Photo/Illutration Banners promoting tourism in Tohoku region at JR Akita Station in Akita in April (Asahi Shimbun file photo)

Although a new government travel subsidy program is seeking to boost local tourism, standards remain ambiguous as to when entities should halt their campaigns if coronavirus cases surge in their areas.

Twenty-one prefectures, including Akita and Oita, have launched their own discount programs so far, according to the Japan Tourism Agency.

However, if a local government does not immediately halt a discount tourism campaign in case the number of infections rapidly increases, the risk of spreading the virus will become high.

A JTA official said, “It is up to each local government” to apply for the financial assistance.

The official added that the central government will support local entities if they qualify for the subsidy and have implemented proper anti-virus measures.

The JTA plan, announced on March 26, offers support to local government’s efforts to boost their respective tourism industries, hit hard during the pandemic. 

Under the program, the central government will allocate 300 billion yen ($2.7 billion) to help prefectural plans to encourage residents to travel more and subsidize each trip up to 7,000 yen per person per night.

Welcoming the news, Akita prefectural government on April 3 launched a campaign that covers half the lodging expenses and tour package--up to 5,000 yen per person--for prefectural residents traveling within the prefecture. 

The campaign will continue until the end of May.

An Akita official said the prefectural government has arranged the campaign period and the discount rate according to the central government’s subsidy plan to “qualify for the financial assistance with absolute certainty.”

The campaign is expected to cost 3 billion yen, but the prefectural government anticipates it will be fully covered by the central government.

The JTA has twice hosted a meeting to explain the subsidy system. Officials from all 47 prefectures were in attendance.

But as of the morning of April 8, no local government had filed a formal application to receive the funds because the process takes time.

One condition to receive the subsidy is that the COVID-19 situation has to remain at a “Stage 2” level or lower in the index set by the central government’s panel of experts to deal with the pandemic.

But each local government must make its own judgment about whether it is remaining at that level.

An Akita prefectural official said, “We will make a decision on a case-by-case basis.”

Tourism minister Kazuyoshi Akaba said, “It is wrong to think of the (subsidy program) as a way to spur people to travel right now.”

For now, Akita prefectural officials are proceeding with the local travel campaign program.

Later this month, the prefectural government will hand out discount coupons that can be used at souvenir stores and other businesses, using the subsidy system.

The prefectural government has also extended the expiration date for use of its own plan to boost tourism, launched in 2020, by offering the purchaser of a hotel coupon a half-price discount until the end of June.

Using the coupon with the central government’s subsidy discount program, the discount can be as much as 80 percent, the prefectural government said.

The Oita prefectural government has also expanded the budget for travel discounts for residents who travel within the prefecture. The government launched the program on March 20.

Initially, the project cost was 200 million yen. But anticipating receiving the subsidy from the central government, the prefectural government has increased the expected expenditure to 3.7 billion yen.

An Oita official said the prefecture “relies on the tourism industry” and the local government has calculated the cost based on the subsidy from the central government.

In addition to the existing campaign, the prefectural government will start issuing a 2,000-yen coupon per person from May.

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