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Japanese politics

June 20, 2011

There is disagreement in the Japanese government over who will foot the bill for the victims of the country's nuclear disaster. Meanwhile, there is also discord over when Prime Minister Kan will resign from office.

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Anti-nuclear sentiment is growing in Japan; the sign reads "don't spread radioactivity to western Japan"
Anti-nuclear sentiment is growing in Japan; the sign reads "don't spread radioactivity to western Japan"Image: dapd

Japan's main opposition Liberal Democratic Party (LDP) is not prepared to accept the government's scheme to help Tokyo Electric Power (TEPCO) pay billions of dollars in compensation to victims of its nuclear plant disaster, a LDP lawmaker said on Monday. But the party is not united on its own counterproposal to a government bill that would allow the establishment of a fund to help Tepco compensate those affected by radiation leaks from its tsunami-hit Fukushima nuclear plant, Taro Kono also told the Reuters Rebuilding Japan Summit in Tokyo.

The government is set to submit the bill to parliament, but when and whether the bill can be enacted is uncertain as it faces resistance from opposition parties. Kono also said in the next general election, which must be held by 2013, he sees a possible emergence of a "green alliance" that would bring together some lawmakers in the ruling Democratic Party and the LDP calling for a shift in energy policy.

The earthquake and tsunami of March 11 left 15,462 dead and 7,650 missing
The earthquake and tsunami of March 11 left 15,462 dead and 7,650 missingImage: dapd/Accident Investigation SC/Kyodo

Sparing shareholders and banks

Kono, known as a maverick in the LDP who has long condemned Japan's nuclear energy policy, criticised the government scheme, saying it spares shareholders and creditor banks while risking a bigger burden for taxpayers. But those in the LDP that are against the bill are split over how the compensation issue should be handled, he said. "It is probably unavoidable that Tepco's debts will exceed its assets. If that is the case, then the government should...have it go through court-led bankruptcy," he said, adding that this is not the majority view in his party.

Meanwhile, Japanese Prime Minister Naoto Kan refused to tell his deputies when he would step down, despite his earlier promise that he would resign, local media reported Monday. Leaders of the Democratic Party of Japan (DPJ) government met the premier Sunday to urge his resignation, but he did not appear willing to do so in the short term.

No-confidence

Kan survived a parliamentary no-confidence vote on June 2, but said he would resign once his government has dealt with the aftermath of the March 11 earthquake, tsunami and nuclear crisis at the Fukushima Daiichi nuclear plant. Kan later suggested he would remain in office until the troubled nuclear plant was under control, something Tokyo Electric Power Co expects to happen in January at the earliest. Kan's government has been criticized for a slow and inadequate response to the March disaster that left 15,462 dead and 7,650 missing, and the ensuing nuclear crisis.

Reuters, dpa