Corporations bought government policy of promoting 'eco-point' system

Japan Press Weekly

Japan Press Service Co., Ltd. is the only news agency providing information of progressive, democratic movements in Japan

Corporations bought government policy of promoting 'eco-point' system
Akahata 'window' column

The supplementary budget for fiscal 2009 was passed by the House of Representatives on May 13 and sent to the House of Councilors. The 14-trillion-yen (about 147 billion dollars) budget includes financial "support" to consumers purchasing environmentally-friendly cars (370 billion yen or about 4 billion dollars) and energy-saving home electronics (294 billion yen or about 3 billion dollars).

The introduction of this "support" system was initially intended to help automobile and electronics industries boost their sales, which have been in a slump due to their excessive dependence on exports.

On April 2, Economy, Trade and Industry Minister Nikai Toshihiro met with Japan Business Federation (Keidanren) Chairman Mitarai Fujio and other Keidanren officials in a Tokyo hotel. In response to those business representatives' call for measures to be taken to encourage consumers to spend money on eco-friendly and energy-saving products, Nikai reportedly said that the government shares the basic stance with them, expressing willingness to include elements that respond to their call for additional economic stimulus measures.

According to political funds reports in 2007, the Japan Automobile Manufacturers Association (JAMA) donated 80.4 million yen (about 840 thousand dollars) to the People's Political Association, the Liberal Democratic Party's fund management organization. The Japan Electrical Manufacturers Association (JEMA) also gave it 77 million yen (about 780 thousand dollars) in donations. Corporate donations can be seen as political bribery to push business interests. Meanwhile, the Democratic Party of Japan's fund management body also received 4.3 million yen (about 45 thousand dollars) from JAMA and 3 million yen (about 32 thousand dollars) from JEMA.

Both automobile and electronics industries are ruthless in firing temporary workers, while urging the government to provide more assistance to them using tax money. Consumers can make use of financial assistance only once to purchase eco-friendly cars or energy-saving home electronics while corporations receive financial assistance over and over again. And now, the government is planning another increase in the consumption tax rate to benefit the corporate sector.

- Akahata, May 18, 2009