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Gov't urged to fully open mail service to private firms.

TOKYO, Dec. 20 Kyodo

A posts ministry advisory panel Thursday urged the government to fully open the state-run mail services to private-sector companies that meet set conditions.

In an interim report submitted to posts minister Toranosuke Katayama, the panel said private firms should be allowed to begin mail services in 2003, when a new public corporation is due to be created to take over the three postal service operations of mail, postal savings and ''kampo'' insurance from the government.

Upon receiving the report, the Ministry of Public Management, Home Affairs, Posts and Telecommunications is expected to prepare a necessary bill that will be submitted to an ordinary Diet session next year, ministry officials said.

On the full opening of the mail services, the report attached a condition that private firms be required to provide mail services nationwide at the same cost.

The report's recommendations would effectively end the government monopoly on the collection and delivery of sealed letters and postcards, enabling private firms to handle all types of mail.

As for the postal savings and insurance services, the report proposed the planned public entity set the maximum acceptable amount per individual account at 10 million yen and that the state guarantee for the two services be maintained.

The report also said the new entity should adopt the management technique of private firms to make it more efficient and that it should publish financial statements based on the same accounting rules as those in the private sector.
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Publication:Japan Weekly Monitor
Date:Dec 24, 2001
Words:246
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