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May 12, 2011(AM)

[Provisional Translation]

Press Conference by the Chief Cabinet Secretary

JAPANESE

Opening Statement by Chief Cabinet Secretary Edano

CHIEF CABINET SECRETARY EDANO: I have one item to report to you in my capacity as Minister of State for Northern Territories Affairs. Today the Government decided on the name of the replacement ship that will provide services relating to the non-visa exchange program that has been implemented to date. The new ship will be used to transport passengers engaging in the non-visa exchange program to the four islands that constitute the Northern Territories. The new ship is currently being constructed and is due to be completed in January next year, after which it will enter service from next fiscal year. The public were asked to provide suggestions for the name of the ship and after various deliberations the members of the selection committee have selected the name "Etupirka" (Puffin). A plan of the completed vessel has been distributed. The puffin is a native species to the Northern Territories and surrounding regions and the name "Etupirka" originates from the Ainu language, meaning "beautiful beak." The Government expects that the entry into service of this new vessel from next fiscal year will further vitalize the non-visa exchange program.

The non-visa exchange program for this fiscal year is scheduled to be implemented from tomorrow, May 13.

Q&As

REPORTER: I have a question relating to the Futenma Air Station issue. I believe that the Chairman of the Senate Committee on Armed Services and others have submitted a proposal to the U.S. Department of Defense concerning the Japan-U.S. agreement on the relocation of Futenma Air Station to Henoko. In the proposal they note that given the changes in the political situation and the deteriorating fiscal situation in Japan it is no longer realistic to relocate the air station and therefore have proposed that its functions be integrated with Kadena Air Base. Given these changes in the political situation in the United States, is there change to the Japanese Government's policy of relocating the air station to Henoko?

CHIEF CABINET SECRETARY EDANO: I believe that the proposal you mentioned has been submitted based on the views of members of the U.S. Senate. The Japan-U.S. agreement was concluded between the governments of Japan and the U.S. in May last year and there is no change to the policy of the Government to steadily implement the provisions of the agreement.

REPORTER: I believe that after the Democratic Party of Japan (DPJ) came to power the option of integrating the functions of Futenma with Kadena Air Base had been considered by the Government. At the current point are there any plans to engage in further consideration on the issue of integration with Kadena?

CHIEF CABINET SECRETARY EDANO: At the current point the agreement that stands between the Japanese and U.S. governments as the implementation bodies is the agreement that was concluded in May last year. Based on the agreement between the two governments as the implementation bodies and also based on the Government's desire to reduce the burden on Okinawa in an expedited manner, there is no change to the Government's policy to steadily implement the provisions of the agreement.

REPORTER: On a related note, I think that on April 28 you met with Senator Carl Levin, the Chairman of the Senate Committee on Armed Services, at the Prime Minister's Office. Did Mr. Levin mention such a proposal at that time?

CHIEF CABINET SECRETARY EDANO: Although I do not think it is appropriate to speak in detail about the content of discussions relating to foreign policy, there was no mention in that meeting of the matter you asked about.

REPORTER: Mr. Levin is strongly supportive of the realignment of U.S. Forces. If the U.S. administration were to engage in reconsideration of this issue on the basis of the proposal from Mr. Levin, am I to understand that would not result in a change to the position of the Japanese Government?

CHIEF CABINET SECRETARY EDANO: A bilateral agreement has already been concluded between the two governments, which carries great weight, so I do not think it is appropriate for me to respond to hypothetical questions.

REPORTER: In the U.S. it has now been pointed out that the Henoko option is unrealistic and in Okinawa there has also been consistent opposition to the Henoko relocation. Given the U.S. stance that the relocation is "unrealistic" and the opposition from Okinawa itself, I cannot see the reason why the Government would not reconsider the plan to relocate the air station to Henoko. Is there a particular reason why the Government believes that relocation to Henoko is possible?

CHIEF CABINET SECRETARY EDANO: While I am aware that the proposal has been made by an influential person in the U.S. Senate, the contents of the proposal represent this person's own opinions and in any parliament in the world it is only to be expected that there would be a variety of opinions on various issues. In terms of inter-governmental relations the two governments, as the implementation bodies, have concluded an agreement which carries great weight, and therefore the Japanese Government will move to steadily implement the provisions of the agreement. In so doing, the Government will make every effort to reduce the burdens the U.S. bases place on Okinawa. Given the fact that the Japan-U.S. agreement is effective at the current time, I think it is natural that the Government's stance should be so.

REPORTER: Mr. Levin has noted that the proposal has been made on this occasion in consideration of Japan's fiscal situation following the Great East Japan Earthquake. Given that fiscal revenues are indeed necessary for reconstruction, what are your views on the observation that it may be necessary to advance an alternative plan, given the large amounts of money that would be required for relocation?

CHIEF CABINET SECRETARY EDANO: As I have already stated, I believe that in any democratic country there will be a diversity of opinions within parliaments. Although the opinion that has been put forward has been made by an extremely influential person, it is one opinion based on the premise that there will be many such opinions. I am grateful for the consideration shown to Japan with regard to the impact of the Great East Japan Earthquake, but I do not think it is my position to comment directly on the content of the proposal.

REPORTER: I have a question relating to contaminated water at Fukushima Daiichi Nuclear Power Station. Yesterday it was once again the case that water contaminated with high concentrations of radiation leaked from the Unit 3 reactor. How long was it before this fact was notified to other countries? Also, is the Government aware of the levels of radiation that have been released this time? How do you view this incident, given the many concerns being raised from overseas?

CHIEF CABINET SECRETARY EDANO: Yesterday morning a member of personnel working to block off a pit in the Unit 3 reactor heard the sound of running water and upon inspection of the area it was found that water had leaked into the power-supply pit of the Unit 3 turbine building. Part of the ocean surface close by was also bubbling, which indicated the possibility that discharge water had somehow leaked out into the sea. Immediately upon taking samples of the water that had leaked out and also of the surrounding sea water and found that both contained high concentrations of radioactive iodine and cesium. At the same time operations were implemented to confirm the route by which the water had reached the sea and also to stop the water by means of the injection of concrete. A report was received that the leakage of water had been successfully stopped at 18:45 yesterday evening. Following the release into the sea of the water that had accumulated in the Unit 2 reactor in early April, it is highly regrettable that this current incident resulted in the leakage of radioactive materials into the sea. I would like to apologize to the local residents, fisheries operators and neighboring countries for the concern and inconvenience that this incident has caused. For specific details of the report, I believe that a response is being made by the Integrated Response Office and the Ministry of Foreign Affairs, so I would ask that you submit your questions to the press conference of the Integrated Response Office. The Government will continue to carefully observe the results of oceanic monitoring, checking that the release of radioactive materials has stopped and confirming the impact on the environment. At the current time, although concentrations of radioactive materials have increased around the outlet pipe, further out in the ocean, approximately 30 meters from the outlet pipe, the concentrations, while high, are approximately two to three times the stipulated standards. This is in contrast to the previous release of contaminated water, when radiation concentrations that were thousands or tens of thousands times above stipulated standards were released and spread over a wide area. Whether the lower concentrations on this occasion are a result of the measures that have been taken to stop water leakage or whether the concentrations will increase over time is something that we will continue to monitor thoroughly.

REPORTER: From last week the levels of contaminated water in the basement of the turbine building, which is believed to be the source of this current leak, have been rising significantly. Do you think that there has been a sufficient response to manage the levels of this contaminated water?

CHIEF CABINET SECRETARY EDANO: Instructions have been given to promptly investigate the causes of the current leak and ascertain the route by which the water escaped. Although the injection of concrete successfully resulted in the stoppage of the water leak, we will seek to confirm the causes of the incident and take the necessary measures to ensure that it will not happen again.

REPORTER: As the rainy season will soon be here, I imagine that there is a possibility that heavy rains could cause the further leakage of contaminated water and radioactive materials. What kinds of measures are being considered in response to the coming rainy season?

CHIEF CABINET SECRETARY EDANO: I am sure that measures to deal with rainwater have been incorporated into considerations, and as large volumes of water continue to be pumped into the reactors to cool them, the management and treatment of large volumes of contaminated water and measures to ensure this water does not escape into the environment are an integral factor in the current roadmap that is being advanced. These measures will continue to be implemented.

REPORTER: Concerning Fukushima Daiichi Nuclear Power Station - Unit No. 1 to be more precise - a colleague of mine was told by his sources involved with work at the station that after the water level gauge was repaired it was found that almost no water was remaining inside the pressure vessel and reactor container. This suggests that water was leaking from the reactor container. Is this true?

CHIEF CABINET SECRETARY EDANO: Just as you pointed out, I also heard that yesterday one of the water level gauges for the Unit No.1 pressure vessel was recalibrated, and that although the gauge had shown the water level to be below the middle of the fuel rods, it now shows the level to be near the bottom. From today onwards, other gauges will also be recalibrated. I acknowledge the need to reassess the state of the reactor in consideration of the new readings. It is hard to say whether the issue has been caused by a malfunction in the meter or because of a problem similar to the one you brought up. In any case, it is true that the amount of water flowing into the station has been increasing and that this has accelerated the cooling down process. Overall cooling is proceeding well, as has been the case for quite a long time. In that sense, the state of the reactor is stable, though the latest reading by that gauge contradicts this observation in a certain way. Therefore, as I have just said, I would like to have the state of the reactor thoroughly confirmed and reassessed.

REPORTER: The Government has chosen water injection as the method to cool down the reactor. Are you not considering at this moment the need to rethink this cooling method?

CHIEF CABINET SECRETARY EDANO: At least, I do not know any effective method that can be immediately implemented now other than pumping in water.

REPORTER: Today marks one month since the INES level was raised to 7. While various efforts have been undertaken, the reality is that radioactive materials continue to be released from the station, and that the total amount of these materials has not been made clear - something that was pointed out earlier. Please tell us your opinion on this.

CHIEF CABINET SECRETARY EDANO: First of all, it is extremely unfortunate that the situation continues to cause concern for not only the people of Fukushima and the surrounding prefectures, but many others across Japan and the world. That said, we are making steady progress in line with our initial plans. Although we have encountered various difficulties, we are bringing the situation under control while preventing the situation from suddenly worsening or worsening further. We would like to realize continued progress to the extent we can. Ascertaining the total amount of radioactive materials that have been emitted is a technical issue. What I know is that various gauges and other equipment at the station were not sufficiently functioning when the emission of said materials occurred. In any case, I think the point is that we have no choice but to guess the total amount emitted through estimation calculations.

REPORTER: I have a question concerning the scheme for compensation. I have heard that official policy of the Government will be decided upon as early as today at a meeting to be attended by the Prime Minister. Could you tell us about the state of schedule coordination for this?

CHIEF CABINET SECRETARY EDANO: We are planning on holding a ministerial meeting tonight. The Prime Minister will attend this meeting.

REPORTER: I believe that a point of discussion or focal point of that scheme will be the raising of electricity rates in order to secure funds to pay compensation. Up to this point, the Government has repeatedly emphasized that the first condition upon which the scheme for compensation must be based is an effort to streamline operations on the part of Tokyo Electric Power Company (TEPCO). Will it be possible to secure funds for compensation without raising electricity rates?

CHIEF CABINET SECRETARY EDANO: Unfortunately, we are as of yet not at a point in which we can even predict what the total amount required for compensation payments will be, and so I can not tell you anything certain. That said, in principle, we want them to pay out compensation without raising rates. This is why we have worked to formulate the scheme for this issue.

REPORTER: So am I correct in understanding that this means rates will also not be raised over the long-term in order to recoup the cost of compensation at a future date?

CHIEF CABINET SECRETARY EDANO: That was our intention when we formulated the scheme. It should be noted that the Government also has some responsibility here. TEPCO must thoroughly fulfill its responsibilities for compensation. On the other hand, the Government needs to make sure that the damage caused this time shall not spread further; or rather, we need to limit the amount of damage as much as possible. For example, I think that the Government has a responsibility to help the people of the affected areas return home as soon as possible, or to support the situations of each of the businesses of the area, for example, by working to improve the quality of soil. We must prevent the spread of or limit the negative effect that the current incident has on the people, including those residing in the concerned areas. I think that the Government has a separate responsibility to resolutely proceed with these kinds of initiatives, and I want to see greater work to this end moving forward. In the end, the amount of compensation that must be paid out depends on how effective the Government is at preventing the spread or minimizing the effect of damage. It is my hope that the Government will share responsibility with TEPCO in this way.

REPORTER: You said that compensation should be paid without raising electricity rates. I believe that TEPCO has incurred huge costs ever since the power stations were shut down. Would it not be possible to raise rates in order to cover these costs?

CHIEF CABINET SECRETARY EDANO: I cannot make an exact comment on that issue at the current moment in time. I will say that I think the premise here is that the company should absorb these costs to the extent it can through company-wide streamlining efforts.

REPORTER: As a follow-up question to that, given that you are requesting TEPCO streamline operations and minimize raising rates, will you be requesting that they consider the responsibility of shareholders or take out loans from financial institutions?

CHIEF CABINET SECRETARY EDANO: This is something we need to be careful about, as it concerns relationships solely within the private sector. There is an issue whether the Government can or should make direct requests. I have confirmed that they will keep us informed on this issue. The scheme this time is not such that the Government will automatically continue assistance in order to keep compensation money flowing. If that does not go smoothly, we will have to consider some other way of continuing compensation. We plan to continue to make a number of decisions as needed as we move forward.

REPORTER: With regards to the Northern Territories' non-visa exchange program starting from tomorrow, there are rumors that the Russian deputy prime minister will visit the Four Northern Islands as early as sometime this month. In the sense that the non-visa exchange program is intended to promote the return of the islands to Japan, the island people have pointed out that the program has become more like a routinely organized program. May I once again ask what is the significance of the non-visa exchange program?

CHIEF CABINET SECRETARY EDANO: I believe deepening mutual understanding through the non-visa exchange program will indeed have some positive effects. However, I believe more creative initiatives are needed to further boost our efforts aimed at the return of the four islands and enhance the effectiveness of our efforts. In particular, it is very important that the public has a shared understanding of this issue. Therefore, since becoming the minister in charge of Northern Territories affairs, I have had various discussions with the authorities concerned on whether or not there are creative efforts we can engage in to deepen young peoples' knowledge of this issue as much as possible, in particular, in educational settings and so on. And I am not saying it is enough to have a sentence written about it in textbooks or anything like that. I'm talking about knowledge of specific information, such as the issue of the Four Northern Islands and their historical background. We are moving forward, one step at a time.

REPORTER: A moment ago, you said that the Government would ultimately like to lower the compensation amount by taking over responsibility for improving soil quality. Does the Government intend to ask TEPCO to reimburse the cost of improving soil quality?

CHIEF CABINET SECRETARY EDANO: I believe this is indeed something we will eventually need to think about in the very end. But first, in terms of minimizing the impact on the people in particular, I believe there will be a lot of things which the Government will be doing directly as part of its responsibility and we have been taking such steps one step at a time. Moving forward, these efforts will continue to be made. In order to ensure the safety of the evacuees and those people residing in neighboring areas, I believe there are a lot of measures which the Government will be taking without waiting for TEPCO's compensation, etc.

REPORTER: According to some reports, the Government will allocate at least 5 trillion yen worth of special-purpose bonds for the reconstruction. Will the scheme to be decided on today specify the approximate amount of the special-purpose bonds which will be allocated?

CHIEF CABINET SECRETARY EDANO: We have no plans for that at all. Why? Because it is in the days ahead that the third-party committee will be sent to the disaster areas, and it will take some time until we know for sure what the funding situation is, how much costs can be reduced, and what the approximate amount of damage is. Based on such factors, we will be taking steps as appropriate and necessary.

REPORTER: Going back to the issue of Futenma, before the start of this press conference, has the U.S. Government contacted or given an explanation to the Japanese Government regarding the proposal of Mr. Levin?

CHIEF CABINET SECRETARY EDANO: At the very least, I have not received any such reports.

REPORTER: On a related subject, I would like to ask a question from the perspective of the Japanese Government exercising initiative in foreign policy negotiations. Does the Japanese Government have any intention of asking the U.S. side to review the Japan-U.S. agreement in the future?

CHIEF CABINET SECRETARY EDANO: Right now, the plan of the Government of Japan is to work towards the steady implementation of the Japan-U.S. agreement of last May, while taking steps to reduce the burdens of the bases in Okinawa and seeking the understanding of the Okinawa people. That is the intention of the Government of Japan as of today, as of right now.

REPORTER: Regarding a different topic related to Japan-U.S. relations, yesterday, Kevin Maher, former Director of Japan Affairs at the U.S. Department of State, visited the Prime Minister's Office. It has become known that Mr. Maher is now employed by a private American firm and his work deals with the reprocessing of spent nuclear fuel. What are your thoughts on this? Also, when he visited the Prime Minister's Office yesterday, what sort of explanation did he give? Furthermore, did the Japanese Government confirm the facts with Mr. Maher regarding the series of insulting remarks he made?

CHIEF CABINET SECRETARY EDANO: First, regarding what sort of work Mr. Maher is engaged in as a private citizen, the Government of Japan or at least I am not aware of this. Nor do I believe I am in a position to be aware of this. I have heard that yesterday Mr. Maher visited the Prime Minister's Office. I confirmed where he went and what he came to do. I was informed that Special Advisor to the Cabinet Tadashi Maeda and Mr. Maher are old friends and Mr. Maher, who was visiting Japan, visited his old friend Special Advisor Maeda. I believe Mr. Maher came here only simply to give his greetings. However, since this sort of thing raises various speculations, I hope Special Advisor Maeda will exercise greater caution in the future.

REPORTER: Have you confirmed what was discussed?

CHIEF CABINET SECRETARY EDANO: Mr. Maher was not paying a visit to the Government but was making a personal visit to his old friend Special Advisor Maeda. I learned about it after the fact, and furthermore, the Government of Japan is not in a position to comment on it. However, if he visits the Prime Minister's Office, this could be misunderstood to mean there is something going on between him and the Japanese Government. Therefore, I would like Special Advisor Maeda to be careful about this.

REPORTER: At the Budget Committee meeting of the House of Councillors on May 1, Prime Minister Kan said he would like to explore arrangements which will prevent people from having to take out double loans to rebuild their homes which were washed away by the disaster. Can you explain the specific status of the considerations which the Government has made since then?

CHIEF CABINET SECRETARY EDANO: I am not sure whether the Prime Minister said so at that time, but including myself, we have considered the issue of double loans as one of our key agenda items from a very early stage. We all share the same view, and relevant ministries are studying various possibilities in coordination with each other regarding what sort of scheme and what sort of implementation method will be an appropriate and fair way of addressing this issue. While there are quite a number of barriers, various possibilities are being studied to see whether or not these barriers can be overcome.

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