Japan's oil subsidy program to hit ceiling only weeks after launch

Politics Economy

The government will hike its subsidy for oil wholesalers to the upper limit just two weeks after the program was implemented to curb a surge in gasoline and other fuel prices, officials said Friday. The industry ministry will pay the subsidy of 5 yen per liter for a week from next Thursday to cap Japan's average regular retail gasoline price at around 170 yen ($1.5) per liter. The ministry launched the program on Jan. 27 to prevent oil distributors and importers from passing on higher wholesale prices to consumers, setting the subsidy at 3.4 yen. It was later raised to the current 3.7 yen, ref...

Kyodo News

Kyodo News