Silviase/jgov_v1.4_full_ann huggingface dataset:
Later, based on the proposal on opening of the road space and river space made in the “Growth Strategy of the Ministry of Land, Infrastructure, Transport and Tourism (MLIT)” formulated the Revising “Act on Special Measures concerning Urban Reconstruction” was enacted in October 2011 with regards to the road space, as a result of which the special provision of proprietary use of road for creation of liveliness and exchanges was introduced. For example, we can consider developing a new type of infrastructure and management that utilizes the profit return from the private sector, if the cooperation between public road project and its surrounding area development project by private sector is likely to be obtained, or using special provisions, etc., if it is likely to be able to create new business opportunities using urban road space, including general road, etc.

With regard to river spaces as well, starting from November 2011, it became possible to implement deregulation throughout the country without having a social experiment area designation. With this, diverse utilization of full-riverbed area according to local needs, such as needs for installing event facilities, open café, etc., became available, and so we shall advance urban and regional rehabilitation, etc., through the creation of liveliness on watersides and the development of attractive communities.

By ensuring the commercial use of administrative assets through deregulation of restriction on use of road/river spaces as well as the opening of such spaces to private sector, it will become possible for us to expect the effects such as the operation of infrastructure development and management utilizing the profit return from private sector, and the operation of new businesses, etc., which may lead also to the local revitalization.

Chart. 165 Image of the River Space Use

Installation of open café and holding events by private business operators in time with the development of boardwalk on both sides of the river as well as the dock development both by Osaka City.

Source: MLIT

## (c) Promotion of PFI

PFI (Private Finance Initiative) is a practice to carry out the construction, maintenance/management, operation, etc. of public facilities, etc., by utilizing private funds, management capability and technical capability of the private sector. In Japan, the utilization of private funds and know-how for public facilities/ infrastructures, etc., started in the privatization of NTT, JR. etc., in the late 1980s, and the PFI system was established by the enactment of “Act on Promotion of Private Finance Initiative (PFI Act)” in 1999. According to the Cabinet Office, the number of PFI projects that announced their implementation policies under the PFI Act amounted to 393, and the total project costs reached 3,807.4 billion yen, by December 2011.

Taking a look at the PFI projects relating to the Ministry of Land, Infrastructure, Transport and Tourism, which had already been implemented, the cumulative total number of implementation was 101 as of January 2012, with the substance of projects centering on buildings such as government buildings, public houses, etc., as shown in the graph.
### Chart. 166 Change in the number and cost of PFI projects (accumulated total)

Source: Developed by MLIT based on materials by Cabinet Office

## Column Development of Public Housing by PFI

In the development of public housing by PFI scheme, a greater efficiency is secured by conducting the reorganization, intensification, and redundant-area utilization, etc., at the time of development.

In the Kamiyasu Jutaku in Hiroshima City, Hiroshima Prefecture, it was decided to advance development and operation of the land, the public housing construction as well as the redundant-area utilization in an integrated manner by PFI scheme at the time of housing reconstruction work under the prefectural housing integration and abolishment project. The business operator would develop the land and construct the houses, and at the same time, in an integrated manner, construct the facilities such as welfare facility for the elderly, day-care center, etc., within the project site by utilizing the redundant area. Because of such a kind of scheme like this, it has become possible to carry out the efficient development through the utilization of planning and technical capabilities held by the private sector.

Public houses Redundant-area utilization (Day-care center)

(d) Infrastructure facility complex, intensification, and coordination

At the time of renewing the existing infrastructure, it is also important to secure the efficiency improvement as well as the intensification. In order to provide more satisfactory administrative services within a limited funding, it is required first to convert facilities according to changing social environment as well as needs of users and then develop facilities that can provide multiple functions.

In the local governments such as cities, towns, villages, etc., the sorting out and combining of the public facilities such as cultural facilities, community centers, etc., have been progressed (Saitama City, etc.). Also in any specific cases of national infrastructures, the flexible response according to local needs is required, wherever possible; such as those through the integration, the complex, and the efficiency improvement, etc., by coordinating with other business operators.

In the case of public housing, for example, complex and intensification have been progressed. According to the Basic Program for Housing (National Program) decided at the cabinet meeting in March 2011, it is targeted to improve the status of building the medical and welfare service facilities, child care support service facilities, etc., within a public collective rental housing facility (with 100 or more units) from 21% in 2009 to 25% in 2020, in terms of ratio to total. Some municipalities implement the reorganization and intensification on the occasion of their reconstruction of the public housing facilities. Taking a look at the change in the number of managed house unit in public housing facilities, the number is decreasing every year from the peak of about 2.19 million units in 2005 to about 2.17 million units in 2010, which means the decline of about 20,000 units in 5 years.
A case where a community welfare and exchange base being developed on the 1st floor of prefectural housing facility in time with the reconstruction of the said housing facility (Kengun Public Collective Housing Facility (Kumamoto Prefecture))

Chart. 168 Changes in the number of house unit managed in public housing facilities

Source: MLIT

## Column Public Facility Management in Saitama City

The city of Saitama formulated and announced the “Saitama City Public Facility Management Program” in June 2012 for the purpose of promoting effective as well as efficient management and operation for all public facilities.

As an ordinance-designated city formed by merger of 4 different old cities, the Saitama City has many public facilities (total number of facility: approx. 1,700; total building floor space: approx. 2.6 million $ m^{2} $ ), and most of them were constructed within the two decades from 1960s. Of these, over 30-year old facilities account for approximately 52%, which causes a concern that in future the city is expected to hit by a wave of large-scale renovations and reconstructions. Because of this, the renovation and renewal costs would increase significantly. If they are to keep these existing facilities as they are, it would incur average about 15.5 billion yen annual deficit for 40 consecutive years according to the city. In addition, sharp increase of aging population is expected in future, considering the characteristics of the city's demographic structure. Therefore, the management that can respond to the changing demands and needs is required for the public facilities.
In the Program, the following policies were held as the overall target; [Three principles on public facility building structures] – “Not to do any new development as a rule (To do within the range of volume restrictions),” “Any facility requiring renewal (reconstruction) shall be renewed or reconstructed into a complex facility,” and “To reduce overall volume of facilities (overall floor area) (Approx. 15% reduction for 40 consecutive years required.); [Three principles on the infrastructure] – “To keep the current investment amount (general account budget),” “To reduce life cycle costs,” and “To efficiently respond to new needs.” In addition, policies for each facility field also were provided in the Program. And in the program, it is said that a special section in charge of public facility management shall be established for the purpose of promoting the program under the top management.

To be more specific, such section will formulate action plans by taking into account the current state as well as the problem of facilities through the development of database on the state of public facilities, create white paper, etc., and carry out management accordingly. In each annual white paper, monitoring will be conducted based on indicators such as the state of development, use, operation, costs, etc., of the facilities. And the white paper will be made public and the management that takes into account the awareness of issues shared with citizens, private business operators, etc., shall be conducted accordingly.

The ratio of total floor space and the state of aged deterioration for each category of public facilities
In sewage treatment, the intensification, the coordination among projects, and the wide-area coordination have been promoted with an aim to achieve efficient development, maintenance as well as management of the facilities. As for connecting the sewage system with the drainage facility of agricultural and fishery communities, for example, it is currently underway at 123 places across 33 prefectures as of the end of fiscal 2010. This accounts for approximately 5% of all 2,136 sewage treatment facility places existed (FY 2009).

In addition, the Ministries-Collaborative Wastewater Treatment Facility Construction Works (MICS), that jointly carries out the treatment at sewage facilities by pursuing the intensification, have been implemented at 81 places across 28 prefectures (excl. Tokyo) with regard to the sludge generated in each wastewater treatment facility (sewage, agricultural community drainage facility, septic tank of combined treatment, etc.) as of the end of fiscal 2010.

In addition, the specific sewerage facilities joint construction work (SCRUM) through coordination among multiple municipalities has been implemented at 28 places across 14 prefectures (excl. Tokyo) as of the end of fiscal 2010.

## Column The Shape of Future Wastewater Treatment Facilities

So far with regard to the wastewater treatment facilities, the development work has been conducted in the fields such as sewage (MLIT), agricultural community drainage (MAFF), septic tank (MOE), etc.

In future, in addition to implementing the systematic maintenance and management works, including the implementation of measures against aging of these facilities, it will become more important to have further discussions on the integration, the wider-range covering, the coordination with others, etc., based on local characteristics in each prefecture or municipality.

So far in Shiga Prefecture, for example, improvement of efficiency in wastewater treatment facility has been conducted by connecting the sewerage system with the agricultural community drainage in Aisho Town and Nagahama City.
(d) Expansion of privatization, etc.

As for the infrastructure development/ privatization of implementing body have been carried out also in the past aimed mainly at the cost reduction and the service improvement etc. through the introduction of management know-how of the private sector.

As for the field of roads, the four highway-related public corporations were privatized in 2005. They are making efforts for secure debt repayment through the implementation of highway business activities by the four Nippon Expressway Companies and the Japan Expressway Holding and Debt Repayment Agency, as well as for diverse service provision through efficient operation by applying know-how of the private sector.

In the airport management field, the New Kansai International Airport (fully owned by the state) was to be established on April 1, 2012 under the “Act on integrated and efficient establishment and management of Kansai International Airport and Osaka International Airport as a unit” enacted in May 2011. The Osaka International Airport, which is controlled by the national government, will be operated together with the Kansai International Air Port under the said new company as the same one unit starting from July 1, 2012.

In managing and operating the specified foreign trade terminals, it was aimed to improve efficiency through changing then Port Terminal Corporations into stock companies. And the new Port Terminal Corporations, the resulting stock companies, started undertaking comprehensive management and operation of the foreign trade container terminals in Tokyo Port, Osaka Port, and Kobe Port respectively so far.

(Refer to 7 below for the future efforts pertaining to the promotion of PPP/PFI with respect to the airport management as well as the port and harbor management.)

## 7 Strengthening wide-ranging coordination, including public-private coordination and wide-area coordination

In the face of our nation's rapidly aging population, the share of social welfare costs of our national spending is increasing each year, while the share of expenses for public works projects is declining. Also while the financial constraints on the government's part are aggravating, the household sector still has huge personal assets. The status of holding of financial assets of 1,488 trillion yen in the household sector shows the high share of cash and bank deposit (57%), which are held mostly by people who are 60 years old or over (approx. 60%). In order to achieve sustainable growth by enhancing the vitality of our national land and regions despite this extremely tight fiscal situation, it is indispensable for us to steadily develop truly necessary infrastructures by utilizing the wisdom and funds of the private sector.
## (Formation of PPP/PFI Projects)

With the aim to expand projects based on the PFI system, to develop the new PPP/PFI system and to promote formation of specific projects, during May to June 2011, the MLIT invited public-private partnership projects from local public authorities and private sectors.

The targeted categories include the following three: (1) Pioneering PPP support projects, (2) Invitation of study projects regarding promotion of the PPP projects, (3) Invitation of projects for earthquake disaster reconstruction as the PPP projects. A total of 144 applications were collected.

A total of 11 projects were adopted as the pioneering PPP support projects, for which investigations and studies were carried out by each concerned local public authorities with regard to introduction methods, etc., of PPP/PFI method for each concerned public facility such as public sewerage and toll road.

As for the study projects regarding promotion of PPP projects, examination items were set based on the applications and studies were conducted regarding managerial issues of operation of public facilities, etc., effects of comprehensive management of multiple public facilities by PPP, and other related matters.

With regard to the earthquake disaster reconstruction projects by PPP, 11 specific projects were subject to investigation and study. They included, for example, the study regarding disaster restoration housing development, etc., by PPP in consideration of regional characteristics in Fukushima-ken, the study regarding a tsunami evacuation mall development method through use of PPP in Ishinomaki-shi of Miyagi-ken, and the study regarding building a temporary community by PPP for restoration of disaster-stricken areas in Yamada-machi of Iwate-ken.
## Column Current States of PPP/PFI Introduction in Other Major Countries

The progresses of PPP/PFI projects in other major countries are as follows:

AUSTRALIA: Utilization of PPP in Australia started with the improvement project of Sydney Harbor Tunnel (tunnel passing under Sydney Cove) by its contract concluded in 1989. In 2000, the State of Victoria introduced the policy framework of “Partnership Victoria” and, henceforth, many states and Territories introduced the PPP policies. Finally in 2008, the Council of Australian Government (COAG) approved to set up Infrastructure Australia Committee in 2008 and the Committee drew up the “National PPP Guideline: Policy Framework” within the same year, based on which the PPP policies have been promoted.

Korea: In 1994, with the aim to solve financial deficiency due to rapid growth of welfare needs, Korea established the PPP Act. In 2005, with the aim to assist the ordering parties, the “Public Facility Management Center” was set up as an auxiliary organ of the research institute (Korea Development Institute) under the Ministry of Strategy and Finance (ministry similar to MOF of Japan). This center now provides each ministry or agency and local authorities with assistance of professional expertise (assistance etc. regarding implementation of feasibility studies, evaluation of proposals of tender participants, etc.) Since 1994, approximately 600 PFI projects have been carried out, amounting to about 85 trillion won (approx. 6.2 trillion yen). While PPP accounted for about 18% of the total infrastructure budget in 2008, the ratio of PPP has then declined. The project categories include roads (41%), railways (17%), education (9%), and ports/harbors (9%).

Number of projects	Project value (million AUD)
Australian government	2	706
Australia Capital Territory	0	0
New South Wales	16	8,000
Northern Territory	1	600
Queensland	2	2,500
South Australia	1	40
Tasmania	1	90
Victoria	18	6,000
Western Australia	1	200
Total	42	18,136

Note: Data up to 2009 for Victoria State. Data up to 2006 for the other states

Source: OECD (2010) “Dedicated Public-Private Partnership Units”
## (Overseas Expansion in Infrastructure by PPP)

While the domestic markets of construction and transportation industries are on decreasing trend in a medium- and long-term viewpoint, large demands for infrastructure improvement continues in Asian regions, etc. Promoting the PPP overseas projects to respond to these demands is regarded as an important measures in the New Growth Strategy, for which comprehensive and strategic assistances have been provided from the conceptual stage of a project to the ordering and implementation stages, including sales promotion by top-level persons, holding of various joint committees, personnel training, and assistance for risks that are difficult to be dealt with by individual companies.

Further with the aim to promote efforts toward overseas expansion of infrastructural projects by PPP, joint councils were set up and held consisting of members from private companies, local public entities, institutions concerned and relevant ministries and agencies. To date, the “PPP Council for Overseas Water Infrastructure”, “PPP Council for Overseas Road”, “Council for Promotion of Overseas Railroads”, “Council for Overseas Port Logistics Projects”, and “Japanese Conference for Overseas Development of Eco-Cities” were held, attended by participants from many countries mainly from East Asia.
However, in comparison with Western countries, the percentage of the population employed in the nonprofit sector to the total working age population still remains low.

On the other hand, willingness of people to engage in NPO and public participation is increasing. The percentage of respondents who reported willingness to participate in community activities was about 30% in FY2008 national attitude survey, while it increased to about 40% in the latest National Attitude Survey. It is highly expected also from the administrative perspective that community development is carried out by various actors, especially by NPO and each individual citizen.

Chart. 187 Transition in Willingness to Participate in Community Activities of Residential Areas

Chart. 186 Percentages of nonprofit sector employees to each total production-age population by country

| 2008 | 2011
1 | 6.8 | 13.6
2 | 24.0 | 8.7
3 | 31.7 | 18.7
4 | 20.2 | 30.1
5 | 13.5 | 10.5
6 | 3.9 | 7.6

Source: Developed by MLIT based on “Salamon, Sokolowski and Associates, Global Civil Society, 3rd ed.” (Kumarian Press, 2010)

## Community Activities in Which People Feel Like Participating

Please inform of community activities in which you and your family do not mind participating (or are already participating). (as many as you like)

Category | Percentage
Activities for community revitalization such as local festivals | 31.1%
Cleaning activities of parks and roads in your community | 27.0%
Activities for crime prevention patrol | 23.2%
Daily disaster prevention activities of your community in preparation for a disaster | 22.4%
Activities for child-raising support in your community | 15.9%
Activities to support the elderly in your community | 15.7%
Public lectures and group activities for local residents | 11.9%
Activities to maintain townscapes and good sceneries | 11.9%
Activities to maintain/manage vacant lands and unoccupied houses | 6.4%
Activities for livelihood support and tourist guide and for foreign aid | 4.7%
Others | 3.3%

Source: MLIT "National Attitude Survey"
Chart. 189 Awareness Survey Result of Cities, Towns, and Villages Concerning Bearers of Community Development

Source: Questionnaire survey on 3,204 municipalities nationwide conducted by MLIT in October 2003

Number of valid responses: 2,108 municipalities (Valid response rate 65.8%)

Population Size of Cities in Which Organizations Are Operating

Source: MLIT “FY2009 Survey of Operational Challenges in Sustainable Community Activities”

Chart. 191 Population Aging Rates in Operating Areas

Source: MLIT “FY2009 Survey of Operational Challenges in Sustainable Community Activities”

Further with regard to the operational status of the entities, the average number of staff per entity is 12.1 persons and the number of entities whose total annual income is less than 5 million Japanese Yen accounts for a little less than 50%. This indicates a lack of financial capacity necessary to secure and foster human resources.