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Prime Minister Yoshihide Suga last December instructed his
environment and industry ministries to work on a plan in 2021 to
create a carbon pricing scheme, as part of efforts to meet his
pledge to make Japan carbon-neutral by 2050.
But progress has been slow due to differences between the
environment ministry, which is keen to adopt carbon pricing, and
the industry ministry, which is wary of initiatives that
increase costs for Japan's manufacturers.
"Japan should use carbon pricing in a way that contributes to
the government's growth strategy," private members said in a
joint proposal to the government's top economic council held on
Wednesday, urging the government to reach an early decision.
The government should also offer incentives to promote green
technology, said the private members, whose proposals lay the
groundwork for future policy decisions.
"Japan needs to respond strategically, working closely with
other Asian countries," to stay engaged in global rule-making on
issues such as carbon border fees, said council member Takeshi
Niinami, who is CEO of Japan's beverage giant Suntory Holdings.
Suga told the council Japan can create 8.5 million jobs and
annual wealth of 90 trillion yen ($850 billion) by 2030 by
enhancing energy efficiency and promoting green investment.
Suga's pledge on carbon neutrality by 2050 brings Japan into
line with the European Union. But Tokyo is under pressure to
move more quickly, as new U.S. President Joe Biden steps up
efforts to tackle climate change.
($1 = 105.8400 yen)
(Reporting by Leika Kihara. Additional reporting by Yoshifumi
Takemoto. Editing by Mark Potter)
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