Japan gets to pare U.S. base costs

The United States agreed Wednesday to let Japan pare its burden-sharing costs to maintain U.S. military facilities in the country over three years starting from April, after the current two-year accord expires in March.

The cuts will amount to ¥400 million in both fiscal 2009 and 2010, Foreign Minister Masahiko Komura said. The reductions will not affect host-nation support in fiscal 2008, which begins next April.

Japan allocated ¥25 billion for utilities fees in the current fiscal year, which ends next March 31, and will maintain that level in fiscal 2008, Foreign Ministry officials said.

Komura and U.S. Ambassador to Japan Thomas Schieffer met at the Foreign Ministry to reach a formal agreement on the cut under a new Special Measures Agreement, which covers labor, utility and other costs.

"I just want to say how happy we are that we have reached this agreement," Schieffer told reporters, declining to go into details.

Japanese and U.S. sources said last week the two countries had reached a tentative accord to maintain Tokyo's support at the fiscal 2007 level after Japan dropped a request for a substantial cut.

Japan's support under the Special Measures Agreement stood at about ¥140 billion in fiscal 2007, while the total amount Japan disbursed to help maintain U.S. military facilities in the country stood at ¥217.3 billion.

The government had hoped to curtail its host-nation support for U.S. bases amid a massive national debt despite U.S. calls not to do so, and to reach an accord with the U.S. before compiling a fiscal 2008 budget bill later this month.

Okinawa agreed Wednesday to let the central government conduct an environmental assessment before the planned relocation of the U.S. Marine Corps Air Station Futenma, and Tokyo hopes to begin by early February.

In a meeting with municipalities, the government also said it will start procedures to implement a suspended ¥10 billion budget for the current fiscal year to promote development in northern Okinawa.