Title The Cyclical Economy of Japan Author(s) Yoshida, Fumikazu Issue Date 2007 Doc URL http://hdl.handle.net/2115/34758 (C)2007 by Hokkaido University. All rights Reserved. No part of this book may be reproduced in any form without Rights written permission of the Publisher. Type book Note Second Edition File Information TheCyclicalEconomyofJapan.pdf Instructions for use Hokkaido University Collection of Scholarly and Academic Papers : HUSCAP 9784832903371 1923036024002 The Cyclical Economy of Japan Second Edition Fumikazu Yoshida Hokkaido University （１） Fumikazu Yoshida, Ph.D. Professor of Economics, Hokkaido University Public Policy School Sapporo 060‐0809, Japan ○C 2007 by Hokkaido University All rights Reserved. No part of this book may be reproduced in any form without written permission of the Publisher. Hokkaido University, Sapporo, Japan Printed in Japan （２） Contents Preface to the English-Language Edition １ Foreword ２ Introduction ５ Chapter 1 The Material Cycle and the Regime/Actor Analysis ８ 1TheMaterial Cycle ８ 2Regime/Actor Analysis ２０ Chapter 2 Basic Challenges Faced by the Cyclical Society ３１ 1TheCyclical Society and Wastes ３１ 2Reduce, Reuse, and Recycle ３５ 3IsJustBurning Wastes Enough？ ４０ Chapter 3 Container and Packaging Recycling ４５ 1LessTrashfrom Containers and Packaging？ ４５ 2AnAssessment of Packaging and Container Recycling ５０ 3Reforming the Container and Packaging Waste Recycling Regime ５５ Chapter 4 Appliance Recycling ６７ 1TheReal Story behind Appliance and Electronics Recycling ６７ 2Assessing Appliance Recycling ７２ 3HowtoReform Appliance Recycling ７５ Chapter 5 Automobile Recycling ８６ 1 Current State of Automobile Recycling ８６ 2TheNew Automobile Recycling Law ９１ Chapter 6 Recycling in the Construction and Food Industries ９９ 1Recycling of Construction and Demolition Waste ９９ 2Food Waste Recycling １０６ Chapter 7 Can Illegal Dumping Be Stopped？ １１２ 1WhyDoes Illegal Dumping Happen？ １１２ 2HowCanIllegal Dumping Be Stopped？ １１６ Concluding Chapter The Path to a Secure and Comfortable Life with a Low Environmental Burden １２４ （３） Box 1 Japanese Indicators of Environmental Sustainability ６ Box 2 Methods of Measuring the Material Cycle １１ Box 3 Mercury Recycling １８ Box 4 Is recycling post-consumer paper really environmentally friendly？ ３７ Box 5 International Comparison of Municipal Solid Waste ４７ Box 6 Minamata’s 21-Category Waste Separation ５９ Box 7 Sorting Criteria for Plastic Containers and Packaging ６５ Box 8 Growing IT Use and Change in Paper Demand ７９ Box 9 China’s Recycling Business ８４ Box 10 Recycling ELV Batteries ９８ Box 11 Reduction and Recycling of Excavated Soil from Gas Pipeline Construction １０２ Box 12 Information Asymmetry,Adverse Selection, and Illegal Dumping １１８ Box 13 The Fate of Medical（Infections）Waste １２０ Box 14 Pollution by Primary Industries, and the“Coase Theorem” １２２ Appendix One : EPR and E-waste Recycling System in Japan and Korea １２９ Appendix Two : Japan-China Cyclical Society Comparison １３７ Acknowledgement １４４ References １４６ Index １５４ （４） １ Preface to the Second Edition Three years have passed since the publication of the original Japanese edition of this book in 2004, and because, over that time, certain aspects of the cyclical economy have already become somewhat out of date, I have made a number of revisions to this, the second edition. In particular, I have brought all references to the conditions of Japan’s cyclical economy up to date, while add- ing two appendices devoted to a comparison of current EPR and Japan-China practices, based on the lectures delivered in Beijng and Shanghai. In addition, I have also revised the wording of this new English version, and I am deeply grateful to Professor Willie Jones and Mrs Mieko Asakura for their assistance in enablingmetoofferthisversionto a wider readership. Ihope,therefore, that this second edition will make a useful contribution to the creation of a world-wide societythatisbothcyclical and sustainable. Professor Fumikazu YOSHIDA Hokkaido University School of Public Policy Sapporo 060‐0809 Japan ２ Foreword With the arrival of the 21st century, the concepts of a“sustainable soci- ety”and a“cyclical society”have established themselves. The reasons for this are that environmental limitations and changes in the socio-economic struc- ture have heralded the end of economic growth and an expansionist philoso- phy, and we are now forced to consider how we shall greet the new age of popu- lation decline and shrinking economies.Itdoes not follow, however, that there is clear agreement on what the new society should be like. With such global environmental concerns in mind, this book therefore attempts to determine the basic conditions and challenges involved in creating a“cyclical society”in modern Japan by asking whether it is possible to realize human well-being while lowering our environmental burden. Ibegin with a general overview of the book. In 2000, Japan enacted the Basic Law for Establishing a Cyclical Society（Cyclical Society Law）;thiswas followed by several specific waste-and recycling-related laws created within the framework of the Cyclical Society Law. Among these are the Container and Packaging Waste Recycling Law, the Household Appliance Recycling Law, and the Automobile Recycling Law, while the Wastes Disposal and Public Cleansing Law has subsequently been amended a number of times. But investigation of whether waste is being reduced and whether recycling is mak- ing progress reveals many problems that remain to be solved, including illegal dumping and the export of waste to other countries. The book uses the notion of the material cycle and regime/actor analysis as the keys to understanding such problems. To begin with, the material cycle is discussed on a global scale and examined as a component of global environ- mental problems with the idea of determining the size of the global cycle in natural history, while attempting to discern the impact of human society’s by- products―such as carbon and heavy metal goods―on the cycle. Since, in the modern world, energy, raw materials, and products are supplied worldwide, and are thus moving and circulating across national borders, governments must formulate“domestic cycle policies”in accordance with this reality. The book examines each step in the progression from extraction of overseas re- sources to the transport of raw materials and parts, their use and processing, finished products, waste, and finally export to other countries. After an over- view of the cyclical society and the waste economy as a whole, I seek to demon- strate in an easy-to-understand manner the effectiveness of the second analy- sis key, regime/actor analysis（Chapter 1）． Chapter 2 will explain the basic laws for the cyclical society, this book’s main theme, and it examines each stage from waste reduction to reuse, recy- cling, proper disposal, and use for energy. In particular, this chapter will dis- cuss the nature of waste, the need for material cycle control laws, and the mar- ket for used products. In this section, I wish to emphasize that recycling is a means, while the objective is to reduce the environmental burden. As means to measure the environmental burden, the chapter will discuss and explain The Cyclical Economy of Japan ３ MIPS, the ecological footprint, hidden flow, and other concepts, and provide the point of view needed to assess material cycling laws（Box．2）． Chapter 3 explores the achievements and direction of reform under the Container and Packaging Waste RecyclingLaw,which became effective in 1997. In particular, it discusses such matters as why the number of PET bottles is increasing, and the amount of taxes used to run this program, and it shows the problems of giving the highest priority to recycling. Chapter 4 discusses the Appliance Recycling Law system and the increase in wastes that are hard to dispose of properly, and investigates whether illegal dumping is actually increasing. It also notes that something over 50％ of the potential recoverable number of the“four appliance types”designated by the Appliance Recycling Law is actually being recovered, and it discusses the actual situation in the used appliance market and the overseas export of junked products. Chapter 5 discusses the Automobile Recycling Law, effective from 2005，in the light of illegal dumping on Teshima Island, automobile shredder residue, the automobile life cycle, and the paying of recyclers to accept materials; it then moves on to a discussion of the problems caused bythenew system. Chapter 6 discusses construction and demolition waste and food waste, which are the main types of industrial waste, and then deals with the new Building Construction Materials Recycling Law and Food Waste Recycling Law. In particular, since much biological organic waste has a high moisture content, odor-suppressing measures become crucial, while there is a close con- nection with food production and consumption. Chapter 7 asks whether illegal dumping can be stopped, and in that light considers Japan’s biggest illegal dumping incident（on the Aomori-Iwate pre- fectural border），as well as how to ensure that waste generators take responsi- bility, the role of waste taxes, cooperation and allocation of roles among admin- istrative authorities, businesses, and citizens. With regard to society’s future direction,theconcluding chapter discusses the sustainable society, things and their functions, as it considers a way to pro- vide for human well-being and a reduction of the environmental burden. As consumers, citizens have surprisingly few opportunities to find out how the products they use are made, and whathappens to them after they are con- sumed. This book will therefore attempt to provide readers with a written “factory tour”so they can see how consumer appliances, automobiles, and other products are actually produced, and how they are managed as waste. Many of my examples will be from Hokkaido because that is where I live, but I will also present information on nationwide trends discovered during my investigations. On the basis of their environmental reports, I will also de- scribe some specific environmental initiatives taken by companies.