Tax money to be used to pay off debts for wasteful bridges

A governmental panel promoting the privatization of the highway public corporations on November 5 agreed on a plan that will allow tax money to be used to offset part of the debt a public corporation incurred for constructing bridges connecting Honshu (Japan's main island) and Shikoku Island.

Under the plan agreed upon by the panel, one trillion yen from national taxes collected specifically for the construction and improvement of roads will be used.

The Liberal Democratic Party government in the past has constructed three bridges between Honshu and Shikoku in response to the demand by major construction companies. These bridges, however, accumulated a debt of 3.8 trillion yen.

There had been another proposal on using the surplus of other highway public corporations to cover the debt payments. But this idea was repudiated by LDP politicians who represent special interest companies in contract with the Land, Infrastructure and Transportation Ministry and in favor of the road construction companies. They want to use surplus money for constructing new expressways, Akahata of November 6 reported.

The privatization of highway public corporations, which the Koizumi Cabinet calls for, is the last thing the people need, said Akahata. (end)