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Smart Regulations & Laws

  • REGULATORY SANDBOX
  • NATIONAL STRATEGIC SPECIAL ZONES
  • HEALTHCARE
  • AGRICULTURE
  • ENERGY
  • RADIO FREQUENCY

Many say nothing ever changes in Japan. This section more than others demonstrates that this is simply not the case.
In recent years, changes have drilled down into the bedrock of some of the oldest and most traditional industries in Japan.
A revolution in efficiency and innovation is taking place in the energy, agriculture, medicine, and telecommunications industries. And this is only the beginning.

Japan is introducing more measures, such as a regulatory sandbox, to help stimulate new business, opening the door to smart ideas with smart regulation.

REGULATORY SANDBOX

REGULATORY SANDBOX

A fledging business idea or technology needs support and understanding. In the case of government, we are introducing a sandbox approach that seeks to help new ideas develop by limiting administrative barriers and regulations on a case by case basis without being subject to existing regulations.

    • Early stage business models or technologies are proposed to the government and evaluated on their merit

    • Rules are relaxed to test these innovations within a certain contained “sandbox” (e.g. within an approved company or project). Businesses are able to conduct demonstration tests and pilot projects that are not envisaged under existing regulations inside of their “sandbox.”

    • The testing environment allows businesses to conduct pilot projects quickly, building up data that can lead to change in regulations

    • If pilot demonstrations of new technologies/business models are successful, government considers extending the same deregulation to the rest of the country

    • A dedicated office for this is set up to ease with the application process

      Law took effect in June 2018

REGULATORY SANDBOX

NATIONAL STRATEGIC SPECIAL ZONES

NATIONAL STRATEGIC SPECIAL ZONES

Selected regions have the privilege of carrying out advanced structural reform in the hope of turning successful test cases into touchstones for nationwide implementation.

10areas have been selected since 2013 296reforms were undertaken(as of June 2018)
flagAchievements
Achievements
  • 1st automated bus driving test conducted on a public road in Semboku City (November 2016)
  • Accept non-Japanese workers who have certain skills to help turn agriculture into a growth industry in Kyoto Pref., Niigata City and Aichi Pref.

    Law took effect in April 2018

HEALTHCARE

HEALTHCARE

Adopt flexible regulatory frameworks to make Japan a central hub for regenerative medicine and grow the market to 26 trillion yen by 2020

  • Create a faster R&D process in innovative medicine
    • Implement faster approval system for pharmaceuticals,medical devices and regenerative medicine

  • Create a global hub for regenerative medicine
    • Make National Strategic Special Zones into hubs for cardiac, neurologic and ophthalmic treatments

    • Promote market entry from overseas

  • Expand and popularize the use of online medical treatment
flagAchievements
  • World’s fastest approval process in regenerative medicine
    HEALTHCARE HEALTHCARE
  • Rapid development in advanced heart failure treatments such as myoblast cell-sheet transplants
  • World’s first successful iPS origin retinal cell transplant operation for age-related macular degeneration

AGRICULTURE

AGRICULTURE

First major structural reform and deregulation in 60 years to turn agriculture into a growth industry

  • Reform the Agricultural Cooperative system to encourage entrepreneurship

    Law took effect in 2016

  • Decrease production costs and promote structural reform in distribution and processing

    Law took effect in August 2017

  • Increase exports to one trillion yen by 2019

    • Strengthen export promotion through the Japan Food Product Overseas Promotion Center (JFOODO)

  • Introduce similar approaches to modernize forestry and fisheries industries

flagAchievements
  • Exports of agricultural, forestry, and fishery products
    AGRICULTURE
    Source: Ministry of Finance “Trade Statistics of Japan”

ENERGY

ENERGY

Undertake comprehensive reform, for the first time in 60 years, to increase competitiveness for current energy sources while exploring new energy sources to create an eco-friendly and growing industry

  • Increase competitiveness in the electricity and gas market
flagAchievements
ENERGY ENERGY

RADIO FREQUENCY

RADIO FREQUENCY

Efficient frequency utilization is key to accelerating innovation in next-generation fields such as IoT, digital media and mobile entertainment.

  • Provide more transparency to frequency assignment
  • Ensure unlicensed frequency bands for Internet of Things (IoT)
  • Consider auctions for radio spectrum distribution in the future
  • Promote and support business models that go beyond traditional television or telecom operations

2

Smart
Regulations
& Laws

  • REGULATORY SANDBOX
  • NATIONAL STRATEGIC SPECIAL ZONES
  • HEALTHCARE
  • AGRICULTURE
  • ENERGY
  • RADIO FREQUENCY

ABENOMICS TOP

Pursue regulatory reforms