Economic Instruments in the Environmental Policy of Japan

Hidefumi Kurasaka

Planning and Coordination Division, Planning and Coordination Bureau, Environment Agency
(1-2-2, Kasumigaseki Chiyoda-ku, Tokyo 100 Japan)

Abstract

"Economic instruments" are policy measures which affect economic judgements of firms or individuels so that they can take environmental action; "economic assistance measures" and "economic imposition measures" are included. To confront environmental issues which are due to the daily mode of social-economic activities, we should introduce not only regulatory instruments, which we used to recognize as the main environmental policy measures, but also various measures to induce the social and economic structure toward a more environmentally-friendly one. Among various policy measures, economic instruments are superior to other measures in efficiently changing social and economic structure. To apply regulatory instruments to such a task is not a good choice. Hence we introduce a provision concerning economic instruments into the Environmental Policy Bill which was submitted to the Diet this March. Japanese government is supportive of appling economic instruments to waste management policy. At present, further investigations on the issue are being undertaken.

Key words: economic instruments, economic assistance measures, economic imposition measures, the Environmental Policy Bill, waste management