theme from a mid- to long-term perspective. The MIC is also making efforts towards the realization of a new-generation network in a strategic and comprehensive fashion by gathering together the wisdom of Japan, through the New-Generation Network Promotion Forum (established in November 2007), etc.

### B. Evaluation on telecommunication numbers

The FMC service is identified as a new service based on the convergence of networks, such as fixed and mobile networks, and various system modes and service forms are envisioned. In response to the report on the Regulatory Frameworks Pertaining to Telecommunications Numbers for Introducing Fixed-Mobile Convergence (FMC) Services submitted by the Information and Telecommunication Committee on March 30, 2007, the Ministry of Internal Affairs and Communications (MIC) consulted the Information and Communications Council about a draft ministerial ordinance for partially revising the Regulations Governing Telecommunications Numbers on June 21, 2007. On receiving the report from the Council, the MIC issued the “Ministerial Ordinance for the Partial Amendment to the Regulations Governing Telecommunications Numbers” (Enforcement, November 21, 2007).

## (3) Dispute settlement between telecommunications business operators

The Telecommunication Business Dispute Settlement Commission is endowed with the following three functions: (1) to implement mediation and arbitration procedures, (2) to conduct investigation and submit reports on orders and awards made by the Prime Minister when consulted, and (3) to make the necessary recommendations to the Ministry of Internal Affairs and Communications (MIC) on the development of rules, etc. concerning the items within its vested powers. Besides these functions, the Commission has set up a consultation desk for “telecommunication business operators” to offer advice and answer questions on connections and issues among telecommunication business operators.

### 2. Development of broadcast policy

## (1) Broadcast policy summary

### A. Revision of Broadcast Law

Based on the “Agreement between the government and the ruling parties on regulatory frameworks for communications and broadcasting” etc. of December 2007, the Law Partially Amending the Broadcasting Law was established and then enacted on April 1, 2008. It stipulates the reform of the governance of the NHK and implementation of the establishment of the authorized broadcasting holding company system, with the aim of promoting reforms in the telecommunication and broadcasting field.

Amendments to the Broadcast Law established in this law include the following:

(a) NHK ... 1. Enhancement of governance, 2. Provision of program archives using broadband services, 3. Building a system for new international broadcasting, and 4. Review on enforced broadcasting system

(b) Commercial broadcasters ... 1. Introduction of authorized broadcasting holding company system, 2. Independent use of one-segment broadcasting, etc.

### B. Study on a fair and transparent reception fee structure

The NHK’s reception fee structure has contributed to securing stable financial sources through which the NHK is able to fulfill its mission as a public broadcaster. However, recent scandals committed by the NHK employees has undermined people’s trust in the NHK and the number of nonpayments of reception fees has increased, which greatly impairs the fairness among viewers, imposing serious consequences on fee receipts, which is the NHK’s financial foundation.

Under these circumstances, the Ministry of Internal Affairs and Communications (MIC) has held meetings of the Study Group on Current Status and Issues on a Fair Reception Fee Structure since June 2007, in order to address urgent issues concerning sharing the reception fee structure fairly, and the first report and the second report were released in November 2007 and July 2008, respectively.

## (2) Promoting the advancement of broadcast

### A. Promoting the transfer of terrestrial broadcasting from analog to digital format

Terrestrial digital TV broadcasting was launched in the three largest metropolitan areas, Tokyo, Osaka and Nagoya, in December 2003, and gradually expanded its coverage area. By December 2006, service was started in all prefecture capitals. The current analog broadcast television will be fully converted to digital format by July 24, 2011. In January 2004, the Ministry of Internal Affairs and Communications (MIC) consulted with the Information and Communications Council for “appropriate usage of terrestrial digital broadcasting and the role of the administration in its penetration” to examine issues and solutions regarding future usage of terrestrial digital TV in various fields and a complete conversion to digital broadcasting by 2011. The Council issued the fourth report in August 2007.

Moreover, the Office of Terrestrial Digital