## (6) Law Concerning the Promotion of Procurement of Eco-Friendly Goods and Services

If the demand for recycled products, etc. is secured, this will boost supply and provide an incentive for the development and introduction of recycling-related technology. The purpose of the Law Concerning the Promotion of Procurement of Eco-Friendly Goods and Services by the State and Other Entities (Law on Promoting Green Purchasing) is to aim for a shift in demand by promoting the procurement of eco-friendly goods and services by public sections of the state, etc. and by promoting the provision of information related to eco-friendly goods and services. In line with the “Basic Policy Concerning the Promotion of Procurement of Eco-Friendly Goods and Services” (Basic Policy), the various institutions of the state, etc. publicize their procurement policies and procure according to these policies. The judgment standards for the designated procured goods and services defined in the Basic Policy stipulate, for example, that copier paper must have a ratio of pulp from recycled paper of 100% and a whiteness degree of 70% or less, and that uniforms or work wear containing polyester fiber must contain polyester obtained from recycled PET resin (made by regenerating PET bottles or fiber products, etc. as raw material) accounting for at least 10% of the entire product. To make products that satisfy these judgment standards, relevant technologies will be developed and introduced.

### 2. Economic Incentives

For the introduction of technology for the proper treatment of waste or the promotion of 3R, there are also economic incentives, including preferential tax treatment or low interest rates. Specifically, the Special Taxation Measures Law, the Local Taxation Law and other laws define preferential measures such as special depreciation or tax exemptions with a predetermined time limit and financing by government-related financial institutions as schemes to support the development of treatment facilities for industrial waste and others. For example, there is preferential tax treatment for the following industrial waste management equipment: high-temperature incineration equipment, smoke and soot treatment equipment, equipment to treat items polluted with PCB, etc., and equipment for detoxification treatment of waste containing asbestos.

Further, there are the following economic measures for the introduction of equipment that contributes to 3R and fulfills certain conditions.

* Low-interest financing by the Development Bank of Japan, the Okinawa Development Finance Corporation, the Japan Finance Corporation for Small and Medium Enterprise and the National Life Finance Corporation

* Special depreciation and reduced fixed asset tax for the introduction of equipment that contributes to 3R

$ ^{*} $ Interest subsidies, loan guarantees and other support measures if approval according to the “Law on Temporary Measures to Promote Business Activities for the Rational Use of Energy and the Utilization of Recycled Resources” was obtained for the introduction of facilities contributing to 3R, or for the development of technology related to recycling

As regards low-interest financing, the Development Bank of Japan provided financing in 6 cases (2,620 million yen), the Japan Finance Corporation for Small and Medium Enterprise in 73 cases (6,340 million yen), and the National Life Finance Corporation in 106 cases (1,438 million yen) in fiscal 2005.

### 3. Standards

The objective of standardization is, for objects or matters that would become diversified, complicated and chaotic if they remain uncontrolled, to "unify" them on a national basis by establishing "standards" as national-level technical documents in view of the following aspects: securing convenience in economic and social activities (securing compatibility, etc.), improving the efficiency of production (mass production through a reduction in the number of articles, etc.), securing fairness (securing profit for the consumer, simplification of transactions, etc.), promoting technological progress (support for the creation of new knowledge and the development and dissemination of new technologies, etc.), maintaining safety and health, preserving the environment, and others. Industrial

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Source: Okayama City

standardization is standardization in the field of industry. In Japan, the Japanese Industrial Standards (JIS) are established as industrial standards defined by the state. Standards for product performance or testing methods, etc. accelerate the use and