Households might have to pay an average 4,950 yen per year if a planned environment tax is introduced in fiscal 2005, according to a government draft released Thursday.

The tax is aimed at combating global warming and would be the equivalent of a 2 percent increase in gasoline prices. The Environment Ministry said the tax would boost the nation's annual tax revenues by about 1.01 trillion yen.

The planned Environment Tax is intended to tax fossil fuels, depending on the carbon content. The ministry submitted the draft to a subcommittee of the Central Environment Council.