bility will assure an international competitive edge to Japanese technology related to energy conservation and the environment, which boasts top levels of energy efficiency.

Secondly, clues on how to achieve a low-carbon society already exist in Japan’s inherent qualities and its traditions.

At the source of Japanese culture lies the idea of coexistence with nature. In the process of economic growth we once did suffer from environmental degradation. Yet by learning from our mistakes, we succeeded in building one of the foremost economies in the world under the banner of environmental harmony.

The spirit of mottainai will certainly serve as a keyword in low-carbon societies to come.

With such points in mind, we need not flinch. Indeed, now is the time when we should take the first step towards a low-carbon society with full confidence.

Now I should like to give my views on the concrete policies necessary for the transition. First, though, I point to the goals Japan should seek to attain.

# Japan's long- and mid-term goals

## Long-term goals

The effects of global warming are already apparent. In order for us to avert these dangers, we must stabilize $ CO_{2} $ concentrations at a fixed level.

For this we must halve global $ CO_{2} $ emissions by the year 2050. This reduction target forms the crux of the “Cool Earth Programme” which Japan has proposed to the world. I aim to have this goal shared by the G8 and other major economies.

It is impossible to meet this goal unless all countries tackle the issue of global warming one way or another, not just the main carbon emitters. It is also obvious that in this process developed countries should contribute more than developing countries. For its part, Japan will set a long-term goal of reducing, by 2050, 60-80% of its current level of emissions, so as to bring about a low-carbon society that we can proudly present to the world.

I believe it is incumbent upon Japan, as one of the countries which has achieved development prior to others, should bear a heavier responsibility in this struggle to save our planet.

## Mid-term goals

In order seriously to achieve our long-term goal of halving $ CO_{2} $ emissions by 2050, it is vital that the world's total emissions peak out in roughly the next ten to twenty years.

Since this period is rapidly approaching, we can no longer afford to waste time making empty calls, or on a target-setting game which serves only as political propaganda.

It is now the time to start well-founded discussions to set targets for each nation, targets in whose certain attainment we can respectively take responsibility. The sectoral approach which I proposed at the World Economic Forum meeting in Davos is none other than a methodology for achieving such a realistic solution.

The European Union (EU) has set the goal of reducing emissions by 20% compared to the 1990 level by 2020. This will require a 14% reduction from the current (2005) level. Advanced in the field of energy conservation, Japan has already achieved energy efficiency rates that greatly exceed those of the EU countries. Notwithstanding, Japan recently announced that it is possible for it to achieve a further reduction of 14% from the current level, a reduction of the same order as that to be made by the EU.

Japan's emission levels since 1990 have fluctuated somewhat, but the reality it has been on a slightly upward trend. A 14% reduction by the year 2020 will not only entail a definitely peak-out of Japan's emissions within the next year or two as well as surely achieving the 2008-2012 targets provided for in the Kyoto Protocol. We must achieve even bigger reductions by 2020 and continue to lead the world in energy conservation as a global leader with the highest standards.

The number I am quoting is by no means conjecture. It was calculated through a rigorous application of the sectoral approach, considering in great detail to what extent we would realistically be able to introduce the most advanced energy-saving and renewable-energy technologies that are expected to exist at various points in time. The potential emissions reductions were each tallied up, resulting in this percentage figure.

Setting aside the cost involved, this was the first attempt in the world to present a concrete picture of what is feasible at least technically.

In setting quantified national emission reduction targets, I will strive to gain the understanding of nations around