2022 Comprehensive emergency measures to address soaring crude oil and commodity prices

Last updated: 24 May 2023

In an effort to cushion domestic consumers from the effects of the global energy crisis, the Japanese Prime Minister put forward a JPY 6.2 trillion direct government spending package at the end of April 2022, financed by a JPY 2.7 trillion FY2022 supplementary budget, as well as government reserve funds.

It includes:
-transport fuel (eg gasoline, diesel, heavy oil all aviation fuels, and a special subsidy to taxi companies), through a subsidy scheme targeting oil refining companies;
-subsidies to help SMEs face the rise in energy and other raw material price;
-subsidies for low income & vulnerable households and subsidies for low-income families (JPY 50,000 /child);
-transfers to subnational authorities in the form of Extraordinary Regional Revitalization Grants local governments would redistribute to households and businesses being hit by soaring electricity and gas prices;
- Partial gas and electricity price caps.

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