Moreover, as part of the revision of the tax systems in fiscal 2012, the Ministry decided to take special tax measures. One is to raise the upper limit to the year-end balance of housing loans eligible for housing loan deductions for houses that are certified because, with the enactment of the Law concerning the Promotion of a Shift to Low-carbon Cities, low-carbon measures such as excellent energy-saving performance are taken.

## (c) Creation of an environment to make it mandatory for houses and other structures to conform to energy conservation standards

The Ministry, together with related government offices, is considering making it mandatory in phases for all houses and other structures to meet energy conservation standards by 2020. On the other hand, as part of its efforts to create an environment to make such conformity mandatory, it plans to establish energy conservation performance evaluation and examination systems and develop personnel required for the operation of such systems, help small and medium-sized construction firms to acquire technology to install energy-saving equipment, and take other necessary measures.

## (d) Wide-area use of energy

In order to promote effective use of sunlight, waste heat from plants, and other sorts of energy, as part of the urban district development, the Ministry will help local communities to draw up plans for establishing systems to utilize these kinds of energy widely for entire areas, urban districts, or other units of administration, coordinate project implementation, conduct tests and experiments, and build necessary facilities.

## (2) Initiatives for the transport sector

(a) Accelerated spread and promotion of electric vehicles, etc.

In order to spread electric vehicles that has particularly excellent environmental performance among zero-emission motor vehicles (which do not emit $ CO_{2} $ , $ NO_{x} $ , particulate substances, etc. while running), the Ministry is providing priority support to advanced interregional or inter-company initiatives, which will prompt other regions or companies to introduce electric vehicles intensively.

In stricken areas, the Ministry is supporting motor-vehicle transport companies, which plan to introduce electric buses, taxis, and trucks in line with low-carbon city planning.

While MLIT takes special measures to reduce automobile weight and automobile acquisition taxes for cars with excellent environmental performance (eco-car tax reductions) and lower motor vehicle tax rates, it takes special measures (greening of motor vehicle taxes) to impose higher tax rates for motor vehicles that have seen a certain number of years pass since they were registered as new ones.

Moreover, in October 2011, MLIT decided to strive to further improve the fuel efficiency of motor vehicles by finalizing new fuel efficiency standards with fiscal 2020 as their target year.

(b) Initiatives for low carbon and energy conservation in the railway sector

The Ministry will also push forward with low-carbon and energy conservation measures in the railway sector. Efforts include utilizing regenerative electric power $ _{Note} $ by using storage batteries installed on vehicles and in transformer stations and effectively using renewable energy for lighting and other equipment at stations and station buildings. It is also supporting technological development for energy-efficient railway vehicles, which are expected to bring electricity conservation effects.

(c) Initiatives for low carbon and energy conservation at ports and harbors

In order to reduce greenhouse gas emissions resulting from port and harbor operations, the Ministry will promote zero-emission port measures to advance initiatives such as making loading and unloading machinery used at ports and harbors more energy-saving, using renewable energy effectively, and absorbing $ CO_{2} $ from a wider range of sources. Specific projects MLIT is working on with the Ministry of the Environment include spreading and promoting energy-saving loading and unloading machinery and large storage battery facilities and encouraging utilization of wind power generation facilities through public-private partnership.

## (d) Introduction of regulations on $ CO_{2} $ emissions in international maritime transport

In July 2011, led by the Japanese government (which presented proposals for regulatory systems, etc.), the International Maritime Organization (IMO) adopted an international treaty to regulate $ CO_{2} $ emissions in international maritime transport (The treaty will come into effect in 2013). Following the adoption of the treaty, MLIT’s policy is to require newly built ships to meet new standards for $ CO_{2} $ emissions starting 2013, and the Ministry laid a bill to revise the Law concerning Marine Pollution, Etc., and the Prevention of Marine Accidents, a domestic law, before the 180th session of the Diet.