Backup Capital Bill Enacted with Slight Margin

After intensive negotiation beyond the aisle, the Upper House of the Diet approved Backup Capital Act on July 24th. The law was enacted. The leading coalition was successful in securing majority with a slight margin, supported by some opposition or independent lawmakers. The bill has strongly been pushed by Japan Innovation Party (JIP), the coalition partner of the Liberal Democratic Party (LDP). Prime Minister Sanae Takaichi promoted the bill to keep JIP in the leading coalition. 

The Backup Capital Act is to build a local government that has function of national capital, in case Tokyo loses its control with natural disaster or other occasion. It also aims at constructing economic centers in the context of decentralization of Japanese businesses. A candidate for backup capital needs to have certain amount of population, accumulation of business sectors and branches of national government, as well as agreement of coordination between prefectural government and city.

 

The JIP, which leader is the governor of Osaka, has been enthusiastic for Backup Capital Act, because making Osaka a capital of Japan is the first priority for the party. The JIP pushed the LDP to pass the bill within current session of the Diet, sometimes indicating JIP’s leave from the leading coalition. Having supermajority in the Lower House, the LDP unilaterally passed the Backup Capital bill and sent it to the Upper House.

 

The coalition of LDP and JIP does not have a majority in the Upper House. They made effort to achieve some votes from opposition parties. Team Mirai joined the supporters of Backup Capital bill with some revision of the provisions. The leading coalition was successful in getting some other votes from independent lawmakers. As the result, the Backup Capital Act received 123 votes of approval, as 121 lawmakers opposed.

 

The opposition parties firmly protested the Backup Capital Act, arguing that the law would only benefit Osaka. To delay discussion on the bill, the opposition parties demanded estimation on the cost for building a backup capital or some supplemental resolution for the bill.

 

The opposition parties also demanded a guarantee not to have double voting for referendum of building backup capital and election for local officers. The JIP leader, Hirofumi Yoshimura, considers to have the referendum on the same day of election of Osaka governor scheduled in April 2027, in which he hopes to be reelected. To block that double voting, the opposition parties inserted the bill a supplemental resolution which mandates a candidate of backup capital to “coordinate” for avoiding same-day voting.

 

However, Yoshimura argued that he would seek double voting in next April, despite that supplemental budget. It was explicit ignorance of the decision of the Diet by a local governor. The leader of Democratic Party for the People, Yuichiro Tamaki, accused Yoshimura’s argument as degrading the Diet.

 

Prime Minister Takaichi gave support for unique agenda of JIP to maintain political power in both chambers of the Diet. Resultingly, the Diet worked for Osaka to be the second capital of Japan.

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