Environment tax comes into effect


An environment tax took effect Monday as the government hopes to rein in the use of fossil fuels and combat global warming.

The government has estimated that the tax burden for each household will increase by about ¥1,200 in fiscal 2016.

The tax, which will be imposed on fossil fuels including crude oil and natural gas, is in line with the government’s policy of aiming to cut carbon dioxide emissions by 25 percent from 1990 levels by 2020.

However, the government’s goal was adopted before the 2011 nuclear disaster at the Fukushima No. 1 power plant.

The Keidanren business federation is still opposed to the introduction of the tax, calling on the government to freeze its plan to further increase the levy in April 2014.