Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

REVIEW OF THE 6TH TERM DEVELOPMENT PLAN AND PRINCIPLES OF A NEW PLAN

Yasushi TAKAMATSU Kiyoshi TAKAHASHI Counselor , Hokkaido Bureau Associate Professor Ministry of Land, Infrastructure and Transport Kitami Institute of Technology 2-1-2, Kasumigaseki, Chiyoda-ku, Tokyo 165, Koencho, Kitami, Hokkaido 100-8918 090-8507 Japan Fax: +81-3-5253-8766 Fax: +81-157-26-9373 E-mail: [email protected] E-mail: [email protected]

Abstract: Approved by the Japan’s Cabinet in April 1998, the 6th term Hokkaido Comprehensive Development Plan is now facing its target year, FY2007. The Hokkaido Development Committee of the National Land Council reviewed the 6th term plan and discussed principles of a new plan, and compiled in February 2007 the final report: “Review of the 6th Term Plan and Principles of a New Plan.” This article presents the essence of the final report, focusing on desired transportation policies for the future Hokkaido, which would be also helpful for Asian countries.

Key Words: comprehensive development plan, development policy, improvement of traffic network and mobility

1. HISTORY AND PRESENT STATE OF HOKKAIDO DEVELOPMENT POLICY

Hokkaido is the northernmost and the second-largest island in Japan, which accounts for 22% of the national land (Figure 1 and Table 1). Although the population of the island was only several tens of thousands in the Meiji era (late 19th century), Hokkaido now has over five million people. One-third of the population lives in the regional capital, Sapporo, which is larger than any other Japanese city in the north of Tokyo.

In the late 19th century just after the Meiji Restoration, Japan’s national government

HOKKAIDO

Figure 1 Location of Hokkaido

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

Table 1 Area and population of Hokkaido Hokkaido Percentage Hokkaido National total of the national total

Area 83,456 km2 377,923 km2 22.1％

Population 5.63 million 127.77 million 4.4％

Population (1/5 of the national 72 persons/ km2 343 persons/ km2 density average)

established the Hokkaido Development Commission (or “Kaitaku-shi”). Until the end of World War II, Hokkaido had been ruled directly by the national government, which has carried out the development of the region consistently and systematically, in order to let the region contribute to the sustainability and the development of the whole country. The government has introduced a variety of technologies from the Western countries, reclaimed a vast wilderness of the island, and systematically built cities and villages, in accordance with the national goals of the development such as promoting agriculture, forestry, fisheries, mining, and manufacturing.

After World War II when the revised Local Autonomy Law became effective, the political system in Hokkaido became equal with other prefectures and the prefectural (regional) government was established. The region’s potential including rich natural resources, however, had to be fully utilized to solve the country’s urgent problems such as its economic revival and an increase in food supply. This necessitated the development of Hokkaido as a national policy. Therefore, the Hokkaido Development Law, enacted in 1950, requires that the Hokkaido Development policy contribute to addressing challenges for the country, and the law provides a different policy scheme for Hokkaido than that for the other regions of the country.

One of the uniqueness of the Hokkaido Development policy lies in the trinity of the policy scheme: it consists of (1) the Hokkaido Comprehensive Development Plan (HCDP) formulated by the national government; (2) a national administrative agency that implements and promotes the HCDP; and (3) financial support system including exceptional fiscal measures and a policy-based financial institution. Such a comprehensive policy scheme has never been introduced for any other region in Japan, with the exception of Okinawa, which indicates the national importance of the development of Hokkaido. So far six plans have been formulated under the Hokkaido Development Law, each of which contributed to addressing national challenges at different times through utilizing the region’s vast land and rich resources; the challenges were, for example, Japan’s economic revival and an increase in food production, the relocation of people and industries, and the formation of a multipolar structure of the national land (Table 2).

The population in Hokkaido has increased by approximately 1.3 million over the past 50 years. The regional economy has grown nearly sevenfold in terms of the Gross Regional Product (GRP), and now is as large as a Scandinavian nation’s (Figures 2 and 3).

Along with the drastic changes in the nation’s energy-consumption and industrial structures,

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

Table 2 Outline of Hokkaido Comprehensive Development Plans

Plan 1st-term Plan 2nd-term Plan 3rd-term Plan (Period) (1952-1962) (1963-1970) (1971-1977)

Objective • Exploiting natural resources Advancing industrial structures Constructing a highly-productive and of the plan • Revitalizing industries advanced welfare society

Major First Five-year HCDP (1952-56) • Modernizing agricultural, forestry, • Developing and revitalizing emphasis • Developing power sources and fishing industries modern industries • Improving roads, harbors, and • Promoting the development of • Strengthening the bases of social rivers mining and manufacturing life • Increasing food production industries • Establishing new systems of • Conducting basic research • Establishing comprehensive transportation, telecommunication, Second Five-year HCDP (1957-62) systems of transportation and and energy transport • Strengthening industrial telecommunication • Conserving land and developing infrastructure such as roads and • Conserving land and promoting water resources harbors irrigation • Promoting environment protection • Developing power sources • Promoting social development and conservation, and developing • Improving facilities for land • Developing industrial tourist industries conservation technologies, improving technical • Improving agricultural production education/training, and promoting bases smooth movements of the • Increasing productivity in workforce agriculture, forestry, and fisheries • Developing mining and manufacturing industries • Improving cultural, welfare, and industrial facilities

Plan 4th-term Plan 5th-term Plan 6th-term Plan (Period) (1978-1987) (1988-1997) (1998-2007)

Objective Changing a stable total environment Contributing to the long-term • Self-reliant Hokkaido with its door of the plan development of Japan and enabling open to Japan and other countries Hokkaido to compete successfully • Being proud of rich environments with regions elsewhere in Japan and and resources, passing them down the world to the next generation • Safe and comfortable Hokkaido where people can enjoy diversified lifestyles and culture

Major • Improving development bases of • Developing flexible and vital • Establishing food supply bases emphasis basic industries industries from a global standpoint and to • Improving functions of Sapporo • Developing advanced networks of foster the expected growth for promoting decentralization transportation and communication industries • Improving urban as well as • Developing safe and comfortable • Establishing the Northern agricultural, mountain, and fishing communities International Shpere village environments • Preserving beautiful and • Improving basic transportation and magnificent environments telecommunication systems • Meeting the demand for self- • Improving water resource actualization, such as travel, development measures recreation, and exchange activities • Securing measures of preventing • Realizing safe and comfortable disasters including conservation of living environments national land • Enhancing the social and cultural environment appropriate to a northern region

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

trillion yen(Japan) thousand persons(Hokkaido) thousand persons(Japan) trillion yen(Hokkaido) 6,000 140,000 30 600

130,000 25 500 5,628 5,500 120,000 20.4 20 400 110,000 5,000 15 300 100,000 10 200 90,000 4,500 5 100 4,296 80,000 2.8 4,000 70,000 0 0 F 1955 1958 1961 1964 1967 1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 1950 1953 1956 1959 1962 1965 1968 1971 1974 1977 1980 1983 1986 1989 1992 1995 1998 2001 2004 2007 Y Japan Hokkaido Japan Hokkaido Figure 2 Trends in population Figure 3 Trends in Gross Regional Product however, some cities and villages in Hokkaido have lost their roles and values in the national economy. Their efforts to find a new economic role have often been followed by heavy financial burdens, which pose serious questions about the sustainability of these cities. Besides, the manufacturing industry – Japan’s leading industry that creates high added value and many job opportunities – has yet to accumulate in the region sufficiently, which provides further difficulties in the regional economy.

Meanwhile, the measures based on the former HCDPs, especially those in the field of infrastructure development, have begun to yield some promising results: exports of agricultural and fishery products from Hokkaido tend to increase, and the number of foreign tourists has increased 2.5 times to 510,000 over the past five years (Figure 4).

(persons) 550,000 Taiwan 513,650 500,000 Hong Kong 450,000 Other regions in Asia 427,050 Europe 400,000 North America Other regions or unknown 276,800 350,000 293,780 208,600 300,000 279,350

250,000 236,100 119,750 203,900 206,600 133,200 200,000 70,050 170,300 119,450 63,850 150,000 109,700 120,900 120,900 61,200 41,900 93,700 82,750 86,500 100,000 27,850 52,800 19,900 56,600 10,800 17,800 55,450 16,500 15,200 29,400 45,900 50,000 11,500 20,800

0 1997 1998 1999 2000 2001 2002 2003 2004 2005 Figure 4 Trends in the number of foreign tourists to Hokkaido

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

2. RESOURCES AND CHARACTERISTICS OF HOKKAIDO

Hokkaido boasts its resources and characteristics that are unique in Asia and encourage people to challenge: such as vast flatlands, bountiful water, rich forests, a natural environment distinctive in northern regions, and a cold climate. The region also boasts frontier spirits and open-mindedness of its people, which have been fostered throughout its history. In Hokkaido, additionally, people enjoy its social climate and culture, under which challengers from any region are easily accepted.

Extensive farmlands, rich fishing grounds, high-quality water resources, and a cold climate in Hokkaido help to produce safe foods with unparalleled quality. Also, the region abounds in low-emission energy sources such as wind power and biomass as well as the natural gas field in Yufutsu. The island’s beautiful and rich natural environment with its cold climate is invaluable in attracting tourists from all over the world, especially from . In addition, Hokkaido has distinctive cultural heritages, which are characterized particularly by the culture of the Ainu, who have lived on the island from time immemorial, and who have named many places in the region.

Adjoining the region of the Russian Federation and lying at the intersection of three continents (i.e., North America, Europe, and East Asia), Hokkaido has a potential to be a strategic hub in international logistics and communications.

In the meantime, Hokkaido also has a host of disadvantages. The region has a severe climate – a cold winter with heavy snowfall. Its population is so widely distributed that its population density is only one-fifth of the national average. The region is also far from Japan’s major markets and industrial centers, such as the Tokyo metropolitan area. Nevertheless, Hokkaido has developed into an important food supply center, thanks to one century of efforts in plant breeding and a wide array of infrastructure development programs to adapt to the region’s cold climate and heavy snowfall. The lesson here is that, to turn the weaknesses of Hokkaido into strengths and to realize the region’s attractive potential, it is important to promote continuous efforts and innovations of its people with forward-looking mindsets.

3. ENVIONMENTAL CHANGES SURROUNDING JAPAN AND DEVELOPMENT OF HOKKIAIDO

Entering the 21st century when globalization has been accelerated, Japan has been experiencing a decline in its population with rapid aging and very low birthrate – this is the reality that Japan has to deal with.

Rapid globalization has advanced the movements of people, goods, funds, technology, and information beyond national boundaries, making international and interregional competitions unprecedentedly fierce. In particular, not only do growing Asian countries open a window of opportunities for Japan’s market expansion, but they themselves are emerging as powerful competitors for the country.

The world population is approximately 6.5 billion at present. It has nearly doubled over the past four decades and will continue to increase significantly, which would bring about an increase in food consumption, a rapid growth of energy demands, and the aggravation of global warming. Thus, as the premise of its stable development, Japan in the 21st century is

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007 facing global-scale competitions for food, energy, and other resources.

On the other hand, Japan’s total population took a downward turn in 2005, and is projected to decrease by approximately 12.5 million by 2030 (a drop of approximately 9.8%). In addition, the number of births has been declining sharply with the total fertility rate being 1.26, while the ratio of the aged generation (65 years and over) has exceeded 20%. A decline in the working-age population (15 years to 64) and heavier social security burdens on coming generations might serve as major constraints on Japan’s economic growth in the future.

These environmental changes have had enormous impacts on rural regions, in particular. As for negative impacts, globalization has caused the relocation of production bases and has reduced job opportunities; the rapid aging and the declining birthrate has brought about the depopulation of rural communities as well as a decline in the working-age population; the efforts of the central and local governments to restore their fiscal health have constricted fiscal transfers from the central to local governments.

Whether to properly cope with these environmental changes will determine the future of Japan. Challenges include: securing food, energy, and other resources indispensable for growth; fostering competitive national and regional economies to survive the era of globalization; establishing a highly productive, vigorous economic society in the face of a falling population; and forming a sustainable economic society where economic activities are compatible with the environment. Meanwhile, the trend toward decentralization calls for the creation of autonomous and independent local communities.

It is human capital that enables the country to rise to the occasion and go through this historically critical time. In this context, education and R&D will assume increasing importance. It is necessary to develop human resources that can support a vigorous economic society through, for example, creating added value.

In the meantime, the government must provide a safe and secure national land space to the people involved in diverse socioeconomic activities, enabling them to achieve diverse self- realization in a mature society. Since globalization has been increasing the likelihood of risk propagation across national boundaries, it is essential to ensure the safety and security of the people, especially in terms of the national security.

4. REVIEW OF THE 6TH TERM PLAN

4.1 Socioeconomic situations in Hokkaido during the 6th term plan During the 6th term plan, especially since 2002, the socioeconomic situations in Hokkaido have been harsher than in the rest of Japan.

The population in Hokkaido has already begun to decline in 1998, and it has been aging more rapidly than any other regional block in Japan, with the aging ratio registered at 21.4％ in 2005 (20.1% for the entire nation). In 2030, the ratio is projected to reach 33.6％, the highest among all the regional blocks nationwide.

The nominal GRP in Hokkaido was below twenty trillion yen for three consecutive years from FY2002. While the national economy returned to positive growth in FY2003 in nominal

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007 terms (and in FY2002 in real terms), Hokkaido has had four consecutive years of negative nominal growth since FY2001. Although the region’s real growth rate has been positive since FY2003, there have still been significant gaps between the growth rate of Hokkaido and that of other regions, implying severe economic conditions still holds in Hokkaido. Both public and private investments have consistently declined throughout the 6th term plan period. In the meanwhile, labor productivity has steadily improved although it is lower than the national average. The interregional balance of payments is still in a huge deficit, but the degree of deficit has been slightly decreasing.

4.2 Summary of the 6th term plan When the 6th term plan was formulated, the industries that should take over the former key industries of Hokkaido had developed less than were expected, and additionally the region was in financial turmoil. Thus, reforming its economic structure and improving infrastructure intensively and efficiently were urgent tasks for Hokkaido’s economy. Therefore, the 6th term HCDP was formulated with FY2007 as an approximate target year, aiming to develop Hokkaido into a region that will open a bright future for Japan in the 21st century, by utilizing the region’s vast land and bountiful resources while pursuing various administrative reforms. The 6th term plan comprehensively details the guiding principles and measures for promoting industries, improving infrastructure development, and so forth.

The major goals of the 6th term plan are: 1) To establish food supply bases from a global standpoint, and to foster prospective growth industries; 2) To establish the Northern International Sphere; 3) To preserve the beautiful and magnificent environment of Hokkaido; 4) To meet the people’s demands for self-actualization and exchange activities, including travel and recreation; and 5) To realize safe and comfortable living environments.

4.3 Evaluation of the 6th term plan and challenges ahead Various measures in the 6th term plan have yielded tangible results, some of which can be seen as successful cases of Hokkaido, or “new growth buds.” However, just emerging are the new problems attributable to a more precipitous decline in population than expected at the outset of the plan, the rapid progress of globalization, and deteriorating fiscal conditions. The vitality of the private sector has not been encouraged sufficiently to address these problems.

Particularly, maintaining the vigor of communities through infrastructure development alone, for example, has its limits because of the predicted continuation of population decrease. In this respect, now is the time when bold policy changes are required to meet the current trends, so are changes in the people’s lifestyles and modes of living per se as well as in the nature of economic activities.

It is requisite to strongly encourage the vitality of communities and the private sector that play vital roles in exerting the comprehensive policy effects of the plan. Hence, it is essential to establish a scheme to further exert the effects of projects through partnership and collaboration.

Against the background of fiscal and other constraints, ensuring more focused and efficient investments has become an urgent task. To address these conditions in a timely manner, it is required to improve the way of implementing projects: for example, to utilize existing stocks

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007 more effectively, to reinforce inter-project cooperation, and to ensure the transparency of project process.

The January 2003 report by the Planning and Investigation Division of the Hokkaido Development Committee reviewed the focus of the Hokkaido Development policy, and based on the report’s findings, certain results have been achieved by promoting the 6th term plan. Particularly, the report emphasized the importance of trailblazing and experimental projects that would be at the forefront of institutional design, to cope with difficult problems haunting the nation, in contrast with the aim of the Hokkaido Development policy that has often been accentuated as rectifying disparities between Hokkaido and the national standards. For example, the “Scenic Byways” program, in which communities take initiatives in developing beautiful and unrivaled localities by utilizing the breathtakingly beautiful rural landscape and other characteristics of Hokkaido, is one of such pioneering projects that opened the way for a new approach to solving some of Japan’s problems. Therefore, it is desired to further introduce and reinforce pioneering and pilot programs, including the “Hokkaido standards” (regulations or standards that are custom-made for Hokkaido).

To summarize the review findings, improvements are deemed necessary in the following areas: responses to new challenges attributable to the current trends; reforms of project procedures, e.g. to strengthen partnership and collaboration as well as to enhance prioritization and efficiency; and expansion of effective pioneering and experimental projects appropriate for the realities of Hokkaido. A new HCDP must, hence, reflect these points not only to let Hokkaido contribute to solving the current national problems but to attain the region’s vigorous development.

5. CURRENT TRENDS AND PROBLEMS

5.1 Globalization We live in an era when both businesses and policies require global perspectives. In order for Hokkaido to maintain its vitality, globalization should be regarded as a great opportunity to achieve further development, not as the risk of losing markets. Enduring efforts are absolutely imperative to attract and use people, goods, funds, technologies, and information. In particular, the rapid growth of Asian countries, where international specialization has been progressing, poses a golden opportunity for Hokkaido to further expand its markets. Sharpening the region’s competitive edge in the Asian markets with utilizing its superb resources and characteristics and playing its distinct regional roles are the key for its regional development.

Under the World Trade Organization (WTO) system, negotiations for trade liberalization and economic partnerships that complement multilateral free-trade system are under way, such as economic partnership agreements (EPA) and free trade agreements (FTA). In these negotiations, one of the greatest challenges for the county is to enhance the international competitiveness of agricultural and fishery products. Also, as transnational movements of people become common, rapidly growing Asian countries have been adding fuel to interregional competition in tourism. Since Hokkaido has unique natural attractions which appeal to people at home and abroad, like four distinct seasons, snow, and drift ice, the competition gives to the region an exceptional chance to improve its tourism industry to international standards to be the top runner of a prospective tourist-based country.

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

Hokkaido could become a model for an internationally competitive regional economy, if the region succeeds in taking those opportunities to develop globally, creating attractive localities and industrial clusters through the optimized use of its unique characteristics, inherent resources, fostered techniques, and infrastructure, and making strides in overseas markets extensively through the strategic dissemination of information.

Hokkaido also has geographical advantages: located at the connecting hub of North America, Europe, and East Asia; facing three oceans including the Pacific; and adjoining the Russian Far East such as the Sakhalin Oblast (district). Through utilizing these advantages and expanding exchanges across northern regions of the world as well as rapidly growing East Asian countries, the Northern International Sphere should be established.

5.2 Natural environment and energy problems The deterioration of the natural environment including the global warming issue and a rapid decrease of endangered species, and the reduction of natural resources have been reaching alarming levels across the globe. Harmonious coexistence with nature is the fundamental premise of a sustainable economic society. As people’s preferences for the nature have been diversifying, the spectacular natural environment that Hokkaido embraces is invaluable for Japan: nearly one quarter of the nation’s total forestland and upward of 80% of its wetlands lie in Hokkaido; the region also abounds in clear water. At the same time, the region’s rich natural environment also serves as the bedrock of tourism and other industries, so the conservation and rehabilitation projects to maintain and enhance the environmental values of Hokkaido should continue to be given a top priority. Moreover, further steps must be taken for the forests in the region as a carbon dioxide (CO2) sink, which would contribute to the world.

The use of clean energy sources, such as wind, snow and ice, biomass, and solar energy, is beneficial for Hokkaido because they can capitalize on the climate, geography and social characteristics of the region. Particularly, since Hokkaido has heavily relied upon fossil fuels for heating and other applications, the region should play a trailblazing role in addressing global warming and energy problems by utilizing rich natural energy resources in the region.

5.3 Declining and aging population with a falling birthrate One of the medium- and long-term issues for Japan is to establish a vigorous, competitive, and sustainable society, in spite of the country’s rapidly shrinking and aging population with lower birthrate. In Hokkaido which has a low population density and a cold and snowy winter, the regional population is declining and aging more rapidly than in the rest of Japan. It is of great significance if, regardless of these handicaps, Hokkaido could realize a model for vigorous communities ahead of the other regions.

Since the population in Hokkaido is widely distributed across the region, it might be difficult to maintain the dynamism of farming, mountain, and fishing villages, and to retain the functions of core cities in . In this context, it is necessary to promote agriculture, forestry, and fisheries in those villages, to introduce measures for job creation, to reinvigorate core cities in the subregions, and to improve mobility between the cities and their surroundings. It is also essential to introduce new programs that are designed to encourage people to live and produce in Hokkaido for a longer period of time by creating innovative systems of habitation, such as living in collective shelters during winter.

In the agricultural industry, it is vital to maintain higher productivity than in any other region

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007 in Japan, based on the excellent agricultural production infrastructure that has been established so far. To this aim, new measures are needed to ensure sufficient farmers, such as recruiting and training prospective farmers from a wider labor pool. Also in the fishing industry, to secure and train sufficient fishery workers is very important to prevent the industry from weakening, and fishing villages from declining. In these cases, an open-minded attitude of people in Hokkaido, with which people are not fettered by existing convention and are accustomed to welcome newcomers, will help the formation of new communities. At the same time, the multifaceted functions of these villages, such as those for national land conservation, should not be underestimated.

Exchanges with a wide array of people serve as the fountain of regional vitality. People do not choose their residence based solely on their economic activities. While people’s lifestyles are diversifying, the rich natural environment of Hokkaido has become increasingly valuable as a place for their self-realization and as a comfortable and pleasant space to live. An increasing number of people residing in the Tokyo metropolitan area and other major cities now wish to live in Hokkaido. Revitalization measures are thus required to increase visitor numbers by promoting tourism, encouraging long-term stays and double residency, and energizing educational activities. Policy efforts are also needed to create a comfortable living environment as well as a culture befitting Hokkaido.

5.4 Formation of vigorous and competitive regional economic societies The Hokkaido Island accounts for 22% of Japan’s total land area. Located at the northern end of the Japanese archipelago and having a long coastline, the region has an important role for the country from the security perspective. Moreover, Hokkaido plays a pivotal role in ensuring the balanced growth and development of Japan, and is thus desired to develop as a vigorous economic region.

The fountain of regional vitality lies in value-adding capabilities. Value is added through active economic activities of the private sector. Using superb regional resources, characteristics, and assets as its leverage, therefore, the region should make greater efforts to reform its economy, beginning with promoting an intra-regional circulation of funds, developing human resources, and heightening the efficiency of capital stocks.

Such endeavors rely basically upon economic activities of the private sector; the national and local governments are expected to fulfill their own responsibilities to support those activities. What is important here is reading the trends, choosing appropriate industries on which Hokkaido could base its future development, then fostering a promising, high value-added, and competitive industry, and enhancing geographical concentration of such an industry, in order to create more job opportunities in the region. To establish a dynamic regional economy, additionally, infrastructure development that supports socioeconomic activities in the region is indispensable to ensure safety and security, to make a more comfortable living environment, and to improve mobility.

Furthermore, the contribution to addressing the nation’s challenges and the realization of a vigorous regional economy could be pursued concurrently, when diverse individuals with clear visions and lofty aspirations unflinchingly try to live up to the demands of the times and accumulate successful experiences in Hokkaido.

6. MAJOR POLICEIES OF A NEW PLAN

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

A new HCDP is expected to involve the following measures:

(1) Realization of a self-reliant and stable economy with global competitiveness 1) Enhancing Hokkaido’s food supply capacity and fostering high value-added, competitive food-related industries • Enhance the region’s food supply capacity; and • Foster high value-added, competitive food-related industries 2) Tourism as a growth industry • Nurture top-level international tourism destinations across the region; and • Foster the tourism industry to be the region’s leading one 3) Fostering promising, competitive industries through utilizing people and technologies • Foster promising industries; and • Improve infrastructure for industrial development (2) Establishment of sustainable communities that lead the era of the global environment and coexist with nature • Achieve harmony with nature; • Promote a recycling-oriented society; and • Address energy problems (3) Attractive and vigorous regional and community development in the northern region • Create self-reliant and broad-based subregions; • Move to more compact cities; and • Form garden communities as a model for vital rural communities (4) Improvement of transportation networks and mobility that support domestic and international exchanges • Strengthen physical distribution networks open to the rest of the nation as well as the world; • Establish arterial transportation networks; • Revitalize inner-city transportation systems; and • Improve the reliability of transportation services in winter (5) Safe and reassuring national land development • Implement disaster prevention measures in preparation for frequent natural disasters; • Promote comprehensive disaster prevention and mitigation programs; • Improve traffic safety to realize a zero-accident society; and • Toughen counterterrorism and security measures

7. BASIC APPROACH FOR PROMOTION OF NEW POLICIES

7.1 Promotion of policies through collaboration Each of various actors concerned with the development of Hokkaido, including the national and local governments, citizens, NPOs, and firms, should share one’s visions on the future of the region, participate actively in the decision-making processes of measures, and collaborate with one another toward the realization of the visions with playing one’s responsible roles.

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

7.2 Well-focused investment with efficiency and transparency With population and fiscal constraints placed on regional development, it is vital to intensively and efficiently utilize limited government resources. Thus, concentrating investment more heavily on truly indispensable, critical fields to achieve its effects as early as possible.

Across all stages in the policy cycle – i.e., planning, implementation, review and evaluation, and feedback to the plan – continuous evaluation of whether policy effects are satisfactory to the people, and efficient implementation of measures with sufficient transparency are the must.

As social capital stocks are getting older, it is of paramount importance to maintain and upgrade them in a systematic and efficient manner without hampering socioeconomic activities.

7.3 New initiatives in the Hokkaido Development policy The culture of pioneers, who were unafraid to face up to new challenges, has been cultivated in Hokkaido since the reclamation of the island was launched in the late 19th century. Along with this background, trailblazing and experimental projects, which address the challenges of the nation with utilizing the region’s superb resources and characteristics, could open the way for a new era in the country’s history.

So far, a variety of original, visionary, yet experimental measures have been carried out to enhance the effective development of Hokkaido, including the introduction of the “Hokkaido standards.” The region needs to embark on wide range of projects to maximize its presence as a powerful, creative region through the collaboration with those whom the region’s open- mindedness attracts from across the world.

7.4 Subregions with diversity Hokkaido is composed of a variety of distinct subregions that differ in climates, natural environments, populations, industries, histories, cultures, and so forth. In its future images, therefore, Hokkaido should not be seen as a single, homogeneous region, but the characteristics of each should be fully appreciated.

7.5 Cooperation with neighboring areas Located at the northernmost end of the Japanese archipelago, Hokkaido adjoins the Island via the Tsugaru Straits. As for the partnerships with the Tohoku region (the northernmost region of the Honshu Island), the construction of the Shinkansen line which will connect Hakodate (Hokkaido) with Aomori (Tohoku) would increase opportunities for additional exchanges between the Aomori-Hakodate (Seikan) region (the subregions across the Tsugaru Straits). Given this chance, Hokkaido and Tohoku should expedite interregional exchanges in tourism, economy, daily living, etc.

Reinforcing the partnerships with the adjoining Far East of the Russian Federation in a wide array of activities also assumes importance, so exchanges and economic cooperations between Japan and Russia should be accelerated. The Sakhalin Project, in particular, is a project that could diversify Japan’s energy sources. Forging favorable and cooperative relations between two countries is also vital to address the environmental problems in the Sea of Okhotsk, where marine resources abound.

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

8. POLICIES TO IMPROVE TRAFFIC NETWORKS AND MOBILITY

8.1 Strengthening physical distribution networks In the midst of fierce global competition, transportation networks and mobility should be established strategically, particularly those essential for industries and tourism that utilize Hokkaido’s advantages, and for people’s lives that support them.

The rapid globalization requires more open, convenient, and efficient distribution networks in Hokkaido in order to uphold the competitiveness of its regional economy. As regards international distribution, improving the functions of international distribution bases is necessary to cope with increasing international container cargoes; establishing a variety of transportation options is also vital, including international maritime routes for RORO (Roll- on/Roll-off) vessels to deal with freight transportation between Hokkaido and Asian countries, the economies of which have been closely interlinked. As regards domestic distribution, reinforcing intermodal transportation networks is requisite. In addition, the following measures are needed to build strategic distribution networks that connect distribution bases such as ports and every corner of Hokkaido: constructing arterial high- standard highways; improving accessibility between those highways and ports and airports; and networking trunk roads that enable freight vehicles to carry international-standard containers without hindrance.

8.2 Establishing arterial transportation networks To foster exchanges with people both at home and abroad, including rapidly increasing foreign tourists, new airline routes and improved airport services are important, particularly strengthening the international gateway functions of and improving the convenience of the New Chitose Airport. It is also necessary to reinforce high-speed transportation networks through the construction of the Hokkaido Shinkansen, for example.

In Hokkaido across which people are widely distributed, the following measures are required to support subregional economies: improving public transportation services along with the construction of the Hokkaido Shinkansen; completing the “missing links” in the arterial high- standard highway networks that connect major cities (Figure 5); strengthening accessibility between the high-standard highways and traffic hubs; and improving transportation networks that support people’s lives in remote areas, including securing access to remote islands.

8.3 Revitalizing inner-city transportation systems In major urban areas and core cities, revitalizing inner-city transportation systems including pedestrian and bicycle facilities, and public transportation services is needed, particularly to secure the mobility of seniors.

8.4 Improving the reliability of transportation services in winter To improve the reliability of transportation services in winter, it is important to ensure stable aviation services, and to counter heavy snowfall, avalanches, snow drifting, and frozen road surfaces to secure road traffic.

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

Figure 5 Arterial high-standard highway networks in Hokkaido

9. CONCLUSION

The Hokkaido Development policy has been subject to criticisms as well as hopes from various segments of the Japanese society. To respond to these mixed stances, the Hokkaido Development policy must pay greater attention to challenges for Japan in the 21st century, and the roles of the policy in the country’s tackling with the challenges. Particularly, the Hokkaido Development policy today should focus on creating vital and competitive regional economies, through utilizing unrivaled resources in Hokkaido and through adapting to changing surroundings with globalization, environmental and energy problems, and a declining and aging population.

Based on these conclusions of the final report, the Japan’s national government is expected to formulate a new Hokkaido Comprehensive Development Plan, after further one-year deliberation of specific measures.

The lessons from the experiences of the Hokkaido Development policy over one and a half century would be as follows: it shows that appropriate regional policies, including infrastructure development with inducing private investments, could make undeveloped land into an advanced region comparable with a developed country. To this aim, Japan’s national government has established the trinity of the Hokkaido Development scheme that consists of a middle- or long-term national plan, a government agency, and a set of policy infrastructure that supports private activities. It might be difficult to achieve prospective results of regional development if a policy scheme lacked any of the three elements. It might also be true that Hokkaido would still be an underdeveloped area because of the lack of resources if the

Proceedings of the Eastern Asia Society for Transportation Studies, Vol.6, 2007

Hokkaido Development policy were to choose the current trends in policies such as devolution and privatization. These lessons from the Hokkaido Development policy could be helpful for any country which has disparities between its regions, particularly for Asian countries with rapidly-growing and stagnant regions.

Focusing on transportation policies, meanwhile, this paper presents a variety of problems surrounding Hokkaido and new directions of the Hokkaido Development policy to cope with the problems. Other Asian countries as well as Japan face or would face with the changes in the trends of the times, such as globalization, environmental and energy problems, and a declining and aging population. As a region that faces such problems earlier or more severe than other regions, Hokkaido should handle the problems through visions shared by and cooperation of various actors including the government and residents, pursuing a mature, sustainable society. The new directions of the Hokkaido Development policy also suggests that to this end the mutual interdependence between Asian countries and Hokkaido would gain in importance. That is, Hokkaido in the new era must contribute to securing sustainable growth and development of Asian countries, and to deepening mutual understanding more than ever. The new Hokkaido Comprehensive Development Plan that casts light on such perspectives would, we believe, pave the way for creating a brighter future in which Hokkaido would grow with Asian nations.

REFERENCES

Hokkaido Development Agency. (1998) The Sixth-Term Hokkaido Comprehensive Development Plan.