DAILY SUMMARY OF JAPANESE PRESS 03/30/09

UNCLAS SECTION 01 OF 08 TOKYO 000707

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TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA

SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 03/30/09

INDEX:

AMERICAN EMBASSY, TOKYO
PUBLIC AFFAIRS SECTION
OFFICE OF TRANSLATION AND MEDIA ANALYSIS
INQUIRIES: 03-3224-5360
INTERNET E-MAIL ADDRESS: otmatokyo@state.gov
DAILY SUMMARY OF JAPANESE PRESS
March 30, 2009

INDEX:

(1) DPJ Secretary General Hatoyama: Ozawa will decide before Lower
House election whether he should remain or step down (Yomiuri)

(2) Poll: 68 PERCENT see economy as going in bad direction (Nikkei)


(3) Coordination underway on mid-term goal for greenhouse emissions
cuts, with focus on either 7 PERCENT or 15-16 PERCENT cut target
(Nikkei)

(4) Poll on bureaucracy (Yomiuri)

(5) TOP HEADLINES

(6) EDITORIALS

(7) Prime Minister's schedule, March 28 (Nikkei)

ARTICLES:

(1) DPJ Secretary General Hatoyama: Ozawa will decide before Lower
House election whether he should remain or step down

YOMIURI (Page 1) (Full)
March 30, 3009

Democratic Party of Japan (DPJ) Secretary General Yukio Hatoyama
revealed to reporters yesterday in Tokyo that DPJ President Ichiro
Ozawa would decide just prior to the next House of Representatives
election whether he should step down from his post over the alleged
illicit donation scandal involving his political fund management
organization. He also said that if Ozawa resigned, he, too, would
quit his post.

According to Hatoyama, he met with Ozawa on March 26 to suggest that
both of them should resign if they judged a change in government
would be difficult due to the attitude of the public toward the
party having turned severe prior to the election." Ozawa replied, "I
understand."

Regarding Ozawa's fate, Hatoyama told the reporters:

"The DPJ must become the largest party in the Lower House election,
gaining a majority of the seats. We will conduct an election
analysis in a necessary time. That will become a factor in our
judgment."

In this regard, a senior DPJ member said yesterday: "It is good that
(Ozawa) will decide just before the Lower House is dissolved whether
he should resign as party leader."

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The reason for Hatoyama having revealed his talks with Ozawa is the
growing criticism in the party and elsewhere of Ozawa's earlier
decision to remain in his post. According to a Yomiuri poll, 68
PERCENT of the public said that they were unhappy with Ozawa's
decision. The DPJ suffered a blow in Sunday's Chiba gubernatorial
election when its candidate was defeated. Hatoyama's revealing his
discussion with Ozawa appears to have been aimed to quiet down
criticism of Ozawa by saying that his earlier expression of his
intention to remain in his post was not a final decision.

Hatoyama, appearing on an NHK talk show yesterday, revealed that he
would like to see an investigation team of experts from outside the
party quickly set up. He said that the team would reveal how Ozawa's
massive political funds was used and the way that the media was
reporting the scandal.

(2) Poll: 68 PERCENT see economy as going in bad direction

NIKKEI (Page 2) (Full)
March 30, 2009

The Cabinet Office yesterday released the results of its opinion
poll that probed the public's social attitudes. In the poll,
respondents were asked in which areas they thought Japan was going
in a bad direction. In the breakdown of multiple-choice answers to
this question, "economy" added up to 68.6 PERCENT , up 25.2 points
from the last poll taken in February 2008. The figure is an all-time
high since a similar survey was started in 1998.

The proportion of those who picked "economy" was over 70 PERCENT
among both males and females in their 20s to 50s. "Employment, labor
conditions" hit an all-time high of 57.5 PERCENT , up 26.4 points
from the last survey.

In the breakdown of answers to a question asking where Japan is
going in a good direction, "science and technology" topped all other
answers at 28.1 PERCENT . Asked whether public opinion is reflected
in state policies, negative answers totaled 80.7 PERCENT , up 5.5
points from the last survey. Among males and females in their 30s
and 40s, negative answers accounted for over 85 PERCENT . The survey
was conducted across the nation from Jan. 22 through Feb. 8, with a
total of 10,000 persons chosen from among males and females aged 20
and over. The rate of valid responses was 58.9 PERCENT .

(3) Coordination underway on mid-term goal for greenhouse emissions
cuts, with focus on either 7 PERCENT or 15-16 PERCENT cut target

NIKKEI (Page 4) (Full)
March 28, 2009

The government held a meeting yesterday of the mid-term goal study
commission (chaired by former Bank of Japan Governor Toshihiko
Fukui) of an advisory panel on the global warming issue under the
prime minister's direct control. The commission revealed its draft
report on a mid-term goal to reduce the nation's greenhouse gas
emissions through 2020. The report lists five options for Japan's
reduction target, ranging from a 4 PERCENT increase to a 25 PERCENT
decrease over 1990 levels. The report also includes the estimated
economic impact of each target on the nation's gross domestic
product (GDP) and household finances. The government, while
carefully watching developments in international talks and domestic

TOKYO 00000707 003 OF 008


public opinion, will narrow down these options. But reflecting the
recent worsened economic climate, the government will have to make a
difficult decision in June.

The options are (1) a 4 PERCENT increase, (2) flat to a 3 PERCENT
decrease, (3) a 7 PERCENT decrease, (4) a 15-16 PERCENT decrease,
and (5) a 25 PERCENT decrease. For all options except for the
second target, the report presents specific measures to attain the
goals and their impact on the economy. For the second option, since
the calculation was worked out, with the same reduction costs set as
those of other industrialized countries on the assumption that they
will reduce their entire gas emissions by 25 PERCENT , so specific
measures are not included in it.

The estimates show that efforts to achieve the targets will have the
cumulative effect of pushing down Japan's GDP by up to 6 PERCENT ,
which puts the maximum annual impact through 2020 at around minus
0.5 PERCENT if calculated simply. The report further shows that
efforts to cut global warming gas emissions will likely add a
maximum 1.9 PERCENT points to the jobless rate and push up
household lighting and heating costs as much as 140,000 yen in

2020.

Since the expenses to contain global warming will be added to energy
prices, such utilities as electric and gas charges will go up,
resulting in imposing a heavier financial burden on companies and
households. In discussions at the advisory panel, such short-term
economic stimulus measures as the Green New Deal, now under
consideration by the government, has not been taken into
consideration.

Now that almost all mid-term goals have been presented, the
government will start narrowing down the options in earnest. In
order to have public views reflected in selecting one of them, the
government plans to hold public hearings between cabinet ministers
and the public and also to explain how important it is to fight
global warming and what burden will be newly added to the public and
firms.

The options of a 7 PERCENT cut and a 15-16 PERCENT reduction are
seen in the government as the most feasible choices. The 4 PERCENT
-increase target will certainly meet criticism from other countries
and regions in international talks. The 25 PERCENT -cut option will
result in imposing an excessively heavy burden on the economy.
Japan, in a bid to lead the international community in combating
global warming, hopes to come up with a target that takes a step
forward. Even so, the government finds it difficult to ask
households and companies to bear an excessive burden.

In a press conference after a cabinet meeting yesterday, Environment
Minister Tetsuo Saito expressed concerns about the fact that the
adverse effects have been excessively focused on. He said: "We must
also take it into consideration that measures to reduce global
warming gas emissions will generate new demand and jobs." A
representative of an environment-related non-governmental
organization (NGO) assailed the report, saying: "Consideration has
not been fully given to the seriousness of damage caused by global
warming."

Fukui made this remark in winding up the meeting yesterday: "The
selection of a mid-term goal will be an important government
decision, with an eye on the future of Japanese society 10 years

TOKYO 00000707 004 OF 008


down the road. We would like to solicit frank views from the public.
The government is likely to be pressed to explain what damage, in
addition to a burden, will be generated by global warming.

(4) Poll on bureaucracy

YOMIURI (Page 14) (Full)
March 27, 2009

Questions & Answers
(Figures shown in percentage)

Q: Do you trust central government bureaucrats on the whole?

Yes 6.3
Yes to a certain degree 16.1
No to a certain degree 29.1
No 44.5
No answer (N/A) 4.1


Q: What is your impression of central government bureaucrats? If
any, pick as many as you like from among those listed below.

Excellent 23.7
Diligent 10.1
A sense of mission 6.8
A sense of responsibility 6.9
Long-term perspective 3.1
Cautious 7.0
Fair, clean 2.1
Flexible 0.9
Each office's interests come first 30.4
Consider precedents first 25.8
Ambitious 28.7
Arrogant, haughty 28.6
Collusive ties with political, industrial circles 42.1
Control political, industrial circles 20.1
Irresponsible 25.8
A sense of entitlement 31.9
Sticking to vested rights, interests 22.5
Amakudari ("descent from heaven" or government bureaucrats' practice
of moving into public corporations or private businesses after
retirement 58.2
Nothing in particular 4.7
Other answers (O/A) 0.3

Q: There is an opinion saying excellent human resources should be
recruited for central government offices. Do you agree to this
opinion?

Yes 80.5
No 16.1
N/A 3.4

Q: There is an opinion saying an excessive criticism of bureaucrats
will demoralize bureaucrats and will not be in the public's
interests. Do you agree to this opinion?

Yes 41.0
No 52.6
N/A 6.4

TOKYO 00000707 005 OF 008



Q: There is an opinion saying that bureaucrats are pushing for
administrative services with a sense of mission. Do you agree to
this opinion?

Yes 31.2
No 60.1
N/A 8.7

Q: There is an opinion saying that bureaucrats are sticking to
precedents and are unable to meet economic and social changes
promptly. Do you agree to this opinion?

Yes 77.8
No 15.4
N/A 6.8

Q: There are two opinions about the private sector's economic
activities. Which opinion is closer to yours?

(A) The central government should do away with its bureaucrats'
guidance and coordination.
(B) The central government should retain its bureaucrats' guidance
and coordination to a certain extent.

(A) to a certain degree 34.6
(B) to a certain degree 55.2
N/A 10.2

Q: Do you think politicians should be tasked with the role of making
policies for the country, or do you otherwise think central
government bureaucrats should be tasked with this policymaking
role?

Politicians 58.8
Bureaucrats 9.0
Can't say which 28.5
N/A 3.6

Q: Do you think politicians are taking the initiative in making
policy decisions for Japan, or do you otherwise think central
government bureaucrats are taking the initiative in doing so?

Politicians 22.9
Bureaucrats 48.9
Can't say which 24.3
N/A 3.9

Q: There are opinions about the amakudari practice of central
government bureaucrats. One is that amakudari is unacceptable
because it could result in collusive ties between bureaucrats and
industrial circles. Another opinion is that there is no problem
because it uses capable human resources. Do you think the amakudari
practice of central government offices is unacceptable or
unavoidable, or do you otherwise think there is no problem?

Unacceptable 77.7
Unavoidable 17.5
No problem 2.1
N/A 2.7

Q: What do you think the government should address on a priority

TOKYO 00000707 006 OF 008


basis to reform its national public service system? Pick up to two
from among those listed below.

Establish a merit system 29.5
Recruit from the private sector or push for personnel exchanges with
the private sector 36.6
Prohibit amakudari outplacement 55.2
Prevent collusive ties with politicians 38.4
Establish a system allowing the prime minister to display more
leadership 14.6
O/A 0.3
Nothing in particular 3.4
N/A 1.4


Polling methodology
Date of survey: March 14-15.
Subjects of survey: 3,000 persons chosen from among all eligible
voters throughout the country (at 250 locations on a stratified
two-stage random-sampling basis).
Method of implementation: Door-to-door visits for face-to-face
interviews.
Number of valid respondents: 1,755 persons (58.5 PERCENT )
Breakdown of respondents: Male-48 PERCENT , female-52 PERCENT ;
persons in their 20s-8 PERCENT , 30s-14 PERCENT , 40s-17 PERCENT ,
50s-21 PERCENT , 60s-25 PERCENT , 70 and over-16 PERCENT ; big
cities (Tokyo's 23 wards and government-designated cities)-22
PERCENT , major cities (with a population of more than 300,000)-17
PERCENT , medium-size cities (with a population of more than
100,000)-26 PERCENT , small cities (with a population of less than
100,000)-24 PERCENT , towns and villages-11 PERCENT .

(Note) In some cases, the total percentage does not become 100
PERCENT due to rounding.

(5) TOP HEADLINES

Asahi:
63 PERCENT of survey respondents say Ozawa should resign as
Democratic Party of Japan (DPJ) leader

Mainichi: Sankei: Tokyo Shimbun:
Morita elected Chiba governor, defeating DPJ candidate by big
margin

Yomiuri:
Public prosecutors to build case against Economy, Trade and Industry
Minister Nikai side on suspicion of receiving corporate donations

Nikkei:
Three leading Chinese companies to invest 6 trillion in
third-generation cell phone market

Akahata:
Head of Secretariat Ichida in NHK Sunday Toron talk show calls for
intensive Diet deliberations on Nishimatsu Construction

(6) EDITORIALS

Asahi:
(1) US strategy toward Afghanistan: International community also
urged to use resourcefulness

TOKYO 00000707 007 OF 008


(2) Passive smoking preventive regulation: First step taken by
Kanagawa Prefecture should be spread all over nation

Mainichi:
(1) Criticism of Wall Street: Economy cannot be revitalized with
confrontational stance
(2) IAEA director genera election: Japan's stance unclear

Yomiuri:
(1) Chiba gubernatorial election: Favorable trend for Democratic
Party of Japan (DPJ) changed
(2) Nationwide achievement test: We welcome participation of all
municipalities

Nikkei:
(1) Increase budget to improve nursing care and child-care: Reform
needed
(2) Confidence in agriculture ministry hit the lowest ground

Sankei:
(1) DPJ defeated in Chiba gubernatorial election: Use occasion to
reform Ozawa leadership
(2) China's military power: China should fulfill responsibility for
enhancing transparency

Tokyo Shimbun:
(1) Chiba gubernatorial election: Use his vigor for fiscal
reconstruction
(2) Goal of cutting greenhouse gas emissions: Forward-looking
political decision needed

Akahata:
(1) Iwakuni lawsuit against noise of jet fighters: Residents' action
could not be helped

(7) Prime Minister's schedule, March 28

NIKKEI (Page 2) (Full)
March 29, 2009

11:54
Left Haneda Airport by ANA flight 563, with Deputy Secretary General
Hayashi.

13:01
Arrived at Kochi Airport. Arrived at the green square at the airport
to see the bronze statue of Shigeru Yoshida, with former Defense
Agency Director General Gen Nakatani and others.

14:01
Attended a joint meeting of the LDP Kochi Chapter's Youth Section
and the Women's Section at a Japanese-style hotel in Kochi.

15:06
Attended a gathering calling itself "Student Diet in Kochi" held by
students in the prefecture at Central Park in the city.

16:29
Met Kochi Governor Ozaki in a Japanese-style hotel in the city.

17:01
Met an LDP Kochi prefectural assembly members' delegation. Later,

TOKYO 00000707 008 OF 008


enjoyed watching goods connected with former Prime Minister Shigeru
Yoshida at the lobby in the hotel.

18:16
Met former Financial Services Minister Yamamoto, chairman of the LDP
Kochi prefectural chapter, at Kochi Airport.

18:46
Left Kochi Airport by JAL flight 1490.

19:39
Arrived at Haneda Airport.

20:22
Met at his official residence with Finance Minister Yosano, Vice
Finance Minister Sugimoto, Financial Services Agency Director
General Sato, Vice Economy, Trade and Industry Minister Mochizuki,
BOJ Deputy Governor Yamaguchi, and others. Yosano, Sugimoto and
others stayed behind.

Prime Minister's schedule, March 29

NIKKEI (Page 2) (Full)

March 30, 2009

10:07
Took a walk around his official residence.

13:09
Arrived at an osteopathy clinic in Kita-Aoyama to receive
treatment.

15:40
Arrived at the Imperial Hotel.

18:12
Arrived at his official residence.

20:30
Held a telephone conversation with British Prime Minister Brown, in
the presence of Assistant Deputy Chief Cabinet Secretary Hayashi and
Foreign Ministry's Economic Affairs Bureau Director General Suzuki.

POST