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Cablegate: Daily Summary of Japanese Press 01/22/10

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DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA;
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E.O. 12958: N/A
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA

SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 01/22/10

INDEX:

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(1) Governor Nakaima: No Futenma relocation site in Okinawa other
than Henoko (Mainichi)

(2) Okinawa governor indicates he will still support current
relocation plan even if opponent to Futenma's relocation wins in
Nago mayoral election (Sankei)

(3) 50th anniversary of revised Japan-U.S. Security Treaty: Japan,
U.S. facing turning point (Mainichi)

(4)"News Navigator" column: Nago mayoral election a vote on Futenma
relocation (Mainichi)

(5) 50-year-old Japan-U.S. Security Treaty (Part 2): Asian Community
concept a pipe dream (Nikkei)

(6) Two days until Nago mayoral election: Former U.S. marine laments
that U.S. military is treated like a nuisance (Asahi)

(7) Election in Nago City to determine fate of U.S. military base
(Asahi)

(8) Nago mayoral election on the 24th: Lavish subsidies undermine
self-reliance of local industries (Tokyo Shimbun)

(9) Poll on Hatoyama cabinet, political parties (Tokyo Shimbun)

ARTICLES:

(1) Governor Nakaima: No Futenma relocation site in Okinawa other
than Henoko

MAINICHI ONLINE (Full)
13:00, January 22, 2010

Teruhisa Mimori

At a news conference on Jan. 22, Okinawa Governor Hirokazu Nakaima
discussed the alternative proposals in the government and the ruling
parties for the relocation of the U.S. forces' Futenma Air Station,
such as moving the Futenma base to Iejima (in Ie Village) or
Shimojishima (in Miyakojima City) or integrating it with Kadena Air
Base. He said: "By common sense, it will not be possible (for the
Futenma base to be relocated) to such locations." He thus indicated
for the first time that other than the coastal area of Camp Schwab
(in Henoko, Nago City), Futenma's relocation within Okinawa is not
possible.

The Okinawa base issues examination committee of the government and
the ruling parties is considering the relocation site for the
Futenma base. The local communities in Iejima and Shimojishima are
both opposed to the relocation. It is believed that the governor
respected the opinion in the local communities. However, Nakaima
also said: "I can't say for sure until I am briefed by the
committee. I cannot possibly just ignore the proposals studied by
the government and the ruling parties," thus indicating that he is
willing to consider proposals from the committee.

(2) Okinawa governor indicates he will still support current
relocation plan even if opponent to Futenma's relocation wins in

TOKYO 00000149 002 OF 013


Nago mayoral election

SANKEI ONLINE (Full)
14:02, January 22, 2010

Okinawa Governor Hirokazu Nakaima indicated on Jan. 22 that even if
the candidate opposed to the current plan to relocate the U.S.
forces' Futenma Air Station to Henoko in Nago City wins in the Nago
mayoral election, where Futenma's relocation is at issue, he will
possibly maintain his position of "accepting the existing relocation
plan with reluctance."

The governor has regarded Nago City's approval of the relocation
plan as one reason why he accepts it. He emphasized that even if the
opposing candidate wins, "I don't think all the preconditions (for
Henoko relocation) will cease to exist." He said that "Henoko has
been considered since the Hashimoto administration, and the
environmental impact assessment is almost complete," pointing out
that early implementation of Futenma's relocation is highly
feasible.

An independent neophyte candidate who is opposed to the current
relocation plan, former Education Board Chairman Susumu Inamine, 64,
is engaged in a close contest with the incumbent mayor, Yoshikazu
Shimabukuro, 63, who tolerates Futenma's relocation, in this mayoral
election.

(3) 50th anniversary of revised Japan-U.S. Security Treaty: Japan,
U.S. facing turning point

MAINICHI (Page 1) (Full)
January 19, 2010

Takashi Sudo

Today marks 50 years since the revised Japan-U.S. Security Treaty
was signed on Jan. 19, 1960. Prime Minister Yukio Hatoyama told the
press corps yesterday evening at the Prime Minister's Official
Residence (Kantei): "Unless the Futenma issue is resolved, we won't
be able to move forward with the Japan-U.S. security arrangements in
a trust-based manner. Solving the issue by May will be an initial
test and we will then move forward in that direction," indicating
that the issue of relocating the U.S. Marine Corps' Futenma Air
Station (in Ginowan City, Okinawa) holds the key to deepening the
bilateral alliance.

Coinciding with the 50th anniversary of the revised security treaty,
Prime Minister Yukio Hatoyama and President Barack Obama are
expected to release separate statements today stressing their
efforts toward deepening the bilateral alliance. The foreign and
defense ministers of the two countries will also release a joint
statement in their names.

The revision of the security treaty, which sparked tremendous
controversy, has been recognized as the foundation of the bilateral
alliance. As symbolized by the Futenma issue, however, the bilateral
alliance relationship is now facing a turning point.

At an annual convention on Jan. 16 of the Democratic Party of Japan
(DPJ), Hatoyama said that the Futenma issue will be an initial test
for deepening the bilateral alliance relationship.


TOKYO 00000149 003 OF 013


However, one of the reasons for the deadlock in the Futenma issue is
a gap in the perceptions of Tokyo and Washington on the balance
between the mutual benefits and burdens of the alliance.

There is also a discrepancy between the nuclear policies of the two
countries. The Washington Times (electronic edition), a conservative
U.S. newspaper, reported on Jan. 7 that the U.S. Nuclear Posture
Review (NPR), which describes the U.S.'s basic nuclear policy, has
been delayed by one month until March 1, and that a study on
declaring "no first use" of nuclear weapons is the reason for the
delay. It is believed that the "no first use" of nuclear weapons is
the first step to reducing nuclear weapons, and it seems that
President Obama's idea of creating a world without nuclear weapons
is having an influence on the NPR.

Meanwhile, nuclear deterrence is also an important topic in the NPR.
Obama stressed in his speech in Tokyo last November that the United
States would maintain a nuclear deterrent that guarantees the
defense of its allies, including Japan. How will a world free of
nuclear weapons and the nuclear umbrella fit together?

The Foreign Ministry has put off issuing a report on its
investigations into a secret nuclear pact until late February. If
the ministry admits to the existence of the secret deal, which has
supported the nuclear umbrella, Japan will then be faced with the
issue of how to deal with the nuclear umbrella.

(4)"News Navigator" column: Nago mayoral election a vote on Futenma
relocation

MAINICHI (Page 3) (Full)
January 22, 2010

Nakae Ueno, Shinichiro Nishida, Yoshichika Imoto

It is now two days until the Jan. 24 mayor election in Nago City,
Okinawa. This contest between the incumbent mayor, who accepts the
relocation of the U.S. forces' Futenma Air Station (in Ginowan City,
Okinawa) to Henoko in Nago City under certain conditions, and the
neophyte candidate advocating Futenma's relocation out of Okinawa is
likely to have a significant influence on the decision of Prime
Minister Yukio Hatoyama on Futenma's relocation site, which he will
make by May.

In the early evening of Jan. 19, Yasuhide Miyagi, 54, chairman of
the "association for the promotion of the replacement facility"
stated in a relaxed mood at the association's office in Henoko,
which is the relocation site under the current relocation plan: "We
have no choice but to live with the bases. I think in Henoko, the
ratio is 7 to 3 in favor of accepting the relocation." Green banners
with the name of the incumbent mayor, Yoshikazu Shimabukuro, 63,
fluttered outside the office.

The association has cooperated with the acceptance of Futenma's
relocation since the previous Liberal Democratic Party (LDP)-New
Komeito administration. "We are not inviting (the replacement
facility) wholeheartedly. If we take a cooperative approach toward
the government and set our conditions, there will be some gains for
the local community." This group hopes for economic development
measures in return for accepting the relocation and wants to
establish a foothold for self-reliance with the spinoffs.


TOKYO 00000149 004 OF 013


The Henoko district is approximately 9 kilometers southeast of the
city center. It has a population of 2,000. During the Vietnam War,
there were more than 100 eating and drinking places in this area
catering to U.S. soldiers from nearby Camp Schwab. However, only a
handful of them are still in business today. The paint on the shop
signs in English and on the wall has worn off and the whole place
feels listless.

On the morning of Jan. 21, Shimabukuro said in his speech in the
city center: "Government requires continuity." He did not touch on
the Futenma relocation issue at all and consistently emphasized his
achievements in terms of economic development measures. He also told
reporters that "the economic development measures for northern
Okinawa have been moving forward considerably." Since 1997, when the
proposal to relocate the Futenma base to Henoko came up, some 45
billion yen has been spent on Nago as of FY09 as economic measures
for northern Okinawa. However, the per capita income in the city
remains below the average in Okinawa, never mind the national
average in Japan.

Ikuo Nishikawa, 65, owner of a hardware store who supports the
neophyte candidate Susumu Inamine, 64, who opposes the relocation,
said hopefully: "The citizens in this city have begun to realize
that the economic development measures do not help regional
development." Nishikawa has been a leader of the opponents to
relocation since 1997, and he was feeling fed up with the movement
and ready to give up on it after experiencing strife and conflict
with close friends and relatives every time there was an election.

But the sudden arrival of the Hatoyama administration has presented
a "last chance." Nishikawa worked hard for Inamine to visit Henoko,
and on the afternoon of Jan. 17, Inamine gave a speech in Henoko,
calling for "reconciling the outcome of this election with the
popular will expressed 13 years ago and restoring a peaceful and
quiet Henoko." The "popular will of 13 years ago" refers to the
referendum in December 1997 where a majority voted against the
construction of an offshore heliport. Nishikawa said: "The citizens
should express their honest feelings just like in 1997."

However, despite their taking different sides in the mayoral
election, Miyagi and Nishikawa both believe that "in the end, the
relocation site will probably still be Henoko." This is because the
government is reconsidering the relocation site from scratch,
meaning Henoko remains one of the options, while relocation out of
Okinawa or out of Japan remains unfeasible. Miyagi said: "Whatever
the outcome of the election, the Futenma issue will drag on."

When asked how the outcome of the Nago mayoral election will affect
his decision at the House of Representatives Budget Committee on
Jan. 21, Prime Minister Hatoyama said: "Ultimately, the national
government will have to take the responsibility. The government will
be responsible for reaching a conclusion from scratch."

This is the fifth time that the popular will of the Nago citizens is
being sought on Futenma's relocation. The first time was in December
1997, when a referendum was held on the construction of an offshore
heliport. A majority voted no. The next three times were during
mayoral elections. All three elections were won by candidates who
accepted Futenma's relocation to Henoko.

If Inamine, who advocates relocation out of Okinawa and who has the
endorsement of the Democratic Party of Japan (DPJ), the Japanese

TOKYO 00000149 005 OF 013


Communist Party, the Social Democratic Party, and the People's New
Party, wins, this will be the first time for an opponent to Futenma
relocation to be elected as mayor.

In contrast to Inamine's unequivocal opposition to Futenma's
relocation, Shimabukuro, who has the support of the LDP and New
Komeito, never mentions his longstanding position of conditional
acceptance of the relocation and keeps stressing his "achievements."
While the election campaign is heating up in Nago, the ruling and
opposition parties in Tokyo have not been observed to be campaigning
actively.

Ministers of the Hatoyama cabinet and senior party officials have
not come to campaign for Inamine. This is because while the DPJ
Okinawa chapter has come out clearly against relocation to Henoko,
the government has not eliminated Henoko as an option. The local
chapter is facing the dilemma that "full-fledged campaigning may
eliminate Henoko as an option."

Although Shimabukuro obtained the "endorsement" of the LDP and New
Komeito in the last election, he is getting only their "support"
this time. With rising expectations among the Okinawans for
relocation out of the prefecture, it is difficult to campaign on the
LDP and New Komeito's platform of accepting the relocation openly.
Behind the LDP and New Komeito's offering only "support" to
Shimabukuro is the fact that the Okinawa chapters of these two
parties have shifted their policy to demanding relocation out of
Okinawa, based on the calculation that (supporting Henoko
relocation) would not benefit them.

Since Hatoyama has stated repeatedly that he will "respect the
popular will of Okinawa," he will not be able to ignore the outcome
of the Nago election. On the other hand, if he makes the outcome the
basis of his decision on Futenma's relocation, he will be criticized
for "irresponsibility." The Prime Minister will face a tough
decision regardless of who wins in this election.

(5) 50-year-old Japan-U.S. Security Treaty (Part 2): Asian Community
concept a pipe dream

NIKKEI (Page 1) (Abridged slightly)
January 22, 2010

Prime Minister Yukio Hatoyama on Jan. 6 ordered State Minister for
Government Revitalization Yoshito Sengoku to concurrently serve as
state minister for national policy. Hatoyama also instructed Sengoku
to draw a picture of the East Asian Community concept. Earlier, late
last year, Hatoyama had also ordered administrative officials to
come up with specific measures for the concept.

This year marks the 100th anniversary of Japan's annexation of the
Korean Peninsula. In 1995, then Prime Minister Tomiichi Murayama
released a statement expressing his feelings of remorse and an
apology for Japan's past actions. According to a source versed in
Japan-Korea relations, Prime Minister Hatoyama is considering
issuing a new statement in August. Hatoyama is apparently planning
to resolve the history issue to pave the way for the East Asian
Community concept.

There are already such frameworks as the East Asia Summit and the
Asia-Pacific Economic Cooperation (APEC). Why is Hatoyama so
obsessed with the East Asian Community concept?

TOKYO 00000149 006 OF 013

"Creating a new economic bloc is not the Prime Minister's goal," a
Hatoyama aide said. "His goal is to turn Asia into a no-war zone,
with the East Asia Community concept as a beginning."

It is clear Hatoyama wants to build a multilateral security
organization in Asia. Although he has sealed away his pet theory of
a Japan-U.S. security alliance without the regular stationing of
U.S. forces in Japan, he has not relinquished it. Hatoyama probably
thinks that the establishment of a multilateral security system in
Asia will help reduce Japan's dependence on U.S. forces in Japan.

As if to coincide with that, the Hatoyama administration has
accelerated what can be described as a multilateral foreign policy.
For instance, Foreign Minister Katsuya Okada made his international
debut at the Japan-U.S.-Australia foreign ministers' meeting last
September. Administrative-level talks are still continuing. The
first-ever Japan-U.S.-Russia government-private security dialogue
will also begin this spring.

If such multilateral cooperation deepens, will it be able to take
over the role of the Japan-U.S. alliance? Such a framework will
probably help reduce tensions among member countries, but it could
spark a leadership struggle at the same time.

"Japan is advocating an East Asian Community, but China has no
intention of joining it if it does not include the United States, so
don't worry," a senior Chinese official said to U.S. Assistant
Secretary of State Kurt Campbell. The Chinese official was visiting
Washington after Premier Wen Jiabao expressed understanding for the
East Asian Community concept during his talks with Hatoyama last
October. Campbell later informed Tokyo of Beijing's intention to
drive a wedge between Japan and the United States. Campbell also
asked Japan, "China is taking advantage of the East Asian Community
concept. Aren't you going to do something about it?"

In the early 20th century, Japan managed to win the war with Russia
by forming an alliance with Britain, a major power at the time. But
the alliance ended after only about 20 years. This was followed by
the establishment of security arrangements among, Japan, Britain,
the United States, and France. Before long Japan became isolated and
marched toward war.

Given the war in Afghanistan and the long economic slump, the United
States, too, wants to build a multilateral-security system in Asia
to lessen its obligations to its allies.

Japan has a bitter experience. In 2008, toward the end of the Bush
administration, then Secretary of State Condoleezza Rice proposed
upgrading the Six-Party talks (on North Korea) to a
foreign-minister-level forum and declaring the establishment of a
Northeast Asia security framework.

The Fukuda administration objected, saying that measures for
security in Asia must be centered on the Japan-U.S. alliance. Rice
then promised to keep the alliance intact, but the concept
consequently fizzled out.

The United States and European countries were able to strengthen the
unity of the North Atlantic Treaty Organization (NATO) during the
Cold War because they had a common hypothetical enemy: the Soviet
Union. Can such a phenomenon occur in Asia? The theory of replacing

TOKYO 00000149 007 OF 013


the Japan-U.S. alliance with a multilateral security system has
dangerous pitfalls.

(6) Two days until Nago mayoral election: Former U.S. marine laments
that U.S. military is treated like a nuisance

ASAHI (Page 34) (Full)
January 22, 2010

Tetsuya Kumagai

In the Henoko district, Nago City, few people pass through the town
where about 2,000 people live. In the office of the council to
promote the relocation of the Futenma air base, senior council
members were holding a secret meeting on the afternoon of Jan. 21.
They have been absorbed in analyzing the situation. There were only
two old women in the office of a candidate running for the Jan. 24
mayoral election. The candidate is opposed to the existing plan to
relocate the Futenma base to Henoko. Only TV crews and reporters
were passing through the area. In the town, no candidates have taken
to the streets to campaign for the election after Jan. 17 when the
official campaign for the election kicked off.

Samuel Epperson, a former U.S. marine, 64, lives in this town, which
has an ocean view. The residents call him Sam-san. He said, "It's
unfortunate that the city is divided in two groups over the base
issue." Although he has not been able to get out and about recently
due to poor health, he has obtained information about the mayoral
election and Futenma issue on English websites.

He was assigned to Camp Schwab, which is adjacent to the town where
he eventually settled down, and he married Katsuko, 64, who was a
Japanese waitress at the cafeteria at the camp. The couple has been
living in the Henoko district for about 30 years. He witnessed a
referendum conducted in 1997 to put the relocation issue to a vote,
and three mayoral elections. He said that he felt sad to see the
U.S. military being treated like a nuisance.

Around the middle of the 1980s, he worked at the Futenma base for
about 18 months. The environment surrounding the Futenma base made
pilots nervous. He thought that Futenma was dangerous, and it was
difficult to carry out training under such a situation.

He was once rushed to join troops to rescue Philippines President
Marcos. During the Vietnam War, Okinawa was a relay point from the
mainland. He thinks U.S. bases in Okinawa are necessary, but he
said, "There are too many bases in Okinawa."

After retiring from the service in 1990, he has taught English to
the Nago residents and participated in almost all of the social
events in the community. The local people now invite him to their
golf competitions. Regardless of the results of the mayoral
election, he thinks the choice of the residents should be respected.
He has permanent resident status, but does not have the right to
vote. Asked to which candidate he would vote for if he had the right
to vote, he said, "I know both of the candidates very well. They are
both gentlemen," making a gesture of tossing a coin.

(7) Election in Nago City to determine fate of U.S. military base

ASAHI (Page 3) (Excerpts)
January 18, 2010

TOKYO 00000149 008 OF 013

Should the U.S. Marine Corps' Futenma airfield in Ginowan City,
Okinawa Prefecture, be relocated to Henoko, Nago City as agreed upon
between Japan and the U.S. four years ago? The Nago mayoral
election, officially announced on Jan. 17, has turned out to be a
one-on-one fight between a rookie candidate Susumu Inamine, who
opposes the relocation of the Futenma facilities to Henoko, and the
incumbent Yoshikazu Shimabukuro, who is in favor of accepting it.
Nago residents are not necessarily interested in the base issue.
Even so, the results of the election on the 24th will have a
considerable impact on Prime Minister Yukio Hatoyama's decision.

Visiting Henoko, which has been designated as the relocation site,
Inamine told an audience of about 20: "Why don't we settle the
relocation issue by matching the public opinion of 13 years ago with
the results of this election. The sea of Henoko does not need a new
military base."

Inamine is characterizing the mayoral election this time as an
occasion to once again demonstrate public opinion opposing the
relocation of the military base, which won a majority in the
referendum in 1997, and to put an end to the relocation issue.

Shimabukuro, in the meantime, appealed to about 300 supporters in
Sukuta, Nago City, his hometown, located on the western coast of the
mainland of Okinawa opposite Henoko: "The national government,
including the prime minister, remains indecisive. However, the
people of Nago are not wavering." Shimabukuro as the incumbent mayor
announced his acceptance of the Japan-U.S. agreement to relocate the
Futenma facilities to Henoko, reached in May 2006.

Inamine and Shimabukuro are diametrically opposed over the Futenma
issue. However, the mayoral election does not present a simple
pattern of pro-military base residents vs. anti-military base
residents.

As the city's general affairs department manager and controller,
Inamine worked under three mayors in the past who announced their
acceptance of the Futenma facilities. He underscored: "(My
determination to oppose the relocation of the Futenma airfield to
Henoko) will not change. I will stand firm in my belief." However,
some people still have their doubts about Inamine. A former
construction company operator in the city took the view, "He might
eventually accept the Futenma facilities with some conditions,
finding it impossible to continue to oppose the relocation when the
government determines that there is no other construction site than
Henoko."

Okinawa Prefectural Assembly member Yoshikazu Tamagusuku, a senior
member of Inamine's campaign headquarters on the 17th stressed
Inamine's connection with the Democratic Party of Japan (DPJ), the
party in power, saying, "Japan's politics has changed. Susumu
Inamine is the one who can work together with the central
government." However, the DPJ headquarters did not respond to a
request by local people to send in a speaker to support Inamine. A
senior member of the DPJ Okinawa Chapter said, "Some at the DPJ
headquarters hope Mr. Shimabukuro will win, expecting a decision to
relocate the Futenma facilities to Henoko to be made. These people
cannot possibly come to Okinawa to support (Mr. Inamine)."

In the meantime, senior members of Shimabukuro's campaign
headquarters, who made street-corner campaign speeches on Jan. 17,

TOKYO 00000149 009 OF 013


declared, "The Futenma issue has been settled in the past three
elections" and, "Futenma is not a point at issue. Don't be
beguiled."

The Shimabukuro camp does not want the Futenma issue, over which
public opinion is split, to be brought to the forefront. It is also
frantic about eliminating any party affiliation, which tends to be
linked to the Futenma issue. It received an endorsement from the
Liberal Democratic Party (LDP) and the New Komeito in the previous
election. However, it turned down the offer this time.

There is still a deep-rooted view mainly among construction
companies and commercial or industrial sectors that the construction
of a U.S. military base or economic development projects is the only
way for the neighborhood to revitalize itself.

Prime minister to take feelings of Nago residents into
consideration

The prime minister on the 17th told the press corps in Kobe City,
"It's possible that the decision (on the Futenma relocation issue)
will be determined by which candidate is elected." He also said on
the 15th, "I would like to make efforts to reach a decision
promptly, while taking the feelings of the residents of Nago into
consideration."

Some have cast doubts on the prime minister's stance, noting that
the state's security policy should not be delegated to a decision by
locals. Senior Vice Foreign Minister Tetsuro Fukuyama said, "It is
questionable whether it is appropriate for the government to leave
the Futenma relocation issue to the Nago mayoral election to work
out." A senior official at the Prime Minister's Office (Kantei) said
cool-headedly, "To begin with, the Nago mayor has no authority (to
decide on the relocation issue)."

If Inamine, who opposes the relocation, wins the election, the path
to the relocation of Futenma facilities to Henoko will become
completely blocked. The U.S. is consistently seeking the early
relocation of the Futenma airfield to Henoko. It would be difficult
to reach a consensus with the U.S. on a relocation site other than
Henoko.

The Social Democratic Party (SDP), which is seeking relocation of
the Futenma facilities outside the prefecture or the nation, is
bound to gain momentum. Leader Mizuho Fukushima, state minister for
consumer affairs and declining birthrate, on the 17th told reporters
in Tokyo: "What decision will residents of Nago reach on the issue
of building a new military base in Henoko? The SDP cannot afford to
lose this election."

In the meantime, if the incumbent Shimabukuro, who approves the
relocation of the Futenma facilities to Henoko, wins the election,
there would still be a slight possibility of relocating the
facilities to Henoko. A certain state minister said, "(If Mr.
Shimabukuro wins, the government's options will increase."

However, the people of Okinawa have a harsh view of the Hatoyama
cabinet, which continues to waver on the relocation issue. Some
Defense Ministry officials take the view that the possibility of
Henoko disappeared at the end of last year. They believe that it
will be impossible to go back to the existing plan no matter which
candidate wins the election.

TOKYO 00000149 010 OF 013

(8) Nago mayoral election on the 24th: Lavish subsidies undermine
self-reliance of local industries

TOKYO SHIMBUN (Page 26) (Abridged slightly)
January 22, 2010

The Nago mayoral election will take place on Jan. 24 with the
propriety of accepting the U.S. Marine Corps' Futenma airfield
(Ginowan City, Okinawa Prefecture) functions as a campaign issue. It
has been 13 years since Nago City was picked by the Special Actions
Committee on Okinawa (SACO) as a relocation site for the Futenma
airfield. Nearly 50 billion yen has been provided from state coffers
as a measure to develop the city in reward for its hosting the
military base during this period. What have massive amounts of
public investment brought about in the city?

Foundation work for the Machinaka municipal housing project, an
eight-story building (56 households), is underway in the Ohigashi
area in the downtown area. At the construction site there is a
standing signboard protesting construction of the municipal
apartment building. Residents protested to the city because the
constructions work began without advance notice. Construction work
was then suspended for a year until last fall.

An official of the construction department of the city explained:
"It is true we were slow in giving an explanation of the
construction work. However, there were no prospects for constructing
a municipal apartment building unless we took advantage of the
state's northern area development promotion." The Defense Ministry
will shoulder 90 percent of the project expense of 1.314 billion
yen.

There are many vacant apartments in the neighborhood. A housewife
living in the area said: "I wonder why the city is squeezing private
landlords. I am still opposed to construction of the municipal
housing." Ward Mayor Higa said: "We cannot stop the work, even if we
oppose it. The municipality has pledged to build a new city hall as
compensation." The construction of the city hall will also be
subsidized by the government.

The Nago City Sports Rehabilitation Center was opened last May in a
suburb of the city. The center is equipped with a sports facility
and orthopedic surgery and internal medicine clinic. The Defense
Ministry again shouldered 90 percent of the total construction cost
of 1.8 billion yen.

Users of the facility until November last year stood at 138 a day,
which is far below the goal of 500, the minimum to turn a profit.
Assembly member Nakamura, who pursued this issue during the
municipal assembly, said: "The state paid the construction cost.
However, it is Nago City that maintains and administers the
facility. A short-sighted stance toward public works will
inconvenience citizens."

Public works are not the only area in which the state generously
treats Nago. It is the only city in the nation that was designated
as a special financial and information area, where companies that
set up offices at the city's invitation can receive preferential tax
treatment. Sixteen IT-related companies opened offices in the
Multimedia Hall on the east coast, which hired 535 personnel.


TOKYO 00000149 011 OF 013


An official of the Special Financial and Information Area Promotion
Office of the city said that the project had created jobs. However,
most locally employed personnel are contract workers.

If the relocation of the Futenma facilities to Camp Schwab is
realized according to the Japan-U.S. agreement, the northern part of
the east coast called the Futami No. 10 District would be under the
flight path of helicopters. In response to a complaint that the city
would be subjecting residents to noise, it consecutively built a
fire station, a clinic, and a town hall.

The city is saturated with public works. In the meantime, ten
construction companies went belly up over the past five years. The
vacancy rate of stores reached 23 percent, double the figure in
1999. Nago City once ranked second in the prefecture in agricultural
production. However, its yield dropped by half, from 9 billion yen
to 5 billion yen, during the past 20 years.

A woman who runs a restaurant said, "Money comes from the state, so
nobody is trying to be resourceful."

(9) Poll on Hatoyama cabinet, political parties

TOKYO SHIMBUN (Page 2) (Full)
January 19, 2010

Questions & Answers
(Figures are percentages. Parentheses denote the results of the last
survey conducted Jan. 10-11.)

Q: Do you support the Hatoyama cabinet?

Yes 41.5 (50.8)
No 44.1 (33.2)
Don't know (D/K) + no answer (N/A) 14.4 (16.0)

Q: (Only for those who answered "yes" to the previous question) What
is the primary reason for your approval of the Hatoyama cabinet?
Pick only one from among those listed below.

The prime minister is trustworthy 7.8 (6.5)
Because it's a coalition cabinet of the Democratic Party of Japan,
Social Democratic Party, and People's New Party 11.1 (11.7)
The prime minister has leadership ability 1.1 (0.5)
Something can be expected of its economic policies 10.3 (10.8)
Something can be expected of its foreign policy 0.6 (0.8)
Something can be expected of its political reforms 26.6 (24.6)
Something can be expected of its tax reforms 4.0 (3.5)
Something can be expected of its administrative reforms 12.6 (13.9)
There's no other appropriate person (for prime minister) 24.5
(25.5)
Other answers (O/A) 0.2 (0.0)
D/K+N/A 1.2 (2.2)


Q: (Only for those who answered "no" to the first question) What is
the primary reason for your disapproval of the Hatoyama cabinet?
Pick only one from among those listed below.

The prime minister is untrustworthy 16.7 (14.1)
Because it's a coalition cabinet of the Democratic Party of Japan,
Social Democratic Party, and People's New Party 10.5 (11.3)

TOKYO 00000149 012 OF 013


The prime minister lacks leadership ability 29.0 (22.1)
Nothing can be expected of its economic policies 21.2 (28.0)
Nothing can be expected of its foreign policy 3.5 (5.1)
Nothing can be expected of its political reforms 6.8 (6.8)
Nothing can be expected of its tax reforms 3.6 (4.7)
Nothing can be expected of its administrative reforms 3.1 (1.7)
Don't like the prime minister's personal character 3.6 (3.3)
O/A 1.1 (1.4)
D/K+N/A 0.9 (1.5)

Q: Which political party do you support?

Democratic Party of Japan (DPJ or Minshuto) 32.1 (38.7)
Liberal Democratic Party (LDP or Jiminto) 22.7 (17.3)
New Komeito (NK) 4.5 (3.4)
Japanese Communist Party (JCP) 3.6 (2.9)
Social Democratic Party (SDP or Shaminto) 1.7 (3.0)
Your Party (YP or Minna no To) 2.1 (2.7)
People's New Party (PNP or Kokumin Shinto) 0.5 (0.1)
Reform Club (RC or Kaikaku Kurabu) --- (---)
New Party Nippon (NPN or Shinto Nippon) 0.3 (0.4)
Other political parties, groups 0.1 (0.1)
None 31.7 (30.6)
D/K+N/A 0.7 (0.8)

Q: In connection with the purchase of land by DPJ Secretary General
Ichiro Ozawa's fund-managing body, Tomohiro Ishikawa, who was a
secretary of Mr. Ozawa and is now a DPJ lawmaker seated in the House
of Representatives, and two other former secretaries, have been
arrested. Mr. Ozawa criticized the prosecutors and asserted that
there was nothing illicit about the money used for the land
purchase, claiming that there was a mistake in the formalities and
that their arrests are unacceptable. Do you approve of this
explanation from Mr. Ozawa?

Yes 6.3
No 86.0
D/K+N/A 7.7

Q: Mr. Ozawa has said he will stay on as DPJ secretary general. What
do you think?

He should stay on as DPJ secretary general 20.3
He should quit his party post 39.5
He should quit the Diet 33.8
D/K+N/A 6.4

Q: The LDP and other opposition parties say the Diet should summon
Mr. Ozawa as an unsworn witness for interpellations over this issue.
Do you think the ruling parties, including the DPJ, should accept
his Diet summons?

Yes 80.7
No 13.3
D/K+N/A 6.0

Q: A former secretary of Prime Minister Hatoyama has been indicted
without arrest for his fund-managing body's falsification of reports
on political donations. In this case as well, the opposition bench
insists that the Diet should summon those involved as unsworn
witnesses. Do you think the ruling coalition should accept their
Diet summons?

TOKYO 00000149 013 OF 013

Yes 69.6
No 23.8
D/K+N/A 6.6

Q: Do you think the politics-and-money problems of DPJ Secretary
General Ozawa and Prime Minister Hatoyama will affect this summer's
election for the House of Councillors?

Yes 43.3
Yes to a certain extent 46.2
Not very much 5.6
No 1.7
D/K+N/A 3.2

Q: There will be an election this summer for the House of
Councillors. Which political party are you going to vote for in your
proportional representation bloc?

DPJ 28.4
LDP 24.7
NK 4.0
JCP 4.3
SDP 1.9
YP 3.9
PNP 0.4
RC ---
NPN 0.3
Other political parties, groups ---
D/N+N/A 32.1

Polling methodology: The survey was conducted across the nation on
Jan. 17-18 by Kyodo News Service on a computer-aided random digit
dialing (RDD) basis. Among randomly generated telephone numbers,
those actually for household use with one or more eligible voters
totaled 1,471. Answers were obtained from 1,026 persons.

ZUMWALT

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