Japan mulls funding N. Korea denuclearization, others to give oil aid

TOKYO, Oct. 21 Kyodo - Foreign Minister Hirofumi Nakasone indicated Tuesday that Japan is considering funding and providing technology for the dismantlement of North Korea's nuclear programs, hinting at a different approach from Tokyo's current refusal to take
part in energy aid to Pyongyang due to unresolved abduction cases.

Meanwhile, with regard to the 200,000 tons of fuel oil equivalent that Japan
was initially responsible for, Tokyo is arranging to have Australia, New
Zealand and some European nations shoulder the burden instead and has begun
discussions with the United States and other nations involved, government
sources said Tuesday.
The energy aid is part of a six-party agreement for China, Japan, South Korea,
Russia and the United States to provide North Korea with 1 million tons of
heavy oil equivalent in exchange for Pyongyang's nuclear disablement.
''Our policy of not giving economic and energy aid to North Korea until
progress is seen on the abductions is unchanged,'' Nakasone told a press
conference. ''But with regard to nuclear abandonment, we have made our
contributions through the International Atomic Energy Agency and would like to
discuss with other nations involved how we can continue to do so.''
Under the current ''second phase'' of the six-party denuclearization talks,
which requires Pyongyang to declare and disable its nuclear programs and
facilities, Japan insists it will not participate in the provision of heavy
fuel oil to North Korea until the abductions are addressed.
As the denuclearization process moves toward the ''third phase,'' when actual
dismantlement is to take place, pressure from other members of the six-way
talks has been mounting for Japan to fulfill its share of the
fuel-for-disablement agreement.
Tokyo apparently sees the option of contributing to the process of scrapping
North Korea's nuclear programs as an alternative measure to energy aid.
''Contributing to nuclear abandonment is different from providing energy
assistance as it would not benefit North Korea,'' said a senior Foreign
Ministry official.
The plan under consideration is for Japan to pay for expenses such as the
removal of spent fuel rods and plutonium from the Yongbyon nuclear site, and
the demolition of the nuclear reactors and other facilities, the sources said.
Australia and New Zealand have already conveyed to Japan their willingness to
shoulder a total burden of about 30,000 tons of fuel oil by each providing $10
million, approximately 1 billion yen, according to the sources.
Japan is also discussing with Britain and other European nations. If that still
would not cover the whole share of 200,000 tons, the United States and South
Korea, which have provided their shares under the six-party agreement, may step
in.
An estimated total of $120 million is necessary for providing the 200,000 tons
worth of fuel oil.
Washington and Seoul first tabled the idea of having other nations outside of
the six-party framework shoulder Japan's share of the fuel aid, the sources
said.
The move was likely aimed at ensuring the nuclear talks move forward to the
third phase without being dragged down by stalled negotiations on the abduction
issue. Sources close to Japan-North Korea relations said Pyongyang would not
care which country footed the bill for the oil.
The six-party talks, involving North and South Korea, the United States, China,
Japan and Russia, are expected to hold the next heads-of-delegation meeting
possibly after the Nov. 4 U.S. presidential election to approve a recent
U.S.-North Korea accord on how to verify information provided by Pyongyang on
its nuclear activities.