extraordinary Diet session lack tension, with ruling and opposition camps both trying to avoid confrontation - for awhile (Mainichi) 9) Bill to provide relief to Hepatitis-C victims will pass Diet tomorrow, with DPJ approval (Nikkei) 10) Regular Diet session, which opens on the 18th, is expected to be tumultuous (Sankei) 11) Defense scandal: Alleged "fixer" Akiyama to be called as a sworn witness to the Upper House defense committee (Nikkei) 12) Former postal rebel Hiranuma expects to form a new conservative party with 30 members (Tokyo Shimbun) 13) Japan fumes over EU's setting emission trading quotas regarded as excessive (Yomiuri) 14) Transport ministry to crack down on safety of foreign air lines after series of mishaps (Asahi) Articles 1) TOP HEADLINES Asahi: Hepatitis bill to be passed by Diet as early as this week; "This will pave the way for total settlement," say plaintiffs Mainichi: Drug-induced hepatitis: Victim relief bill to be passed into law this week: LDP, New Komeito introduce legislation to Lower House; Basic legislation to be carried over to next Diet session Yomiuri: Reorganization of industrial high schools, commercial high schools: Government, LDP considering introducing five-year vocational high school system Nikkei: Matsushita to develop TV with Internet capability jointly with Google Sankei: Vaccine against cervical cancer to be approved as early as before TOKYO 00000039 002 OF 010 year's end Tokyo Shimbun: New refueling legislation to be adopted again in Lower House on Jan. 12: DPJ decides not to put bill to vote in Upper House; 60-day regulation to be adopted Akahata: Sagawa Express affiliate found to have dispatched 10,000 temporary workers dispatched by Goodwill to other companies: Order to improve business practice to be issued 2) EDITORIALS Asahi: (1) New refueling legislation: Do not abandon road to breakthrough (2) Peace process in Middle East: Put end to 60 years of conflict Mainichi: (1) Low stock prices; High crude oil prices; Do not hesitate to inject public money (2) EU: Time to show effects of integration and expansion Yomiuri: (1) Toward new order: Framework for policy promotion needed; Political stagnation stemming from opposition camp's control of Upper House Nikkei: (1) Road to low-carbon society: Initiative for environmental diplomacy that will impress international community needed Sankei: (1) Revitalization of public education: Nurturing awareness of discipline is urgent Tokyo Shimbun: (1) Thoughts at the start of the New Year: How should China issue be viewed? Akahata: (1) Osaka gubernatorial election: Bring change to administration jointly with prefectural citizens 3) Prime Minister's Official Residence (Kantei) Prime Minister's schedule, January 7 NIKKEI (Page 2) (Full) January 8, 2008 09:56 Met at Kantei with Vice Health, Labor and Welfare Minister Erikawa. 10:46 Attended executive meeting at LDP headquarters. 11:32 Attended government / ruling coalition meeting. 12:29 Met with Chief Cabinet Secretary Machimura. TOKYO 00000039 003 OF 010 14:02 Attended New Year's party hosted by three economic organizations at New Otani Hotel. 14:43 Returned to Kantei. 16:48 Attended party hosted by Rengo (Japan Trade Unions Confederation). 18:00 Issued written official appointment to Toray President Sakakibara as member of the Council for Science and Technology Policy, attended by Machimura and Science and Technology Minister Kishida. Met afterwards with Environment Minister Kamoshita and Vice Environment Minister Murata. 18:54 Met with secretaries. 22:30 Returned to his private residence in Nozawa. 4) U.S. Assistant Secretary Hill criticizes DPRK, saying, "Information from DPRK does not address nuclear programs" YOMIURI (Page 2) (Full) January 8, 2008 U.S. Assistant Secretary of State Christopher Hill, the U.S. chief delegate to the six-party talks, yesterday met with the Japanese chief delegate to the talks, Kenichiro Sasae, director-general of the Asian and Oceanian Affairs Bureau of the Foreign Ministry at the ministry. The two officials agreed to continue to work together to call on North Korea to provide a "complete and correct declaration of its nuclear programs" as North Korea failed to meet its commitment to declare all its nuclear programs by the deadline of the end of last year. After the meeting, Hill indicated to the press that he would take a tough line, saying, "I held a number of discussions with North Korean officials, but the information they (provided me) did not include nuclear programs and nuclear facilities. Their declaration must be complete, and a 90 PERCENT declaration is not acceptable." Moreover, Hill said, "They may intend not to make their nuclear programs open to the public. Another major reason would be that the North Korean government is highly closed," and criticized North Korea's response. Sasae said: "Correct and complete contents are more important than when (the declaration) is made." Prior to the meeting, Hill told reporters at Narita Airport: "The process of disabling nuclear facilities has been 75 PERCENT completed." 5) Fujisaki to be named ambassador to U.S.; Ebihara to be ambassador to Britain YOMIURI (Page 2) (Full) TOKYO 00000039 004 OF 010 January 8, 2008 The government yesterday held a cabinet meeting on personnel appointments at the Prime Minister's Official Residence. The meeting approved the voluntary retirement of Administrative Vice Foreign Minister Shotaro Yachi. It informally decided to promote Deputy Foreign Minister (for political affairs) Mitoji Yabunaka to the vice minister's post, replacing Yachi. The government will appoint Asian and Oceanian Affairs Bureau Director General Kenichiro Sasae to serve as a deputy foreign minister, succeeding Yabunaka; Akitaka Saiki, currently deputy chief of mission at the embassy in Washington, to be the successor to Sasae; and former Ambassador to Ireland Keiichi Hayashi to serve as deputy vice minister. Their appointments will be formally decided in a cabinet meeting in mid-January. The government has also decided to pick Ichiro Fujisaki, ambassador to the International Organizations in Geneva, as the replacement of Ambassador to the U.S. Ryozo Kato, and Ambassador to Indonesia Shin Ebihara as the successor to Ambassador to Britain Yoshiji Nogami. The ambassadors' appointments are expected to be formally decided in a cabinet meeting in late January or later. Ichiro Fujisaki, ambassador to the United States: Left Keio University's law faculty in mid-course in 1969; served as minister at the embassy in Washington, director general of the North American Affairs Bureau, and deputy foreign minister; born in Kagoshima Prefecture; age 60. Shin Ebihara, ambassador to Britain: Left the University of Tokyo's law faculty in mid-course in 1971; served in such posts as deputy chief cabinet secretary and ambassador to Indonesia; born in Tokyo; age 59. Keiichi Hayashi, deputy vice minister: Graduated from the University of Tokyo's law faculty in 1974; served as director general of the International Legal Affairs Bureau and ambassador to Ireland; born in Yamaguchi Prefecture; age 56. 6) DPJ not to vote on new antiterror bill, postpone filing censure motion YOMIURI (Page 2) (Abridged) January 8, 2008 A government-introduced antiterrorism bill resuming the Maritime Self-Defense Force's refueling activities in the Indian Ocean is now before the Diet for a vote during its current session. The leading opposition Democratic Party of Japan (Minshuto) will seek to carry over the legislation to the next Diet session without voting on the bill in the House of Councillors. In addition, the DPJ has also decided not to submit a censure motion against Prime Minister Fukuda in the House of Councillors, even if the ruling parties vote again on the bill in the House of Representatives. The DPJ held a meeting of its executives yesterday at its headquarters, including President Ozawa, Vice President Kan, Secretary General Hatoyama, DPJ House of Councillors Chairman Azuma Koshiishi, and Diet Affairs Committee Chairman Kenji Yamaoka. In the meeting, they discussed the DPJ's future course of action for the Diet over the new antiterror legislation. If the new antiterror bill is not put to a vote in the House of TOKYO 00000039 005 OF 010 Councillors before Jan. 12, the bill can be taken as being voted down in the House of Councillors and can be put to a second vote in the House of Representatives as stipulated in the Constitution. The DPJ had therefore intended to vote down the bill in the House of Councillors before that date in order to show its stance of opposing the legislation. However, the DPJ chose to let the ruling parties regard the bill as being voted down and vote again on the bill in the House of Representatives. "In that case," a DPJ executive said, "the ruling parties' overbearing attitude is clear in the public eye." Meanwhile, the ruling Liberal Democratic Party and its coalition partner, New Komeito, will not agree to carry over the new antiterror bill to the next Diet session. The ruling coalition will vote again on the bill in the House of Representatives on Jan. 12 and enact it into a law. The DPJ has now decided not to submit a censure motion against the prime minister during the current Diet session. The DPJ will reserve it as a 'trump card' to show when the party faces off with the governing parties in the Diet over gasoline tax rates, pension record-keeping flaws, and other issues that will directly affect public life. 7) New refueling bill to be re-adopted in Lower House on Jan. 12 as DPJ decides to forgo taking vote on bill in Upper House TOKYO SHIMBUN (Top play) (Full) January 8, 2008 The current extraordinary session of the Diet has focused on the new antiterrorism special measures bill (new refueling bill) that will allow the Maritime Self-Defense Force (MSDF) to resume the refueling mission in the Indian Ocean. This new refueling bill is now highly likely to be re-approved by two-thirds or more of votes from the ruling parties in the Lower House on Jan. 12 and be enacted into law. Behind this development is the major opposition Democratic Party of Japan's (DPJ) decision made after intra-party discussion on the bill not to take a vote on it in the Upper House and carry it over to the next session of the Diet. As the bill will mark the 60th day on Jan. 11 after it was sent to the Upper House, the ruling bloc considers the bill rejected by the Upper House in accordance with the provisions in Article 59 of the Constitution and intends to re-adopt the bill in the Lower House. Re-approving the bill in the Lower House and enacting it into law will be the first time ever since 1957. When it comes to bills that were re-adopted in the Lower House 60 days after they were sent to the Upper House, the new refueling bill will be the second case after the Special Measures Law for the Transfer of Assets Belonging to the Special Account of National Hospitals. The DPJ held a meeting of its four top officers, including President Ichiro Ozawa, yesterday afternoon for final discussion on how to treat the new refueling bill. Details of the discussion was not made clear, but the DPJ has called on the ruling bloc to deliberate on the new refueling bill and the DPJ's counterproposal together in the upcoming ordinary session of the Diet to be convened on Jan. 18. The opposition bloc is expected to take the procedures on Jan. 11 in the Upper House, which is under its control, to carry over the refueling bill to the next session of the Diet. TOKYO 00000039 006 OF 010 Meanwhile, the government and the ruling bloc confirmed its policy at a liaison meeting yesterday that they would do their utmost to get the new refueling bill passed into law with the ruling Liberal Democratic Party's (LDP) Secretary General Bunmei Ibuki noting, "We stand firm in our resolve (to pass the bill into law)." They intend to swiftly re-adopt the bill in the Lower House on Jan. 12, the day that will mark the 61st day after the bill was sent to the Upper House. At a meeting yesterday afternoon of directors from the Upper House Committee on Foreign Affairs and Defense, the ruling bloc suggested taking a vote on the new refueling bill today (in the Upper House), but the DPJ presiding at the committee rejected the ruling bloc's proposal. The new refueling bill passed the Lower House on Nov. 13 of last year. The bill restricts the MSDF's activities in the area of supplying oil and water and it does not require Diet approval for (dispatch of the MSDF abroad). 8) Sense of intensity absent from resumed regular Diet session; Ruling, opposition camps want to avoid head-on clash MAINICHI (Page 5) (Abridged slightly) January 8, 2008 The extraordinary year-crossing Diet session resumed yesterday. The government and ruling parties intend to enact the new antiterrorism special measures bill, which is now a focus of attention, in the current session by taking a second vote in the House of Representatives on Jan. 12. The current Diet session is nearing its climax. However, a sense of intensity is lacking, as both the ruling and opposition camps truly want to avoid an "accidental" Lower House dissolution. Yesterday, major opposition Democratic Party of Japan (DPJ or Minshuto) Diet Affairs Committee Chairman Kenji Yamaoka had a meeting in the Diet building with his Liberal Democratic Party counterpart Tadamori Oshima. In the session, Oshima humbly said: "There is a rumor that we will have a (Lower House) election this year. We would like to value talks as much as possible." When the government decided in mid-December on a lengthy extension of the Diet session and the ruling bloc decided to have the Lower House readopt the new antiterrorism special measures bill, there was an observation in both the ruling and opposition camps that those decisions would result in a Lower House dissolution. Prime Minister Yasuo Fukuda, however, made moves to improve his image, as seen in his decision on lawmaker-initiated legislation to offer blanket relief to people with hepatitis C caused by tainted blood products. At the same time, his rejection of the idea of dissolving the Lower House before the Hokkaido Lake Toya G8 Summit in July has also prompted the opposition bloc to soften its arm-twisting approach. The DPJ, for instance, has decided to forgo a plan to submit a censure motion to the Upper House against the prime minister. To begin with, the DPJ does not want to see a Lower House dissolution resulting from the new antiterrorism legislation. Appearing on a television program yesterday, DPJ President Ichiro Ozawa indicated a plan to watch the situation for the time being, saying: "Even the use of a special technique will not be able to (result in Lower House dissolution)." The emerging plan to allow the TOKYO 00000039 007 OF 010 Lower House to readopt bills without having the Upper House vote them down also reflects the opposition bloc's intention to reduce tension. The LDP, too, has already given up on a plan to have the Lower House's endorsement for amendments to the special taxation special measures law before the end of January in the next Diet session. Although the prime minister has managed to improve the image of his cabinet with his decision on the HCV issue, the cabinet support rate is still low. This does not now allow him to dissolve the Lower House. The prime minister also thinks it is not wise to irk the DPJ. The ruling and opposition camps, however, share the view that a series of scandals involving the Ministry of Defense could result in tumultuous developments toward the end of the current Diet session. Naoki Akiyama, a director of the Japan-U.S. Center for Peace and Cultural Exchange, is scheduled to testify before the Upper House Foreign Affairs and Defense Committee today. Any change in the current situation might push the DPJ back toward the hard-edged policy. 9) Hepatitis relief bill to be enacted tomorrow NIKKEI (Page 2) (Excerpts) January 8, 2008 The ruling Liberal Democratic Party (LDP) and its coalition partner New Komeito submitted yesterday to the House of Representatives a bill to provide blanket relief to people who contracted hepatitis C after being administered with contaminated blood products. Following the submission of the bill, the ruling and opposition camps held a directors meeting of the Lower House Committee on Health, Labor and Welfare and the meeting agreed to take a vote on the bill today in the committee. It is certain that the legislation will clear the Lower House today and will be adopted in a plenary session tomorrow of the House of Councillors, since the main opposition Democratic Party of Japan (DPJ or Minshuto) has expressed its intention to approve it. 10) Next regular Diet session to open Jan. 18; Stormy developments expected; LDP split over fixed-deadline bills SANKEI (Page 2) (Excerpts) January 8, 2008 In the wake of Prime Minister Yasuo Fukuda's decision to postpone shuffling his cabinet in January, the government and ruling parties decided yesterday to convene the next regular Diet session on Jan. ¶18. It will run for 150 days through June 15. The focus would be the handling of 43 annual revenue-connected bills that are slated to expire at the end of March. A failure to enact them by the end of March would hinder fiscal resources. The major opposition Democratic Party of Japan (DPJ or Minshuto),however, is set to put up do-or-die resistance, demanding the abolition of the provisional tax rate on gasoline, now used for improving roads. With the House of Councillors Liberal Democratic Party strongly calling for the bills be sent to the Upper House before the end of January, the ruling and opposition camps are expected to clash head-on with each other from the start of the next Diet session. Chief Cabinet Secretary Nobutaka Machimura called on the House of TOKYO 00000039 008 OF 010 Representatives Rules and Administration Committee last evening to tell it the government's plan to make a cabinet decision on Jan. 8 about opening the next regular Diet session on Jan. 18. The prime minister is expected to deliver his policy speech in both chambers of the Diet on Jan. 18, followed by interpellations by party leaders on Jan. 21-23. Deliberations on the supplementary budget bill totaling 1.78 trillion yen for agricultural and disaster recovery measures and other steps are likely to begin on Jan. 24. The government and ruling parties eye enacting bills with fixed deadlines before the current fiscal year ends on March 31, though the leaderships of the two chambers remain split on it. Upper House LDP Caucus Chairman Hidehisa Otsuji thinks that the only way to ensure the enactment of bills is to take second votes in the Lower House and that a time limit will result from calculating them backwards. For this reason, the Upper House LDP is strongly calling for the bills be sent to the upper chamber before the end of January, bearing in mind the application of the constitutional rule that the Upper House's inaction for 60 days after receipt of a bill is regarded as de facto rejection. But in such a case, the Diet will have to discuss the supplementary budget bill along with other bills with fixed deadlines. The Lower House is considering letting the Financial Affairs Committee deliberate on many deadline bills as one package by using the Budget Committee's unused time and making the General Affairs Committee discuss the local tax-connected bills. Machimura, however, indicated that in view of a political timetable, having them clear the Lower House before the end of January is difficult. 11) Upper House panel to summon Akiyama today as unsworn witness over scandals involving Defense Ministry NIKKEI (Page 2) (Full) January 8, 2008 The House of Councillors Committee on Foreign Affairs and Defense will summon today Naoki Akiyama, the executive director of the Japan-U.S. Center for Peace and Cultural Exchange, as an unsworn witness. Akiyama is regarded as a pipeline between defense-related companies and the defense policy clique in the Diet. The center was subjected to a search by the special investigation squad of the Tokyo Public Prosecutors Office as an organization related to the case of embezzlement by a former executive of defense equipment trading house Yamada Corp., who was arrested for embezzling corporate funds. Since the center is suspected of receiving about 120 million yen from Yamada Corp., the Upper House committee aims to shed light on its relations with politicians and political maneuvering. The outcome of the Diet testimony will likely have an impact on future debate. 12) Hiranuma aims at new party with over 30 members TOKYO SHIMBUN (Page 2) (Full) January 8, 2008 Former Economy, Trade, and Industry Minister Takeo Hiranuma, appearing on a Nippon BS Broadcasting program yesterday, revealed a TOKYO 00000039 009 OF 010 plan to aim at a new party with some 30 conservative lawmakers from both houses of the Diet. He said: "I want over 30 lawmakers, including Upper House members. I have been associating with capable mid-level and junior Democratic Party of Japan lawmakers. Former LDP Policy Research Council Chairman Shoichi Nakagawa has launched a study group of (conservative members). I would like to make preparations for a third pole by closely associating with such people." He also indicated that he envisions teaming up with the People's New Party, as well, saying: "When a new situation results, we must discuss matters with the People's New Party, as well." 13) Emissions trading requires overhaul: EU emissions quotas too generous; Challenge to Japan with G-8 close at hand YOMIURI (Page 8) (Full) January 8, 2008 It was learned that the European Union (EU) allocated generous emissions quotas to several companies, based on its greenhouse gas emissions right trading system. The revelation indicates that this system needs a major overhaul. The Ministry of Economy, Trade and Industry (METI) and the Japan Business Federation (Nippon Keidanren) have pointed out problems about the system beforehand, including the difficulty of setting fair emissions rights. They instead proposed another system of each industrial sector separately tackling emissions cuts. Japan is pressed to make a difficult decision, as it is necessary for it as the nation hosing the Lake Toya Summit in Hokkaido to display leadership in setting a long-term policy course for the world to reduce greenhouse gas emissions. The EU tried to make an environment tax a showcase of its global warming preventive measures in 1997, when the Kyoto Protocol was adopted. However, meeting strong opposition from industrial circles, it ended with the introduction of an emissions right trading system. As such, the EU has allocated higher emissions quotas to companies in the region, by estimating higher growth rates. Since EU members include developing East European countries, companies in such countries with lax environmental regulations were apparently allocated with too generous quotas. If such companies sell their redundant emissions rights, they can procure funds to improve management efficiency without making efforts to cut emissions. However, the EU stands firm on its stance that further improvement of the system would lead to global-scale cuts in greenhouse gases. Japan in tight spot In Japan, industrial sectors are making efforts to cut greenhouse gas emissions 6 PERCENT from the fiscal 1990 level as set under the Kyoto Protocol. However, it is not easy for them to meet the goal in the FY2008-FY2012 period. Since Japanese companies' technologies for environmental measures are already at the highest level in the world, a further reduction in emissions will cost them an enormous amount of money. For instance, Japan's steel industry has environmental technologies TOKYO 00000039 010 OF 010 that are more advanced that those of Europe and the U.S., and yet it has to purchase emissions credits from foreign countries in order to achieve the goal. Other industry sectors might also suffer a decline in international competitiveness if they have to spend more money to cut greenhouse gas emissions. Chances are high that if Japanese industry's international competitiveness declines, growth of the Japanese economy could slow. In order to deal with the graying society, Japan needs to lead global efforts to create a mechanism for cutting carbon emissions. 14) Gov't to boost safety guidance on foreign airlines ASAHI (Page 1) (Abridged) January 8, 2008 There were troubles at domestic airports involving foreign airlines operating in Japan, such as a China Airlines plane's explosion into flames and an Air Canada jumbo jet's taxiing onto the wrong runway. In response to such events, the Ministry of Land, Infrastructure and Transport will strengthen its officials' boarding inspections of foreign planes arriving at Japanese airports in fiscal 2008. The ministry will assign special inspectors to domestic airports and step up safety oversight and guidance on a routine basis. The skies are now being liberalized with the government's Asia Gateway initiative, and foreign airlines are expected to extend low-priced flights to Japan. The ministry will therefore take steps for safety. The Land and Transport Ministry will establish a managerial post of "foreign aircraft safety inspection officer" in its Flight Standards Division in fiscal 2008. The ministry will post two officials under the inspection officer in the fall of this year to conduct guidance on foreign airlines, exchange information, and cooperate with foreign civil aviation authorities. In addition, the ministry will also assign more examination officers for on-the-spot inspections. The Land and Transport Ministry will set about strengthening its surveillance of foreign airlines due to their troubles. There were five mistakes that could have led to serious disasters. In January last year, a Korean Air Lines plane mistakenly landed on an approach at Akita Airport. In October and November, an Air Canada plane and a China Southern Airlines plane mistakenly entered the wrong runways. In August last year, a China Airlines plane exploded into flames at Naha Airport. This accident seriously damaged public faith in foreign airlines. In September last year, another China Airlines plane at Saga Airport was discovered to have a 77-centimeter crack. DONOVAN