September 14, 2011

Prime Minister Noda Yoshihiko expressed his intention to resume the operations of suspended nuclear power plants and to increase taxes in his first policy speech delivered to both Houses’ plenary sessions at the opening of the 178th extraordinary Diet session on September 13.

At the House of Representatives plenary session, the ruling Democratic Party of Japan pushed the House to move to close the session in just four days in defiance of objections from opposition parties, including the Japanese Communist Party.

Regarding measures to recover and reconstruct from the Great East Japan Disaster, without presenting specific measures, Noda only stated that he will urgently give shape to a plan to establish a system for special economic zones. He also showed his willingness to increase taxes to finance post-disaster reconstruction work by saying that the burden of financial resources for recovery and reconstruction “should be shared by all generations living in the present.”

Referring to nuclear power generation, Noda said, “[I]t is unproductive to regard nuclear power generation policy as either ‘zero nuclear power’ or its ‘promotion’,” and announced that nuclear reactors passing regular inspections will restart their operations.

Concerning a comprehensive reform of taxation and social welfare systems aiming to impose another financial burden onto the general public, the prime minister stressed that “relevant legislation,” including a bill to raise the consumption tax rate to 10% from the present 5%, will be submitted during the next ordinary session of the Diet.

Prime Minister Noda also proposed to establish a “new meeting structure” containing representatives of the business community as a “control tower” overseeing national strategies; to continue to promote the plan to construct a new U.S. base in Henoko in Okinawa as the alternative to the U.S. Futenma base; and to reach a decision about entering the Trans-Pacific Partnership free-trade pact as quickly as possible.