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RUCNDT/USMISSION USUN NEW YORK 4748

UNCLAS SECTION 01 OF 06 TOKYO 000918 
 
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:  DAILY SUMMARY OF JAPANESE PRESS 04/21/09 
 
INDEX: 
 
INDEX: 
 
(1) Dissolution in May losing ground in LDP; New Komeito favors in 
August or later [Yomiuri] 
 
(2) U.S. proposes goal of nuclear-free world; Possibly intends to 
strengthen deterrence, as well [Nikkei] 
 
(3) LDP, New Komeito to submit basic bill on cutting greenhouse gas 
emissions to current Diet session [Asahi] 
 
(4) Hopes pinned on emissions trading: Environment minister reveals 
economic policy [Asahi] 
 
(5) Editorial: Eradicate bid-rigging by immediately revising 
Antimonopoly Law [Nikkei] 
 
(6) Calls for restrictions on hereditary Diet seats to become source 
of contention [Nikkei] 
 
ARTICLES: 
 
(1) Dissolution in May losing ground in LDP; New Komeito favors in 
August or later 
 
YOMIURI (Page 4) (Excerpts) 
April 21, 2009 
 
When should the House of Representatives be dissolved? Political 
maneuvering is still going on in the ruling camp. Although calls in 
the Liberal Democratic Party (LDP) for dissolution in May have died 
down, some are still insisting on early dissolution. Meanwhile, the 
New Komeito, which hates to see the next Lower House election set 
close to the Tokyo Metropolitan Assembly election in July, has begun 
calling for dissolution in August or later. Prime Minister Taro Aso 
is struggling to maintain a freehand. 
 
The New Komeito says that if the Lower House election were to be 
held before the Tokyo assembly election, it should take place no 
later than June 7. But in view of the timetable for Diet 
deliberations, this scenario seems difficult. The LDP's coalition 
partner has begun talking about in August or later. In fact, New 
Komeito Secretary General Kazuo Kitagawa in a speech yesterday 
clearly expressed his hope for the election in August or later, 
citing the economic situation. 
 
Some in the LDP have begun mentioning dissolving the Lower House in 
mid-July for an election in early August. But because the Emperor is 
scheduled to officially visit Canada and the United States from July 
3 through 17, some think dissolving the Lower House during that 
period is difficult. 
 
(2) U.S. proposes goal of nuclear-free world; Possibly intends to 
strengthen deterrence, as well 
 
NIKKEI (Page 2) (Full) 
Evening, April 17, 2009 
 
Tsuyoshi Sunohara 
 
 
TOKYO 00000918  002 OF 006 
 
 
U.S. President Barack Obama has announced that his administration 
will aim at a world without nuclear weapons. Such a goal would have 
been a fantasy during the Cold-War era. Such high ideals also offer 
a glimpse into the United States' farsighted plan to take the lead 
in nuclear arms reduction without abandoning its position as a 
nuclear power. 
 
In early 2007, a U.S. newspaper carried an article that drew the 
attention of President Obama, who takes a strong interest in nuclear 
disarmament. A set of proposals titled "Toward a Nuclear-Free World" 
were authored by a group who included two former secretaries of 
state, Henry Kissinger and George Shultz, and former Secretary of 
Defense William Perry. 
 
In outline, the article called for: (1) a substantial reduction in 
the nuclear war potential of nuclear powers; (2) elimination of 
tactical nuclear arms deployed by the U.S. or Russia in friendly or 
allied countries; (3) ratification of the Comprehensive Nuclear Test 
Ban Treaty (CTBT) by the United States; and (4) a total ban on the 
production of nuclear fission materials for weapons. 
 
As a result of consolidating views in the Obama camp based on the 
article on nuclear disarmament, the idea of strengthening the 
nuclear nonproliferation system has surfaced as a comprehensive 
policy, according to a source connected to the Obama administration. 
How to maintain America's nuclear capability in the future was a 
point at issue. 
 
At first the Obama camp looked into the possibility of introducing 
the reliable replacement warhead (RRW). It is said that RRWs can be 
developed without conducting a nuclear test and are technically 
highly reliable. If the United States can introduce RRWs in exchange 
for nuclear arms reduction, the country would be able to strengthen 
its nuclear deterrence even after nuclear disarmament. 
 
The U.S. military and the Republican conservatives are essentially 
skeptical about reducing the total number of nuclear warheads 
possessed by the United States and Russia to less than 1,000 at a 
stroke and ratifying the CTBT. RRWs are a political bargaining chip 
to contain such forces of resistance. 
 
If things go as planned, the number of nuclear warheads possessed by 
the United States and Russia can be reduced to several hundred. 
 
Driving on without a stop, the United States would apply greater 
pressure on such countries as Iran and North Korea to opt for 
nuclear nonproliferation. At the same time, the United States would 
advocate multilateral nuclear disarmament talks with other nuclear 
powers including China. That was the Obama camp's original scenario 
to realize a world without nuclear weapons. 
 
Nevertheless, the prevailing view about RRWs, the pivot in this 
concept, was that they go hand in hand with the Bush doctrine, under 
which the U.S. would not hesitate to carry out preemptive strikes 
against enemy countries. The U.S. Congress and the Democratic Party 
put a stop to any appropriations for the development of RRWs. 
Cautious views were dominant. President Obama decided to suspend the 
development of RRWs in March, sending the new nuclear warhead debate 
back to square one. 
 
Based on such developments, Institute for Defense Analyses President 
and former Chief of Staff of the United States Air Force Larry Welch 
 
TOKYO 00000918  003 OF 006 
 
 
said, "A plan has surfaced to develop a new nuclear warhead called 
the RRR (reusable, replaceable and refurbish) warhead to replace the 
RRW," as a new meeting point. By proposing the introduction of the 
RRR warhead with an emphasis on the maintenance of existing nuclear 
weapons, the Obama administration plans to announce that its 
position is divorced from preemptive strikes using nuclear weapons. 
It is a scenario to move one step closer to nuclear arms reduction 
by changing its slogan, so to speak. 
 
At present, it is unclear how the Obama administration will respond 
to political maneuvering over the question of ratifying the CTBT and 
the fate of the RRR. Japan pins high hopes on President Obama, who 
has referred to the United States' moral responsibility as the only 
nuclear power that has used a nuclear weapon. There is no doubt, 
though, that there are many twists and turns lying ahead before a 
nuclear-free world can be realized. 
 
(3) LDP, New Komeito to submit basic bill on cutting greenhouse gas 
emissions to current Diet session 
 
ASAHI (Page 4) (Full) 
April 21, 2009 
 
The Liberal Democratic Party (LDP) and the New Komeito have decided 
to submit a basic bill designed to build and promote a low carbon 
society (tentative name) as part of effort to propel measures to 
combat global warming. They will draft the bill by May and showcase 
it in the remaining half of the Diet session. Prime Minister Taro 
Aso intends to set in June a mid-term goal of cutting greenhouse gas 
emissions to be achieved by 2020. By submitting the basic bill as 
well, he apparently wants to indicate that the government and the 
ruling bloc are waging a united drive to implement measures to curb 
global warming. 
 
Chairman Takeshi Noda of the LDP Headquarters to Promote Measures to 
Combat Greenhouse Gases and several others conveyed to the prime 
minister their plan to submit the bill to the Diet as 
lawmaker-initiated legislation. The prime minister agreed to the 
plan. Noda told reporters that the legislation is also essential to 
Japan's national strategy. 
 
The ruling parties have yet to work out the specifics of the bill. 
Their plan is to create a vision of a low carbon society through 
methods such as establishing trends toward people moving away from 
life-styles centered on late night activities and boosting the 
popularity of energy-saving homes. They also plan to include the 
responsibilities of the state, local governments, business operators 
and residents for achieving those ends. 
 
The Democratic Party of Japan (DPJ) last year mapped out a basic 
bill to combat global warming featuring a cut in greenhouse gas 
emissions by 25% by 2020 in comparison with the 1990 level. 
Considering possible effects on talks at the UN, which will move 
into high gear towards the year's end, the ruling parties' bill is 
unlikely to include a mid-term goal. There is a possibility of 
revision talks with the opposition camp. If no agreement is reached 
with the opposition parties, the ruling parties hope to pass the 
bill into law on their own to utilize the passage of the bill as an 
example of their achievements in campaigns for the next Lower House 
election. 
 
(4) Hopes pinned on emissions trading: Environment minister reveals 
 
TOKYO 00000918  004 OF 006 
 
 
economic policy 
 
ASAHI (Page 4) (Full) 
April 21, 2009 
 
Environment Minister Saito on April 20 released a new vision titled 
"Green Economy and Social Reform," a measure to buoy up the economy 
that gives priority to environment conservation. This is, one can 
say, a revision to the Japanese version of Green New Deal released 
in January. As effective measures to cut greenhouse gas emissions, 
the package includes a plan to look into introducing an environment 
tax and a domestic emissions trading system. 
 
The so-called Saito Vision also incorporates specifics of the growth 
strategy, which Prime Minister Aso released early this month, such 
as goals of making the environment-related market a 50 trillion yen 
market by 2020 through solar energy generation and the dissemination 
of electric cars, thereby creating 1.4 million jobs. The package 
also includes the recycling of foods and the use of biomass energy. 
 
The trial implementation of a domestic emissions trading system 
started last year. The Vision indicates hopes that the system will 
be introduced on a full scale, since moves to build an international 
market are becoming active. 
 
Concerning the environment tax, the package points out that the 
environment market is expected to expand and become activated. 
However, since coordination of views with the Ministry of Economy, 
Trade and Industry has yet to be made, the vision is attached with a 
remark that it was compiled under the responsibility of the 
environment minister. 
 
(5) Editorial: Eradicate bid-rigging by immediately revising 
Antimonopoly Law 
 
NIKKEI (Page 2) (Full) 
April 21, 2009 
 
Deliberations on a bill amending the Antimonopoly Law have started 
in the current Diet session. The bill includes measures to broaden 
the scope of acts subject to penalties in a bid to deter bid-rigging 
or price cartels. In order to get corporate managers and responsible 
employees to realize that acts that eat up tax money and damage 
consumers' interests do not pay, the government must enact the bill 
as soon as possible. 
 
Discussion on tightening the Antimonopoly Law started three years 
ago. An advisory panel to the chief cabinet secretary compiled a 
report in 2007 calling for stiffer penalties on companies that 
violate the law. In response, the government submitted a bill 
amending the law to the ordinary Diet session in 2008, but the bill 
was scrapped in December of the same year since no deliberations 
were held between the ruling and opposition parties. The government 
resubmitted the bill to the current Diet session. It is the 
legislature's responsibility to enact the bill at an early date. 
 
The amendments to the law include measures to enable the Fair Trade 
Commission (FTC) to also levy administrative surcharges on: (1) 
companies that attempt to block competitors' market access or shut 
competitors out of the market by extreme lowering of prices; and (2) 
companies that make use of their advantageous position and put 
subcontractors or supplies at a disadvantage. 
 
TOKYO 00000918  005 OF 006 
 
 
 
This February, the FTC ordered a major music copyright group, known 
as JASRAC, to end its usage fee collection practice, defining the 
practice as obstructing other firms' market access and as 
monopolistic. The revised legislation is expected to work 
effectively prevent such acts that tend to be unnoticed by consumers 
but hinder sound competition. 
 
The FTC will also impose administrative surcharges on major 
supermarkets that repeatedly cut prices unfairly with the aim of 
driving out small retailers. Strict measures must be taken against 
such violators, but the FTC also has to be careful about applying 
the law so as not to undermine companies' cost-reduction efforts. 
 
The draft revision also proposes hiking by 50% the administrative 
surcharges on companies that urge other firms to take part in 
bid-rigging or other improper practices. Meanwhile, it suggests that 
the leniency system for whistle-blowers on their wrongdoings be 
expanded and improved. This carrot-and-stick approach is expected to 
make companies aware that bid-rigging or price cartels will not 
pay. 
 
The draft revision further includes stricter punitive measures. 
Violators are now sentenced to a maximum prison term of three years 
or a fine of up to 5 million yen, but it proposes extending the 
maximum prison term to five years. We regard this as a proper 
amendment. 
 
However, on future options for the verdict-assessment system, under 
which the FTC judges appeals against its punishment, the draft 
revision just notes, "Study will be conducted within fiscal 2009." 
The ruling and opposition parties are urged to hold an in-depth 
discussion and reach a conclusion at an early date, from the 
viewpoint of making the system more transparent and independent from 
the FTC. 
 
(6) Calls for restrictions on hereditary Diet seats to become source 
of contention 
 
NIKKEI (Page 2) (Full) 
April 21, 2009 
 
While the ruling Liberal Democratic Party (LDP) is preparing to 
draft a manifesto (set of campaign pledges) for the next House of 
Representatives, the handling of calls for restricting candidates to 
run for the Diet seats held by their parents, grandparents or uncles 
and aunts has now become a source of contention in the LDP. The 
advocate of the restrictions of hereditary Diet seats is Yoshihide 
Suga, an aide to Prime Minister Taro Aso and deputy chairman of the 
LDP Election Strategy Council. Suga aims to implement the 
restrictions from the Lower House election after the upcoming snap 
election. Since LDP lawmakers who have considered handing over their 
Diet seats to their sons are strongly reacting, internal 
coordination will likely stall. 
 
Suga expressed strong eagerness to bring about the restrictions of 
the hereditary-seat system [seshusei]. He stated at a gathering 
yesterday in Tokyo: "The more I meet strong reactions, the more I 
have an incentive to go ahead." With an eye on including in the 
manifesto a pledge to place the restrictions of hereditary seats, he 
plans to set up a study group to discuss the matter after the Golden 
Week holidays. An idea has emerged for setting a certain timeframe 
 
TOKYO 00000918  006 OF 006 
 
 
for restricting the family of a Diet member from running for the 
same electoral district. The calls for restrictions on hereditary 
seats are aimed to show the LDP's "reform stance" to unaffiliated 
voters, who have their "allergy" to that practice. Another aim is to 
seek to constrain moves in the LDP to remove Aso from office after 
the fiscal 2009 extra budget clears the Diet. 
 
Former Prime Minister Junichiro Koizumi, who severely criticized Aso 
in February for calling for a review of the postal privatization 
program, has announced that his second son will run in the next 
Lower House election for the seat he currently holds. Several former 
LDP secretaries general, who have close ties to Koizumi, are now 
looking into the possibility of letting their sons to take over 
their seats in the future. A senior ruling coalition member said: 
"The seshusei issue could be the biggest weakness of the anti-Aso 
group advocating reforms." 
 
Suga stressed at the gathering: "The LDP will not win the election, 
unless it changes its nature." 
 
The LDP will likely aim to bring about the restrictions of the 
hereditary-seat system, by revising the party rules, not by setting 
up a new law. This is because there is a possibility that such 
restrictions might conflict with the freedom of the choice of an 
occupation that the Constitution stipulates. Chief Cabinet Secretary 
Takeo Kawamura during a press conference yesterday stated: "It is 
considerably difficult to legally restrict [the seshusei]." 
 
Britain's House of Commons, in which there are a few 
second-generation members, restricts in effect the hereditary seats 
by the rules of each party. 
 
LDP members with hereditary Diet seats, who account for more than 
one-third of all LDP lawmakers, are wary of the idea of restricting 
the hereditary-seat system, thinking that such may lead to the 
denial of the meaning of their existence. The fact that Suga has 
been informally picked chair of a project team in charge of drafting 
the manifesto is also irritating other LDP members. Objections were 
presented in succession in an executive board meeting yesterday, 
with Nobuteru Ishihara saying: "We should not look disapprovingly at 
the hereditary-seat system." 
 
ZUMWALT