February 7, 2021
International Forum on SDGs forRegional Revitalization

SDGs for Regional Revitalization
Driven by Public-Private
Partnerships
Shuzo Murakami
Emeritus Professor, The University of Tokyo
Institute for Built Environment and Carbon Neutral for
SDGs (President)
Chairperson of the Local Government SDGs Promotion
Evaluation and Study Group (Cabinet Office)1

Shuzo Murakami, Institute for Building Environment and Energy Conservation

Agendas
1. Government Initiatives for SDGs forRegional Revitalization
2. Promotion of SDGs for Public-Private
Partnerships by the Cabinet Office
1. SDGs Future City
2. Public-Private Partnership
Platform
3. SDGｓ Finance3. Future Direction: Further Deepening SDG
Initiatives
2Shuzo Murakami, Institute for Building Environment and Energy Conservation

International Comparison of SDGs Initiatives: Positioning of Japanby the Sustainable Development Solutions Network (SDSN)

1. Country Rankings
JAPAN19 / 163

Japan is ranked 19th in the world
ranking for SDG achievement rate

2. SDGs Goal-Specific Scores
ジェンダー

まちづくり

Low score for “5. Gender
Equality”
High score for “11. Sustainable
cities and communities”

Moving into a stage that requires further
deepening of community development SDGs
Source: “Sustainable Development Report 2022”
https://s3.amazonaws.com/sustainabledevelopment.report/2022/2022-sustainable-development-report.pdf

3Shuzo Murakami, Institute for Building Environment and Energy Conservation

Japanese Government’s Main SDG Implementation-Related
Initiatives
September
2015

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UN Sustainable Development Summit⚫“The 2030 Agenda for Sustainable Development,” adoptionof Sustainable Development Goals (SDGs)

1st SDGs Promotion Roundtable Meeting⚫ Establishment of SDGs Promotion Headquarters

May2016（Prime minister as director, chief cabinet secretary and minister of foreign affairs as
deputy director, and all cabinet ministers as members)

December2016September
2019

December2021

2nd SDGs Promotion Roundtable Meeting⚫ Formulation of “SDGs Implementation Guiding Principles”

SDG Summit 2019 at UN Headquarters
Followed up on SDG initiatives in the previous four years at the prime minister
level
Former Prime Minister Abe announced decision to accelerate private-sector
initiatives, domestic and international initiatives for regional revitalization, etc.

11th SDGs Promotion Roundtable Meeting⚫ Established “SDGs Action Plan 2022”⚫ Conferment of 5th Japan SDGs Awards

Achieve SDGs by 2030

4Shuzo Murakami, Institute for Building Environment and Energy Conservation

Initiatives for Regional Revitalization Under SDGs Implementation
Guiding Principles(Revision of SDGs Implementation Guiding Principles (Summary), SDGs Promotion Division (December 2019))

1. Promote regional revitalization driven by SDGs
2. Solve regional issues through public-privatepartnerships
3. Create autonomous virtuous cycles through SDGs
regional revitalization finance4. Accelerate initiatives for achieving SDGs and promote
excellent case studies domestically and internationally
5. Promote inter-municipal partnerships

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

“Vision for a Digital Garden City Nation” and SDGs for Regional
Revitalization (Cabinet approval in June 2022) (Excerpt)

1．Create model projects for achieving SDGs
2．Promote private-sector participation
through public-private partnership platform

3．Promote SDGs regional revitalization finance
4．Promote SDGs for regional revitalization
domestically and internationallySolving regional social issues using thepower of technology
6Shuzo Murakami, Institute for Building Environment and Energy Conservation

Pillars of Regional Development: Basic Goals of“Comprehensive Revitalization Strategies for Cities,People, and Careers” (2nd term / Cabinet approval on December 20, 2019)

1. Create communities where people can earn andwork safely
2. Build a connection with, and create a new flow ofpeople to, local communities
and3. Fulfill their hopes for marriage, childbirth, andchildcare

4. Create an attractive community where people
gather and live safely
Four basic goals as social issues“Communities where people can earn”
as an economic issue

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Local Government Management to Create“Communities Where People Can Earn”
Profit ＋“Communities where people can earn”

Local government SDGs +Company SDGs
Implementation of private-sectorvitality

Socialcontribution －Localgovernments

Socialcontribution＋

Profit －Regional economic vitalization and solvingof social issues through local governmentcorporate partnerships

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Positioning of SDGs Within Companies
1. Contributing to the establishment of asustainable society
・ Solving of social issues
・ Increase in non-financial value (brand, governance,personnel, etc.)2. Participating in SDGs projects
・ Enormous market created by global SDGs initiatives
・ New business opportunities created by participation inSDGs
・ Increase in financial value (revenue)

3. Discovering/solving management issues
・ Comprehensive, economic-social-environmental initiatives based on
three layers (goals, targets, and indicators)
・ Discovery of new management issues from the global perspective
・ Breakthroughs for solving issues based on the SDGs framework

9Shuzo Murakami, Institute for Building Environment and Energy Conservation

Embodiment of “Communities Where People Can Earn”:

Creation of Autonomous Virtuous Cycles ThroughCorporate SDGs and Financial SDGs
Localgovernments(1) Initiatives by regional
companies

Major
corporations

SDGs
management

Partnerships
based on SDG
initiatives

Generation of cash flow
Return and reinvestment offunds in region

Creation ofautonomous
virtuouscycles

Partnerships

Financial support
Continuous support
Major financial(2) Support from regional
financial institutions
institutions
Create a new cash flow through partnerships between regional companies andregional financial institutions
Reinvest this in the region to realize “communities where people can earn”

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Agendas
1. Government Initiatives for SDGs forRegional Revitalization
2. Promotion of SDGs for Public-Private
Partnerships by the Cabinet Office
1. SDGs Future City
2. Public-Private Partnership
Platform
3. SDGｓ Finance3. Future Direction: Further Deepening SDG
Initiatives
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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Locations of SDGs Future Cities (154 cities total) (5 years,from 2018-2022)
Purple: FY2022
Pink: FY2021
Brown: FY2020Green: FY2019
Blue: FY2018*If the prefecture itself was selected, theentire prefecture has been colored in

Hokuriku/Chubu
RegionFY2022: 9 cities (2)FY2021: 10 cities (3)FY2020: 10 cities (2)FY2019: 8 cities (3)FY2018: 8 cities (1)Chugoku/ShikokuRegion
FY2022: 4 cities (1)FY2021: 2 cities (1)FY2020: 5 cities (2)FY2019: 3 cities (1)FY2018: 5 cities (1)Kyushu/Okinawa
RegionFY2022: 5 cities (2)FY2021: 3 cities (2)FY2020: 5 cities (1)FY2019: 6 cities (3)FY2018: 3 cities (3)Hokkaido/Tohoku
RegionFY2022: 3 cities (1)FY2021: 4 cities (1)FY2020: 4 cities (1)FY2019: 2 cities (1)FY2018: 7 cities (2)Kanto Region
FY2022: 5 cities (2)FY2021: 7 cities (2)FY2020: 3 cities (1)FY2019: 6 cities (1)FY2018: 4 cities (3)Kinki Region
FY2022: 4 cities (2)FY2021: 5 cities (1)FY2020: 6 cities (3)FY2019: 6 cities (1)FY2018: 2 cities (0)12Shuzo Murakami, Institute for Building Environment and Energy Conservation

Framework for Selecting SDGs Future Cities
Selection #1
SDGs Future Cities(Selection of 30 cities)

Overall evaluation on
the implementation andpromotion of SDGs

Selection #2
Local Government SDGs
model projects(Selection of 10 cities fromout of 30)
Evaluation of initiatives thatwould serve as models forsustainable development

Dissemination and implementation of successful examples

Promotion of SDGs across all local governments
13Shuzo Murakami, Institute for Building Environment and Energy Conservation

Aim of SDGs Future City Concept, etc.:(1) Raise “peak” (2) Raise general awareness(1) Government recognizing high-performing localgovernments
Raise “peak”(2) Share best practices
awareness

Raise general

Revitalization of local governments across Japandue to increase in general awareness14

Shuzo Murakami, Institute for Building Environment and Energy Conservation

Promotion of SDGs Model Projects Through Wider-AreaPartnerships
Aim of Policy:

Expand and deepen SDGs initiatives with synergistic initiatives
based on partnerships across multiple local governments

・ Complementarity

・ Sharing of goals

・ Broadening ofservices, etc.

Select excellent examples as model projects★Kitami City, Hokkaido Prefecture
・Bihoro Town, Hokkaido Prefecture
・Tsubetsu Town, Hokkaido Prefecture
・Kuneppu Town, Hokkaido Prefecture
・Oketo Town, Hokkaido Prefecture(★ mark: Representative of group proposal)★Chizu Town, Tottori Prefecture
・Nishiawakura Village, Okayama Prefecture★Maniwa City, Okayama Prefecture

・Matsuzaki Town, Shizuoka
Prefecture

・Okayama City, Okayama Prefecture
・Kurashiki City, Okayama Prefecture

・Takamatsu City, Kagawa Prefecture★ Tosa Town, Kochi Prefecture
・Motoyama Town, Kochi Prefecture

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内閣府ＨＰ「広域連携モデル事業選定について」
Shuzo Murakami, Institute for Building Environment and Energy Conservation

Agendas
1. Government Initiatives for SDGs forRegional Revitalization
2. Promotion of SDGs for Public-Private
Partnerships by the Cabinet Office
1. SDGs Future City
2. Public-Private Partnership
Platform
3. SDGｓ Finance3. Future Direction: Further Deepening SDG
Initiatives
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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Revitalization Through Public-Private Interaction Neededfor SDGs for Community Development
Background of Public-Private Partnerships
・ The participation of private companies is essential in the creation of ”communities
where people can earn”・ Facilitate public-private dialogue/interaction through the sharing of the SDGs framework

Benefits for Local Governments

Benefits for Private Companies

・ Access to ideas from throughout the country
・ Able to deliberate on ideas prior to budget actions
・ Strengthening of local government management
through implementation of corporate culture

・ Increase in company brand due to external
promotion
・ Vertical → Horizontal partnerships
・ Accumulate information on local government
administration, regional finance, etc.

Establish settings for unstructured interaction =Public-private partnership platform・ Local Governments: Propose areas and needs
・ Private Companies: Provide know-how

Turn projects into a reality through matching

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Number of Members on Public-Private Partnership Platform：
6,918 Organizations
Private Companies：5,786(Financial institutions: 265)

Relevant Ministries/Agencies：17

Local Governments：1,115

2022年
11月

Has grown to a scale that allows for multidimensional fusionin public-private partnerships

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Ichinoseki City (Iwate Prefecture) “Supporting Children’s Cafeterias
Through Hometown Tax Payments”
Volunteers
throughout Japan(1)“Donate to support
Ichinoseki City’schildren’s cafeterias”(2) Children’s Cafeteria Support Structure
Mutual exchange,
creation ofrelevant
populations

IchinosekiCity

Food production /Logistics
distributors

Children’s
cafeteriasthroughout Japan(3)

Solving of social issues such as Goal 1 (poverty) and Goal
2 (hunger)
Acquisition of funds through partnership with thehometown tax payment system

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Ina City (Nagano Prefecture) “Building Drone Logistics Services inMountainous Areas”(2) Logistics hubs
/ Distribution(3) Nearest regional
Delivery drones

logistics hub(community center, etc.)

ReceiveOnline order(1) Shopping
refugees

Initiative to solve the social issue of shopping
refugees
Operation of drone delivery project by Ina
City and KDDI

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Recognition of Excellent Public-Private Partnerships
1. Purpose / Objective
・ Wide public appeal for excellent case studies
・ Recognize excellent examples that will serve as models throughout
Japan

2. Judging Criteria
1. Perspective of SDGs for regional revitalization
2. Partnerships with stakeholders
3. How well it serves as a model / Ripple effects

3. Past Results
・ Number of applications
・ Number of awards
conferred

71 (2021), 77(2022)
6 (2021), 6 (2022)

Awards ceremony will be held during today’s
program21

Shuzo Murakami, Institute for Building Environment and Energy Conservation

Agendas
1. Government Initiatives for SDGs forRegional Revitalization
2. Promotion of SDGs for Public-Private
Partnerships by the Cabinet Office
1. SDGs Future City
2. Public-Private Partnership
Platform
3. SDGｓ Finance3. Future Direction: Further Deepening SDG
Initiatives
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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Initiatives in SDGs Finance for Creation of Autonomous Virtuous Cycles:
Promotion of Public-Private Partnerships Through Certification/Awards(1) Regional
companies working
towards SDGs
52 localgovernments
have begun
process forregistration/certi
fication

Registrationofdeclaration

Investment
and loansContinuous
supportCertification
by localgovernment(2) Regional financial
institutions working
towards SDGs

Ministercommendation

Initiatives in FY2021
Results
・ 59 applications
・ 5 minister
commendations

Registration/certification and awards of(3) company SDGs, SDGs finance, etc., by local
governments, national government, etc.

Visualization and revitalization of initiatives by regional
companies/local governments towards the realization of“communities where people can earn”
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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Minister Commendation (Example 1)：Nichinan Town
(Tottori Prefecture) + The San-In Godo Bank・ Succeeded in monetization using J-Credits
Coordinator system through partnership between
・ local government and financial institution

1. Nichinan Town acquired JCredits for town-ownedforest
2. Sale of J-Credits used topromote forestry andecosystem conservation(t-CO2 )
1,600
1,400

(No. ofinstances)
90
Sales volume (t-CO2)
Sales instances70

1,20060

1,00050

800

40600

3. Partnership between The San-In
Godo Bank and Nichinan Town 400“J-Credit Regional Coordinator 200Contract”
0Provides support toregional businesses fromthe sale of credits tocontract signing

80

30
20
100

Sales Results of J-Credits forNichinan Town-Owned Forest

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Minister Commendation (Example 2): Nagano Prefecture+ Ueda Shinkin Bank・ Partnership between Nagano Prefecture registration system andUeda Shinkin Bank financial support

・ Leading example of SDGs finance for regional revitalization

1. Nagano Prefecture created the first registration
system in Japan in 2019
(Currently registered: 1,329)
2. Regional businesses submit a declaration and checklistof initiatives related to their achievement of SDGs according
to the registration system
3. The Ueda Shinkin Bank evaluates the checklists fromthe perspective of business potential, and provides
financial support
Gives regional businesses incentive to makeinitiatives for the SDGs
Total of over 1 billion yen in financing for 24
companies (as of December 2021)

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Agendas
1. Government Initiatives for SDGs for
Regional Revitalization
2. Promotion of SDGs for Public-Private
Partnerships by the Cabinet Office
1. SDGs Future City
2. Public-Private Partnership
Platform
3. SDGｓ Finance3. Future Direction: Further Deepening SDG
Initiatives
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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Current SDG Implementation and Future IssuesPercentage of Local
Governments Making SDG
Initiatives

(％)
70６０％

% on vertical axis is the percentage relative to thenumber of prefecture/local governments in Japan:
1,788

KPI for endof FY2024

60
５7.7％

50

５２％

40

３９％

30
20
１３％

10５％

2017

2018 2019 2020
2018
2020

2022

2024

Very high rate of implementation compared to the rest of the world
Moving from the popularization of SDGs to the deepening ofinitiatives

Need to support small local governments

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Initiatives to Deepen SDGs
1. Personnel training
・ Establishment of a personnel training course by theCabinet Office (FY2022)
・ Oriented towards small local governments in particular

2. Promote structuring of action plans:
Further visualize content and results of initiatives
・ Logic model to explain cause-effect within initiatives
・ Impact evaluation to give an idea aboutresults, etc.
List on “Proposal Sheet of SDGs Future City in FY2023,etc.” “Registration/Certification Systems for SDGs forRegional Revitalization,” etc.
Strengthen support of such initiatives by local
governments/companies

28Shuzo Murakami, Institute for Building Environment and Energy Conservation

Making SDGs Implementation Process Concrete
Policy/management issues(1) Mapping
EconomyOutside-in perspective
Society

Environment(Global values)(2) Materiality (Priority issues)
Goals(3) Logic model

Targets(4) Setting of objectives
KPIs(5) Action plan

Indicators
Three-layer structure
and indicators(6) Impact evaluation(7) Progress management through backcasting

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

From SDGs Three-Layer Structure to Logic Model to Impact
EvaluationGoals
Targets

Logic model
Outside-inIndicators

Indicators

Impact evaluation

SDGs three-layer
structure

SDGs initiatives
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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Logic Model and Impact Evaluation
Logic Model : Logical cause-effect for achieving goals
SDGs initiatives

Input

Implementation

Output(People/things/money) (Concrete activities) (Things/services)

Outcome(Changes/effects)

Impact evaluation :Evaluation of outcomes from a mid- tolong-term perspective and as SDGs
results

Deepen structure of SDGs initiatives by local
governments/companies

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Example of Impact Evaluation Categories: Impact Leader
by United Nations Environment Programme Finance Initiative (UNEP FI)
1. Tool tocomprehensively analyze
positive/negative impact
of industrial andeconomic activities

Environment
ClimateBiodiversity
Circularity

EconomySociety

PolicyEconomic
soundness
Infrastructure
economics
ConvergenceImpact area

Character
HealthServiceJobs
Equality

2. Classificationaccording to the threepillars of economy,society, and environment
3. Structured into12
impact areas and 34impact topics (sub-concepts)

Impact topic

Restructure SDGs from the perspective of the positive/negative
impacts caused by business initiatives
Source: P o s i t i v e I m p a c t R e a l E s t a t e F r a m e w o r k . A d d i t i o n s b y M u r a k a m i

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Shuzo Murakami, Institute for Building Environment and Energy Conservation

From Eco Model City to SDGs Future City: New Developments Basedon SDGs for Regional Development

・ Living alongside COVID-19 anda “new normal”

Eco FutureCity(2011)

SDGs Future
City (2018)
and regional
revitalization

・ Vision for a Digital Garden City Nation

・ New kind of capitalism
・ XXXXXXXX

Eco Model City(2008)

FY2012: 1st International Forum “Eco-Model City Initiative”
FY2022: 14th International Forum “SDGs for Regional
Revitalization”
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Shuzo Murakami, Institute for Building Environment and Energy Conservation

Thank you for your attention

http://www.ibec.or.jp/index.html

http://www.jsbc.or.jp/index.html

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Shuzo Murakami, Institute for Building Environment and Energy Conservation