Japan Spent Quarter Of Tsunami Relief Budget On Unrelated Projects: Report

Japanese authorities have spent nearly a quarter of the funds set aside to reconstruct disaster-hit areas, from the earthquake and tsunami last year, into numerous unrelated projects such as subsidies for a contact lens factory and hiring protection for Japanese whalers, claimed a recent independent audit commissioned by the government, with nearly half of the budget also still to be spent amid delays over rebuilding strategies.

Japanese authorities have spent nearly a quarter of the funds set aside to reconstruct disaster-hit areas, from the earthquake and tsunami last year, into numerous unrelated projects such as subsidies for a contact lens factory and hiring protection for Japanese whalers, claimed a recent independent audit commissioned by the government, with nearly half of the budget also still to be spent amid delays over rebuilding strategies.

According to the New York Times, the Japan’s Board of Audit, an independent agency, had discovered that just about half of the country’s reconstruction budget of 19 trillion yen ($239 billion) remained unused; while several government agencies, who were unaffected by the disaster, had successfully applied to receive a slice of the relief budget.

Among the unrelated projects benefiting from the reconstruction budgets included $6.3 million spent to build roads in Okinawa (over 1,000 miles away from the disaster zone), $4.1 million spent to fixe a sports stadium in Central Tokyo, and about $29 million paid towards measures to protect Japan’s whaling fleet from environmental activists.

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The Associated Press added that some $380,000 had gone towards promoting one of Japan’s latest tourist attractions, the Tokyo Sky Tree, while another 35 million was requested by the Justice Ministry for a publicity campaign to “reassure the public” about the risks of big disasters.

[quote]”It is true that the government has not done enough and has not done it adequately. We must listen to those who say the reconstruction should be the first priority,” said Prime Minister Yoshihiko Noda in a speech to parliament on Monday.[/quote]

Noda promised to “strictly wring out” all unrelated projects from the remaining budget and acknowledged that the government had made the mistake of approving several non-reconstruction-related projects that were included on the pretext that they would contribute to an economic revival.

Meanwhile, many communities directly affected by the disasters are still chasing finances, according to NYT. Iwate prefecture for instance reportedly only has a budget of $188 million to subsidise locals seeking to rebuild their small businesses, meaning that they have had to reject nearly $320 million in applications.

Across disaster zones, Japanese broadcaster NHK also estimated that some 60 percent of similar applications had to be rejected, with many hospitals unable to pay for new equipment.

Most analysts blame the failure to disburse funds quickly to disaster-hit areas on government indecision and bureaucracy.

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[quote]”This is a manifestation of government indifference to rehabilitation. They are very good at making excuses,” said Masahiro Matsumura, a politics professor at St. Andrews University in Osaka to AP.[/quote]

The government “thinks it has to be in the driver’s seat…Unfortunately the reconstruction process is long and only if the local residents can agree on a plan will they move ahead on reconstruction,” added Jun Iio, a government adviser and professor at Tokyo University to a conference in Sendai.

“It is in this stage that creativity is needed for rebuilding,” he said.