TOKYO: The Japanese government said Tuesday that it will spend 989.1 billion yen from its fiscal 2024 reserve funds as additional financial sources for subsidies aimed at lowering electricity, city gas and gasoline prices.

The government will nearly use up 1 trillion yen of the reserve funds set aside for the year that ends next March to help cushion the impact of high prices on households. Tuesday’s decision means that it will spend over 11 trillion yen on the effort.

In August, the government revived its subsidy program for electricity and city gas due to the severe summer heat after terminating it in May.

Through September, the government will provide 4 yen per kilowatt-hour for electricity and 17.5 yen per cubic meter for city gas. In October, the subsidy amount will be cut to 2.5 yen for electricity and to 10 yen for city gas.

Currently, the government provides refiners with subsidies to help curb regular gasoline prices to around 175 yen per liter on national average. The program will continue until the end of this year.

JIJI Press