Thursday, March 31, 2011

Japanese Government Planning "Nationalization" of "Affected Areas"

April Fool's joke? I don't know. The Japanese government, who has been criticized outside Japan as "behind the curve" in dealing with the Fukushima nuclear plant crisis, is well ahead of the curve when it comes to possibly nationalizing the land in the areas affected by the March 11 earthquake/tsunami and by Fukushima I Nuclear Power Plant accident.

A government seems always very quick on one particular thing: to expand its reach anywhere they can get away with. "Never waste a good crisis." And the Japanese government has not just one but three - earthquake, tsunami, and nuclear accident.

Yomiuri Shinbun (3:12AM JST 4/1/2011) reports:


An outline of the special legislation for rebuilding after the March 11 earthquake (Higashi Nihon Kyodai Jishin, East Japan Great Earthquake), which the administration and the ruling party (Democratic Party of Japan) want to pass by the end of April, was revealed on March 31.


Since there are quite a few places along the Pacific coast that suffered tsunami and where it may be difficult to rebuild, and with a possibility of prolonged resolution to the Tokyo Electric Power's Fukushima I Nuclear Power Plant accident, the current system of the national government paying the three-quarters of the mass relocation cost will be revised, and the ratio will be raised.


A system will be introduced to allow the national government to quickly purchase the empty land after the mass relocation of the residents and nationalize it, so that the recovery and rebuilding can be done in a systematic manner.


As to the funding source, gasoline tax cuts of 25 yen (30 cents) when the average regular gas price per liter exceeds 160 yen three months in a row will be abolished. The tax cuts could result in reduced revenue of several hundreds of billions of yen (several billion US dollars).

(Why don't they just sell US Treasuries?)


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