to understand that the tax does not hurt the economy," she said. "I want to explain the need for the tax to the public."

As another measure to tackle global warming, the government staged the "Cool Biz" campaign last summer to promote lighter clothing in offices to reduce use of air conditioners. Koike actively promoted the effort and succeeded in making the more casual dress code popular among the public.

There was speculation before the Cabinet reshuffle that Koike would be rewarded for successfully running against a candidate who opposed Koizumi's postal privatization drive in the Sept. 11 election.

Asked whether she was disappointed with being retained as environment minister, Koike said on the contrary she was happy.