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UNCLAS SECTION 01 OF 12 TOKYO 005481 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA; 
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION; 
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE; 
SECDEF FOR JCS-J-5/JAPAN, 
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA 
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR; 
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA. 
 
E.O. 12958: N/A 
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 12/07/07 
 
Index: 
 
1) Top headlines 
2) Editorials 
3) Prime Minister's daily schedule (Nikkei) 
 
4) U.S. Embassy rent issue on way to settlement after 10 years in 
arrears with agreement to ratchet up rent to near commercial level 
(Yomiuri) 
 
North Korea problem: 
5) President Bush in unusual gesture sends personal letter to DPRK 
leader Kim Jong Il on need for denuclearization report; Japan 
informed beforehand (Asahi) 
6) President Hu made appeal to North Korea on Japan's abduction 
issue, another sign of China's new cooperative stance toward Japan 
(Yomiuri) 
 
Diet showdown: 
7) Government and ruling camp decide to extend the Diet session, 
centering on mid-January, in order to pass antiterrorism special 
measures bill (Tokyo Shimbun) 
8) Prime Minister Fukuda will speak to coalition partner New Komeito 
next week to line up strategy for overriding Upper House's expected 
rejection of refueling bill (Asahi) 
9) Showdown with Democratic Party of Japan (DPJ) in the Diet over 
the antiterrorism bill is "inevitable" hints Prime Minister Fukuda 
(Tokyo Shimbun) 
10) Opposition parties are not lined up yet over Upper House 
strategy, including whether to file a censure motion and the timing 
of it (Nikkei) 
 
11) Japanese Communist Party trying to demonstrate its political 
presence by taking pragmatic and even cooperative stances (Asahi) 
 
12) Textbook screeners to allow insertion in school history books of 
"forced by the military" to describe mass suicides in Okinawa during 
final WWII battle (Tokyo Shimbun) 
 
Economic agenda: 
13) Finance Ministry wants to use the legendary "buried treasure" of 
10 trillion yen in hidden fiscal funds for paying off deficit bonds 
(Tokyo Shimbun) 
14) Administrative Reform Minister Watanabe, fighting a lonely 
battle, squares off against Chief Cabinet Secretary Machimura on 
"human talent bank" issue (Tokyo Shimbun) 
 
Articles: 
 
1) TOP HEADLINES 
 
Asahi: 
LDP, New Komeito agree to retain over next 10 years provisional tax 
rate related to tax revenues for road projects and use surplus money 
for environmental measures 
 
Mainichi: 
Regulatory reform panel suggests lifting ban on prescription by 
nurses to reduce doctors' burdens 
 
Yomiuri: 
Government intends to have corporate health insurance societies and 
 
TOKYO 00005481  002 OF 012 
 
 
mutual aid associations disburse 11 billion yen to government health 
insurance system 
 
Nikkei: 
Regulatory reform panel suggests easing requirements for admission 
to nursery centers 
 
Sankei: 
Reform of independent administrative corporations makes no progress 
 
Tokyo Shimbun: 
School Textbook Examination Council decides to allow school 
textbooks to describe forced mass suicides in Battle of Okinawa 
 
Akahata: 
In response to Japan Council against A & H Bombs' call for starting 
talks on a total ban on nuclear weapons, Spanish prime minister and 
other foreign leaders express agreement to hold such talks 
 
2) EDITORIALS 
 
Asahi: 
(1) Water summit: Prevent water contamination and make clean water 
available to everybody on the globe 
(2) Society where mentally-disable persons can live with their 
families together 
 
Mainichi: 
(1) DPRK is still developing nuclear weapons, though NIE report says 
Iran stopped developing nuclear weapons 
(2) Accumulated management gains should be used for restoring fiscal 
health 
 
Yomiuri: 
(1) OPEC meeting signaled a wrong message to crude oil market 
(2) Revised hot spring law: Comfort and safety both essential 
 
Nikkei: 
(1) Suggestions to eliminate "Moriya-like nature" of Defense 
Ministry 
(2) Expansion of oil supply capacity important 
 
Sankei: 
(1) NIE report on Iran: Too early to ease sanctions on Iran 
(2) U.S. needs to reconsider its strategy toward DPRK 
 
Tokyo Shimbun: 
(1) No expansion of oil supply capacity by OPEC: Japan needs to 
develop other energy sources 
(2) Bribery scandal involving former university professor of 
medicine: Don't escalate medical crisis 
 
Akahata: 
(1) OECD academic tests: Freedom and conditions essential to foster 
desire to learn 
 
3) Prime Minister's Official Residence (Kantei) 
 
Prime Minister's schedule, December 6 
 
NIKKEI (Page 2) (Full) 
December 7, 2007 
 
TOKYO 00005481  003 OF 012 
 
 
 
09:18 
Met Land and Transport Minister Fuyushiba and Road Bureau Director 
General Miyata at the Kantei, followed by LDP International 
Competitiveness Research Commission Chairman Omi. 
 
12:45 
Greeted the Crown Prince at the Asahi Hall in Yurakucho. Afterward 
attended a Handicapped Persons Week meeting. 
 
13:39 
Saw off the Crown Prince. 
 
15:00 
Met Local Revitalization Office Secretary General Yamamoto at the 
Kantei, followed by Prime Minister Ielemia of Tuvalu. 
 
16:13 
Met National Personnel Authority President Tani and National Public 
Service Ethics Board Chairman Yoshimoto, followed by LDP Reform 
Headquarters chief Takebe. 
 
17:05 
Met Environment Minister Kamoshita, Vice Environment Minister 
Tamura, Global Environment Bureau Director General Minamikawa, 
joined in by Dr. Harasawa of the National Institute for 
Environmental Studies. Afterward met Cabinet Intelligence Director 
Mitani. 
 
18:20 
Met former Lower House member Eisei Ito, followed by LDP General 
Council Chairman Nikai, and Lower House members Kazuo Aichi and 
Tetsuma Esaki. 
 
19:25 
Met Central Education Council Chairman Masakazu Yamazaki at a 
Japanese restaurant in Nagatacho. 
 
21:53 
Returned to his residence in Nozawa. 
 
4) Issue of U.S. Embassy's rent in arrears to be resolved after no 
payment in 10 years; Japan, U.S. agree to gradually hike rent 
 
YOMIURI (Page 2) (Full) 
December 7, 2007 
 
In negotiations on the issue of the rent in arrears for the past 10 
years on the land (approximately 13,000 m2) located at Akasaka, 
Tokyo, now used by the United States Embassy which is state-owned 
property, the Japanese and U.S. governments have agreed that the 
U.S. will pay the rent in arrears amounting to 70,000,000 yen to the 
Japanese government, and that the rent will be increased in stages. 
 
The Japanese government at one point had considered taking legal 
action against the rent issue because the statue of limitations runs 
out at the end of this month on the rent for 1998, but now that an 
agreement has been reached between the two governments, Japan and 
the U.S. have now avoided the case of bringing a civil action. 
 
According to the agreement, the annual rent, which had been 
criticized as being very low compared to commercial rents applied to 
 
TOKYO 00005481  004 OF 012 
 
 
land lots in the neighborhood, will be hiked in stages: 7,000,000 
yen for the period from 1998 through 2007, which has fallen into 
arrears; 10,000,000 yen for the period from 2007 through 2012; and 
15,000,000 yen for the period from 2013 through 2027. 
 
The U.S. Embassy is in a prime location close to the Diet and the 
Prime Minister's Official Residence. Under the 1896 lease, the rent 
was set at 400 yen annually and perpetually. But since then the rent 
was hiked twice in consideration of rising land values. For the 
period from 1983 through 1997, the rent of 2,520,000 yen was paid 
annually by the U.S. to the Japanese government. 
 
When the Japanese government suggested further hiking the rent for 
1998 and beyond to bring it close to prevailing commercial rents, 
the U.S. opposed the increase, arguing that the rent on the land 
used by the embassy should not be decided on a commercial basis. The 
U.S. in an unusual move decided not to pay the rent. 
 
As a result of 10 years of negotiations between the Ministry of 
Foreign Affairs and the Ministry of Finance and the U.S. Department 
of State and other agencies, "Both sides have met halfway with the 
Japanese side coming to terms with the U.S. on still lower rents 
compared to commercial rents in the vicinity and the U.S. side 
agreeing to pay the rent in arrears and accept the plan to hike the 
rent in stages," a source involved in the Japan-U.S. negotiations 
said. 
 
The British Embassy sits on the land covering a space of 35,000 m2 
in national property in Tokyo's Ichiban-cho. The rent on the land 
used by the British Embassy is 35,000,000 yen annually. In the case 
of the British Embassy's rent, one square meter is priced at 1,000 
yen, which is higher than the 770 yen per square meter the U.S. 
Embassy will pay from next year. 
 
5) President Bush sends letter to Kim Jong Il underlining need to 
fully declare nuclear programs 
 
ASAHI (Page 1) (Full) 
December 7, 2007 
 
U.S. President George W. Bush sent a letter to North Korean leader 
Kim Jong Ill, according to the Korean Central News Agency (KCNA) on 
Dec. 6. U.S. Assistant Secretary of State Christopher Hill on the 
same day also told reporters in Beijing that he had delivered the 
letter to North Korean Foreign Minister Pak Ui Chun during his 
recent trip to Pyongyang. According to the White House, President 
Bush's letter -- his first to the North Korean leader -- urges 
Pyongyang to fully declare its nuclear programs. 
 
White House Press Secretary Dana Perino in a press conference in 
Washington on Dec. 6 indicated that the President also wrote letters 
on Dec. 1 to the leaders of the other nations involved in the 
six-party talks. "The letter underlined the need for North Korea to 
fully declare its nuclear programs," Perino said. There is a 
possibility that the letter conveyed the President's eagerness to 
normalize ties between the United States and North Korea. 
 
President Bush harshly criticized Kim Jong Ill in 2005, calling him 
a "tyrant." Hill explained the reason why the President sent the 
letter this way: "With the second-phase of (the denuclearization 
issue) reaching a final stage, this is an extremely critical time." 
Given the KCNA report, North Korea seems to have taken the letter 
 
TOKYO 00005481  005 OF 012 
 
 
positively. 
 
According to Hill, the letters to the leaders of the five countries 
differ in contents. He is scheduled to visit Japan on Dec. 7 to 
deliver the letter to Prime Minister Yasuo Fukuda to Foreign 
Ministry Asian and Oceanian Affairs Bureau Director-General 
Kenichiro Sasae. 
 
According to a Japanese government official, Washington informed 
Tokyo of the contents of the letter to Kim Jong Ill in advance. The 
official explained: "It warned that matters would not move forward 
unless (North Korea) fully declares its nuclear programs." 
 
6) China plays up cooperative stance toward Japan, urging North 
Korea to make progress on abduction issue 
 
YOMIURI (Page 7) (Excerpts) 
December 7, 2007 
 
Chinese President Hu Jintao has urged Pyongyang to make progress on 
the abduction issue by expressing his hope for improved relations 
between Japan and North Korea. It can be called the least risky 
option for China, which does not want to fatally strain its 
relations with North Korea by applying pressure, to play up its 
cooperative posture toward Japan. 
 
During his visit to Japan in April this year, Chinese Premier Wen 
Jiabao, in response to Japan's request, expressed his willingness to 
"cooperate as necessary" for resolving the abduction issue. 
 
According to a diplomatic source, the Hu administration has 
concluded that in order to realize a series of reciprocal visits of 
top leaders of the two countries ranging from Prime Minister 
Fukuda's possible visit to China later this month to President Hu's 
visit to Japan next spring, it is essential to demonstrate a 
cooperative stance to move the abduction issue forward. With Beijing 
scheduled to host the Olympics next August, improving relations with 
Japan is imperative for China, which needs to stabilize its domestic 
situation. 
 
Needless to say, there is pragmatic calculation behind it as well. 
According to a source familiar with Japan-China relations, China 
aims at short-term gains, such as acquiring energy-conservation 
technology by extending cooperation for progress on the abduction 
issue. China's mid- to long-term goal, if it can actually contribute 
to moving the abduction issue forward, is to have Japan recognize it 
as a market economy. 
 
The question is how North Korea will respond to China's urging. 
 
The Chinese government has been looking into a variety of specific 
measures since April. But in reality, China does not have a free 
hand, according to a China source. 
 
That is because Pyongyang resents Beijing's pressure, and China's 
influence on North Korea has rapidly declined. The Inter-Korean 
Summit Declaration adopted in October stipulates a "meeting between 
the top leaders of three or four parties concerned" for declaring an 
end to the Korean War. Judging that the "three parties" was aimed at 
excluding China, Chinese diplomatic authorities were reportedly 
furious. 
 
 
TOKYO 00005481  006 OF 012 
 
 
7) Government, ruling coalition likely to re-extend Diet session to 
mid-January to enact new antiterrorism bill 
 
TOKYO SHIMBUN (Page 1) (Full) 
December 7, 2007 
 
The government and ruling parties decided yesterday to again extend 
the Diet session, which will end on Dec. 15, in order to enact a new 
antiterrorism bill allowing the Self-Defense Forces to resume 
refueling activities in the Indian Ocean. If the bill is voted down 
in the House of Councillors, the ruling camp will override it with a 
two-third majority vote in the House of Representatives. The 
government and ruling coalition is considering re-extending the 
current session by mid-January or for about a week. They will make a 
final decision in the middle of next week. 
 
Asked by the press about the possibility of using an override vote 
in the Lower House, Prime Minister Yasuo Fukuda last night said 
again: "I am considering all possibilities." 
 
Opposition Democratic Party of Japan (DPJ or Minshuto) Upper House 
Caucus Chairman Azuma Koshiishi stated in a press conference: "It 
would be difficult to pass the new antiterrorism bill through the 
Diet until the end of the Diet session," citing that enough time has 
not yet been spent for deliberations on the bill. The government and 
ruling bloc has determined that the Upper House will not take a vote 
on the bill during the extended current session since the a DPJ 
member chairs the chamber's Committee on Foreign Affairs and 
Defense, which is now deliberating the bill. They, therefore, has 
come up with a policy of re-extending the Diet session. 
 
It is most likely that the session should be extended again until 
Jan. 12 or later. 
 
8) Ruling coalition likely to override upper chamber vote for MSDF 
refueling bill 
 
ASAHI (Page 4) (Full) 
December 7, 2007 
 
A government-introduced bill for special measures to resume the 
Maritime Self-Defense Force's refueling activities in the Indian 
Ocean is now before the Diet. On this proposed legislation for 
Japan's fueling assistance, most members of the governing parties 
insist that the House of Representatives should revote on the bill 
to enact it into law. Prime Minister Fukuda again clarified his 
strong intention yesterday to enact the bill. The ruling Liberal 
Democratic Party's executives also called for revoting on the 
legislation. The government and ruling parties are now determined to 
reextend the current Diet session and enact the legislation if the 
opposition-dominated House of Councillors does not vote on it before 
the Diet closes its current session on Dec. 15. Fukuda will meet 
with New Komeito President Ota early next week and make his final 
judgment. 
 
"Who looked into my mind?" Fukuda asked reporters yesterday 
afternoon at his office when asked if he has made up his mind to 
revote on the MSDF refueling legislation. "Anyway," Fukuda added, "I 
firmly believe the bill will be passed." Yesterday evening, Fukuda 
was asked what he really meant. "I don't care how you figure it 
out," Fukuda answered. He also said, "I'm thinking of every 
possibility." 
 
TOKYO 00005481  007 OF 012 
 
 
 
"The prime minister is using various expressions to show his strong 
intention of enacting the legislation," Chief Cabinet Secretary 
Machimura told a press conference. Later in the day, Machimura spoke 
of what to do if the bill is voted down in the House of Councillors. 
"There's something to do in the House of Representatives." With 
this, the top government spokesman hinted at the option of 
overriding the upper chamber's decision. "If the bill does not clear 
the Diet by December 15, the Diet may be extended then." So saying, 
he referred to the possibility of reextending the Diet session. 
 
Fukuda is from the LDP's Machimura faction. In a general meeting of 
the faction, former LDP Secretary General Hidenao Nakagawa said: "We 
should try everything allowed under the Constitution. That's our 
responsibility as the ruling party. We must not hesitate to take a 
vote again in the House of Representatives for two-thirds in 
conformity with the Constitution's provisions." 
 
Former LDP Vice President Taku Yamasaki was cautious about the 
option of overriding the upper chamber's decision, reasoning that it 
could lead to dissolving the lower chamber. In a meeting of his 
faction, Yamasaki also declared that the ruling coalition would 
revote on the legislation for two-thirds to enact it. Yamasaki said: 
"We will formulate the budget without dissolving the House of 
Representatives for a general election, and we will deliberate on 
the legislation in the Diet. We will also enact relevant bills." 
With this, he indicated that the prime minister would not have to 
dissolve the House of Representatives even if a censure motion is 
passed against him in the House of Councillors. 
 
Meanwhile, Azuma Koshiishi, who chairs the caucus of House of 
Councillors members belonging to the leading opposition Democratic 
Party of Japan (Minshuto), met the press and referred to whether the 
DPJ would present a censure motion against the prime minister if the 
ruling coalition goes ahead with the revoting option. "We have that 
case in mind. I would say, 'Go ahead.'" So saying, he strongly 
constrained the ruling coalition's move to override. 
 
9) Premier declares determination to take second vote on new 
antiterror legislation in Lower House: DPJ at crucial stage 
regarding whether to vote on legislation in Upper House or submit 
censure motion 
 
TOKYO SHIMBUN (Page 2) (Full) 
December 7, 2007 
 
Now that Prime Minister Yasuo Fukuda has announced his intention to 
take a vote again in the Lower House on the new antiterror special 
measures bill aimed at resuming refueling operations in the Indian 
Ocean by the Maritime Self-Defense Force (MSDF) if it is voted down 
in the Upper House, the focus of the battle between the ruling and 
opposition camps will shift to what approach the Democratic Party of 
Japan (DPJ or Minshuto) will take. There is a possibility of a 
dissolution of the Lower House for a snap election, depending on how 
the situation develops. Tokyo Shimbun probed into the future course 
of the Diet session. 
 
The first focus is whether the DPJ will respond to a call for taking 
a vote on the legislation. 
 
The DPJ had no intention of responding to such a call within the 
current Diet session, with President Ichiro Ozawa saying, "Even if 
 
TOKYO 00005481  008 OF 012 
 
 
deliberations are pursued normally, it would be impossible to take a 
vote on the bill in time." It would be possible to scrap the bill 
because of incomplete deliberations if the Diet session closes as 
scheduled. However, such a possibility has vanished with Fukuda's 
declaration of his decision to take a vote again in the Lower House 
firming up a re-extension of the Diet session. 
 
Provided that the Diet session is extended to January 12 or beyond, 
it would be possible to take a vote on the bill again in the Lower 
House, assuming that the bill was voted down in the Upper House, 
even if no role call took place there. The DPJ will be pressed to 
make a decision on whether to hold out until such a situation occurs 
or to respond to a call to take a vote. 
 
Many DPJ members are calling for voting down the bill, with one 
seasoned member noting, "The DPJ should clearly indicate its will as 
the top party in the Upper House." If the amount of time the Upper 
House Foreign Affairs and Defense Committee has spent on 
deliberations reaches a certain level, it would be fully possible to 
take a vote on the bill before the end of the year. 
 
If the prime minister stands firm on his determination, the new 
legislation will clear the Lower House and be passed into law, 
despite when the DPJ responds to a call for taking a vote on the 
bill or whether a roll call itself takes place or not. In that case, 
the next focus will be whether the DPJ will introduce a censure 
motion against the prime minister, arguing that he ignored the 
public will indicated through the July Upper House election. 
 
If a censure motion is submitted, it is almost certain to secure 
Diet approval. Unlike a no-confidence motion against the government 
adopted by the Lower House, it has no legal binding power. However, 
the adoption of a censure motion means that the Upper House has 
deemed Fukuda inappropriate as a prime minister. Its political 
impact would be immense. There is also a possibility of the DPJ 
rejecting the prime minister's attendance of any Upper House 
deliberations, as a DPJ source said. 
 
Some DPJ members are negative toward the idea of submitting a 
censure motion, with one mid-ranking member noting, "Taking a vote 
again in the Lower House is a procedure allowed under the 
Constitution." However, the number of members who are positive about 
submitting such is much larger, with another mid-ranking member 
saying, "If the DPJ does not submit a censure motion, it would mean 
a political defeat." 
 
If a censure motion against the prime minister were adopted, the 
focus would shift to how he will respond. There is a possibility of 
his dissolving the Lower House for a snap election in an effort to 
emerge from the bind by asking for the public's judgment again. 
 
The prime minister has indicated a stance of ignoring a censure 
motion against him, saying, "Is there a person who can bring me to 
account?" There is no means of forcing a defiant prime minister to 
step down. All the DPJ can do is to appeal to the public. It will 
likely find itself in a bind. 
 
10) Difference in degrees of eagerness among opposition parties for 
censure motion against prime minister over new antiterrorism bill 
 
NIKKEI (Page 2) (Full) 
December 7, 2007 
 
TOKYO 00005481  009 OF 012 
 
 
 
Prime Minister Yasuo Fukuda has expressed his determination to use a 
two-thirds House of Representatives override vote to pass the 
government's antiterrorism bill that would enable the Maritime 
Self-Defense Force to resume its refueling mission in the Indian 
Ocean. Following this, the focus of attention has been on whether 
the opposition camp will decide to submit a censure motion against 
the prime minister. If the bill is rejected in the House of 
Councillors, the political situation will intensify, and it may lead 
to dissolving the Lower House. Given this, there is a delicate 
difference in degrees of eagerness over a censure motion in the 
opposition camp. 
 
Asked about a response to be taken if the bill is forced through the 
Diet by a two-thirds override vote, Democratic Party of Japan (DPJ) 
Upper House Chairman Azuma Koshiishi said in a press conference 
yesterday: "Are you asking whether we intend to press the government 
to dissolve the Lower House by presenting a censure motion against 
the prime minister? We are also keeping such a possibility in 
mind." 
 
In a meeting with the Diet affairs committee chairmen of the 
Japanese Communist Party (JCP), the Social Democratic Party (SDP), 
and the People's New Party (PNP) yesterday, DPJ Diet Affairs 
Committee Chairman Kenji Yamaoka said: "Let's take joint steps in 
issuing a censure motion." 
 
The DPJ has formed a joint parliamentary group with the PNP. The 
total number of seats held by both parties is 119, below the 
majority of 122, so it will be impossible for the DPJ to have a 
censure resolution adopted unless it gains cooperation from other 
opposition parties. If the PNP (with four seats) refuses to offer 
cooperation, cooperation from the JCP (7 seats) and the SDP (five 
seats) will become indispensable. 
 
A subtle perception gap has already observed between the DPJ and the 
PNP. The PNP has been calling for accelerating deliberations on the 
new antiterror bill in order to take a vote by the end of the 
current Diet session on Dec. 15, but the DPJ has refused holding 
deliberations on days other than those for two regular meetings a 
week. 
 
When a vote should be taken is a crucial matter for the opposition 
camp. If about 40 hours are secured for deliberations on the bill, 
as requested by the opposition side, as a result of the Diet session 
extended again, the opposition bloc will find it difficult to find 
an excuse for refusing a vote. Some DPJ members are critical of the 
party leadership's moves to defer a vote or boycott deliberations, 
because it is hard to win voters' understanding for such an 
approach. 
 
In anticipation of new developments of the series of scandals 
involving the Defense Ministry, some lawmakers in the opposition 
camp insist that a vote at the Upper House should not be taken 
before mid-January, when a revote in the Lower House will become 
possible. They expect that if politicians are found to have been 
involved in the scandal, the public will become more critical of the 
government and will not ignore the need for a censure motion against 
the prime minister. 
 
But each political party wants to avoid an early dissolution of the 
Lower House as much as possible due to a lack of preparations for 
 
TOKYO 00005481  010 OF 012 
 
 
the election. The JCP and SDP are strongly opposed to a re-extension 
of the Diet session and a revote in the Lower House, which may lead 
to dissolving the Lower House. 
 
11) JCP shows its presence through cooperation 
 
ASAHI (Page 4) (Abridged) 
December 7, 2007 
 
The Japanese Communist Party has so far positioned itself as a 
"steadfast opposition party." However, the JCP will now break away 
from its maverick stance. The JCP used to be viewed as a party that 
opposes everything. However, the JCP is now beginning to take a 
cooperative stance while offering to bridge the ruling Liberal 
Democratic Party and the leading opposition Democratic Party of 
Japan (Minshuto), which is currently the largest of all parties in 
the Diet's upper chamber. A change of government is even more 
likely, and the JCP is now exploring how to increase its presence in 
the Diet through its parliamentary and election campaigning 
tactics. 
 
"We will play our own role to translate public needs into action. We 
can't move politics unless we win public opinion. We will also work 
on other parties." In October, JCP Chairman Shii voiced concern 
about the ruling and opposition parties' battle of voting down each 
other's bills. Shii indicated that the JCP would play the role of a 
bridge between the LDP and the DPJ. 
 
The JCP has now switched to a new stance of its own. This shows its 
sense of crisis. The current single-seat constituency system was 
introduced in 1996, when the JCP held 26 seats in the House of 
Representatives. At present, the JCP has only 9 seats in the lower 
chamber. The JCP will unavoidably have to fight a hard battle in the 
next general election if the party fails to show its presence in the 
Diet. 
 
12) Textbook screening panel allows use of wording that "Japanese 
military coerced Okinawan people to commit mass suicide" 
 
TOKYO SHIMBUN (Top Play) (Slightly abridged) 
December 7, 2008 
 
In connection with the issue of descriptions that Japanese Imperial 
Army forced Okinawan citizens to commit mass suicide during the 
Battle of Okinawa being deleted from history textbooks for senior 
high schools, it has been learned that the Textbook Authorization 
and Research Council conveyed to history textbook publishers through 
the Ministry of Education, Culture, Sports, Science and Technology, 
its guidelines for the publishers to apply for modifications. 
According to those involved, the panel's guidelines reportedly 
require the publishers to describe the circumstances of the Battle 
of Okinawa being fought with the cooperation of the military, 
government, and local residents, and that the Japanese were not 
allowed at the time to be taken prisoner. The panel will allow use 
of descriptions that the Japanese military coerced local residents 
into committing suicide. 
 
The guidelines were conveyed to the history textbook publishers on 
Dec. 4. The panel admits the Japanese military's coercion because 
the army distributed hand grenades to Okinawan citizens, but found 
that there was no direct order by the military. However, the 
guidelines note that the panel does not retract its opinion "because 
 
TOKYO 00005481  011 OF 012 
 
 
it might cause misunderstanding," and regarded the explanation of 
the mass suicide as necessary. 
 
Regarding this issue, six textbook publishers, including one 
publisher to which the panel made no objection, submitted 
applications to modify eight descriptions. A final decision is 
expected to be made in late December. 
 
13) Finance minister decides to use 10 trillion yen from government 
investment and loan fund special account to repay government bonds 
 
TOKYO SHIMBUN (Page 1) (Slightly abridged) 
December 7, 2007 
 
Finance Minister Fukushiro Nukaga yesterday revealed a plan to use 
in compiling the fiscal 2008 budget part of a reserve fund in the 
government investment loan fund special account (estimated to reach 
approximately 20 trillion yen at the end of fiscal 2008) to repay 
government bonds. The amount to be used for such a purpose in fiscal 
2008 is estimated to be 10 trillion yen. The ministry will also use 
between 1 trillion yen and several trillion yen in fiscal 2009 and 
beyond to repay government bonds. It plans to constrain 
interest-service expenses by reducing the issuance of government 
bonds. 
 
The Liberal Democratic Party (LDP) Fiscal Reform Study Council calls 
the reserve fund in the special account "buried treasure" since it 
cannot be used in reality. However, former LDP Secretary General 
Hidenao Nakagawa had argued that it could be used as funding 
resources when formulating budgets. With the finance minister 
approving the use of the reserve fund in the special account, calls 
for considering using this "buried treasure" could grow stronger. 
Funds in the special account, procured by issuing 
investment-and-loan bonds, are lent to government-affiliated 
financial institutions and local governments at low interest rates. 
However, the postal savings institution has started procuring funds 
on its own since fiscal 2001. As a result, the size of the 
government investment and loan fund special account has dropped from 
400 trillion yen to 200 trillion yen (at the end of fiscal 2007. The 
role of the reserve fund to supplement management risk has become 
small accordingly. 
 
The government in March this year amended a related law to enable 
the allocation of portions exceeding a set rate of reserve funds to 
the total asset to the repayment of government bonds. The reserve 
rate set under a cabinet order is 10 PERCENT . However, the current 
rate stands at 7 PERCENT . The Finance Ministry plans to lower the 
reserve rate in proportion to the current size of assets by amending 
the cabinet order. 
 
14) Tug-of-war between administrative reform minister and chief 
cabinet secretary on ban on job-hopping by bureaucrats 
 
TOKYO SHIMBUN (Page 2) (Full) 
December 7, 2007 
 
The government's expert panel will soon issue a report on a plan to 
establish a government/private-sector resource exchange center to 
centralize outplace service for public servants. In discussing this 
issue, a dispute is heating up over whether the report should 
include a measure to prohibit job-hopping by bureaucrats to collect 
multiple retirement benefits. State Minister in Charge of 
 
TOKYO 00005481  012 OF 012 
 
 
Administrative Reform Yoshimi Watanabe has insisted that job-hopping 
should be immediately prohibited, but Chief Cabinet Secretary 
Nobutaka Machimura has opposed Watanabe's idea. 
 
While visiting the facility of an independent administrative 
corporation in Kanagawa Prefecture yesterday, Watanabe made a phone 
call to Machimura and stressed the need to ban job-hopping, but 
Machimura expressed his opposition. 
 
The expert panel has been in accord on the view that the new human 
resource bank should not help a retired senior bureaucrat land one 
cushy job after another in the private sector, and Machimura has 
also approved of this agreement. Under the current situation, 
though, even if the new center is established by the end of 2008 as 
scheduled, the practice of job-hopping will be left uncontrolled 
during the three-year transitional period. 
 
The expert panel therefore specified in its draft report released in 
late October that the practice should be immediately prohibited, but 
this clause was deleted under the instruction of Machimura. 
Machimura thinks that discussion on the propriety of a prohibition 
order for job-hopping is beyond the scope of debate at the expert 
panel. 
 
In meetings of the expert panel held afterward, many members also 
called for an immediate ban on job-hopping, with one member saying: 
"Helping bureaucrats assume a number of posts after retirement 
deviates from the government's discretionary power." Supportive of 
this view, Watanabe said in a panel meeting on Dec. 5: "It has been 
agreed (to specify in the report) that the new center will not offer 
service for job-hopping." 
 
The expert panel was initially scheduled to submit the report at the 
end of October. One member said: "If the measure is not included in 
the report, we will issue a separate statement on banning 
job-hopping by bureaucrats." 
 
SCHIEFFER