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Wednesday, April 2, 2008

Fukuda resolves to revive extra gas tax in Lower House vote

Kyodo News

Prime Minister Yasuo Fukuda urged other Cabinet ministers Tuesday to pave the way for reviving the extra gasoline tax that expired at midnight Monday, the top government spokesman said.

Chief Cabinet Secretary Nobutaka Machimura quoted Fukuda as saying at a Cabinet meeting, "I'd like to ask you to give the people full explanations about the necessity of the extra gasoline tax."

The extra gasoline tax, introduced in 1974, expired as the opposition-controlled House of Councilors did not act on a bill to extend the tax beyond Monday, which earlier cleared the ruling bloc-dominated House of Representatives.

Fukuda expressed resolve Monday to revive the tax by having the Lower House pass the bill by a two-thirds majority vote in late April, when the bill would be deemed disapproved by the Upper House. Even if a bill is disapproved or not acted on for 60 days by the Upper House, the Lower House may enact the bill into law by approving it with a two-thirds majority vote.

Land, Infrastructure, Transport and Tourism Minister Tetsuzo Fuyushiba voiced concern about gas stations that immediately cut gasoline prices Tuesday after the extra tax's expiry.

The government will monitor gas stations daily to gauge the situation, Machimura said at a press conference.

Fuyushiba said the government must try to have the bill passed to revive the extra tax.

Internal Affairs and Communications Minister Hiroya Masuda said he will hear from local governments how they plan to carry out road construction in the new fiscal year that started Tuesday.

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