Local Governance in Managing Urban Transport Pollution the Case of Tokyo

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Local Governance in Managing Urban Transport
Pollution the Case of Tokyo

• Development Bank of Japan

Regional Workshop Fighting Urban Air Pollution
From Plan to Action Bangkok, February 12-14, 2001
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Background

• Urbanization, motorization, and worsened air
  quality
• Key roles played by local governments in managing
  urban environmental problems.
• Although the outcome is mixed, without the active
  role played by the local government, Tokyo would
  have been engulfed in car induced urban chaos.

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Contents

• Urbanization, motorization, and their
  environmental impacts in Tokyo
• Specific Measures implemented and their impacts
• Road network, bus services, urban
  planning/development
• Vehicle-targeted measures, inspection program,
  urban freight
• Tokyos institutional responsibility and capacity
  for managing urban transportation and air
  quality
• Implications for other economies

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Urbanization, Motorization and Air Pollution
Impacts

• Monopolar concentration
• 10 of Japans population and a sixth of national
  value added with 0.6 of land
• Changes in travel patterns
• Increasing number of commuters
• Motorization
• Vehicle ownership quadrupled between 1960 and
  1970.
• Environmental Impacts

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Urbanization and Motorization in Tokyo (I)
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Urbanization and Motorization in Tokyo (II)
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Urbanization and Motorization in Tokyo (III)
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Measures taken

• Development of road network
• Development of mass transit
• Bus services
• Urban planning/development
• Vehicle-targeted measures
• Inspection/maintenance program
• Urban freight

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(Mixed) outcome

• A major part of transportation demand in 23 wards
  has been met by mass transit systems.
• Steady increase in total length of road and
  higher ratio of public roads, but still under
  severe pressure from congestion
• Multinucleated urban development mitigated the
  increasing population densities and changed
  transportation flow.
• Dramatic improvement in SO2 and CO
• Sill poor performance in NOx and SPM

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Trends of Air Pollutants in Tokyo (I)
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Trends of Air Pollutants in Tokyo (II)
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Implications ?

• Although the outcome is mixed, without the active
  role played by the local government, Tokyo would
  have been engulfed in car induced urban chaos.
• Differences between cities should be kept in mind
• Population growth rate
• Pronounced poverty
• Mobility vs. air pollution

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Implications (I)

• Clear line of authority
• Trend of decentralization compounds the
  problematic situation unless who does what? is
  clear.
• The exact line can not be the same for all
  cities.
• Consensus building and political will
• Committees and/or consultation to collect various
  views from different interest groups and to
  provide a forum to reconcile conflicting
  interests.

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Implications (II)

• Generating revenue
• Objective transfer of financial resources
• Defined and broad tax base
• Earmarking of taxation
• Corporatizaion of urban transportation agencies
• Access to special resources such as FILP and
  Social Infrastructure Account
• Partnership/collaboration with the private sector
• Consultation with the automobile industry
• Institutionalizing cost-sharing schemes in mass
  transit development
• Human resources

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(No Transcript)
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Line of Authority and Institutional
Responsibilities (I)

• Key players
• National government ministries
• Tokyo Metropolitan Government (TMG)
• Public corporation and local public enterprises
• Private enterprises such as urban rail companies
• Well defined division of labor across the levels
  of government
• Policy guidelines and basic laws are made by the
  national government.
• Based on laws and cabinet orders, it delegates
  implementation of many administrative functions
  to TMG.

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Line of Authority and Institutional
Responsibilities (II)

• Development of mass transit
• Japan National Railway (JNR) Law and Local
  Railway Law
• JNR, private urban rail companies, and local
  public enterprises
• The Council for Urban Transportation
• national and local govts, railway companies,
  academia, etc.
• Teito Rapid Transit Authority (Eidan) vs.
  Transportation Bureau of TMG (TBTMG) in
  development of Tokyos subway network
• Development of road network
• Road Law designates entities responsible for
  provision of roads.
• TMGs authority and obligation to develop and
  improve the prefectural roads
• Introduction of the Specified Sources of Revenue
  System

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Line of Authority and Institutional
Responsibilities (III)

• Urban planning
• 1968 Urban Planning Law declares delegation of
  urban planning affairs from the national
  government to local governments.
• Project implemetation entities range from TMG to
  private firms.
• Central and Local Urban Planning Councils
• Vehicle-targeted measures
• The Environment Agency nation wide vehicular
  emission standards
• The Ministry of Transport determing technical
  standards.
• TMG Monitoring of ambient concentration and
  dissemination of the results

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Coordination Mechanism

• Tokyo Metropolitan Council for Urban Pollution
  Control
• Consultation and information sharing with the
  national government and the private sector
• Vehicular emission concerns, over which TMG had
  the limited authority, were also discussed.
• Council for Urban Transportation
• Priority to mass transit development in Tokyo
• Central and Local Urban Planning Councils
• Participation of local community

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Financing for Urban Transportation Management (I)

• Local public finance system in Japan
• 35 of tax revenue is given to local governments,
  but the ratio of actual spending is the almost
  reverse.
• Japans national government transfers financial
  resources to local governments along with
  legal/regulatory authorities and management
  responsibilities.
• TMG never received the Local Allocation Tax to
  cover the shortage of tax revenues.
• TMGs large coffer made it to be more independent
  of ministries of the national government

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Financing for Urban Transportation Management
(II) --Tax Revenues--

• Road development has been dependent on the
  specified revenue system where certain types of
  tax revenues are earmarked to development and
  maintenance of road network.
• Efficient resource allocation Exclusion of free
  riders
• Able to raise stable funds for the long-term
  investment
• Important role by the National Government
  Disbursement
• Urban development
• Injection of subsidies, equity, and loans

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Financing for Urban Transportation Management
(III)--Corporatization of Urban Transportation
Infrastructures--

• TBTMG
• An independent account
• Bond issuance
• Special Railway Fund
• Eidan
• Subsidies from the national government and TMG
• Bond issuance
• Loans from private banks and the Fiscal
  Investment and Loan Program
• Metropolitan Expressway Public Corporation
• Bond issuance as a major financing tool

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Financing for Urban Transportation Management
(IV)--Private Sector Financing--

• There is room for private sector financing to
  play an important role
• Preferential loan arrangements by government
  financial institutions
• Reduction of the Fixed Property Tax by TMG
• Cost sharing schemes among stakeholders
• Land and property development
• Contribution from the real estate developers to
  construction of new town railways
• The third sector method

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Measures Implemented and their Impacts (I)

• Development of mass transit
• Not only met the increments in demand but also
  replaced some of the existing modes including
  private passenger cars.
• Intensive location of subway stations in the city
  center
• Through operations for smooth connections such as
  integration of fares and services across the mass
  transit modes
• Development of road network
• Development of loop routes, diversion of traffic
  flows from the city center, etc.
• Still under severe pressure from congetion
• Little time or space available
• Without development of mass transit, what would
  have happened?

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Measures Implemented and their Impacts (II)

• Urban planning
• Multinucleated urban development
• Urban Redevelopment Scheme to generate road
  spaces
• Bus services
• Supplementary to subway network inside the
  Yamanote Line
• Providing access for commuters to urban railway
  stations outside the line
• Urban freight
• Freight terminals to prevent inter-city trucks
  from driving into the city
• Smaller and more frequent delivery

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Measures Implemented and their Impacts (III)

• Vehicle-targeted measures
• Tightened emission standards for NOx, HC, and CO
• Poor performance in NOx and SPM
• Relatively lucrative standards for diesel
  vehicles
• Increasing share of diesel vehicles and
  congestion
• Delayed introduction of SPM emission standard
  (1993)
• Legal authority of TMG
• Inspection/maintenance program
• Periodic measurement of vehicular exhaust
  emissions and detection of problems in emission
  control devices
• Road Vehicle Law stipulates qualifications for
  private garages, mechanics, and inspectors.
• Secured the enforcement of vehicle-targeted
  measures

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Implications (I)

• Clear line of authority
• Who does what?
• Overlapping responsibility complicates the
  performance of regulatory work
• National government builds the basic legal and
  regulatory framework, while local governments
  (and public and private enterprises) take larger
  roles in effective implementation and monitoring.
• Consensus building and political will
• Committees and/or consultation to collect various
  views from different interest groups and to
  provide a forum to reconcile conflicting interests

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Implications (II)

• Generating revenue
• Objective transfer of financial resources from
  the national government
• Defined and broad tax base
• Earmarking of taxation
• Corporatization of urban transportation agencies
• Access to various financial resources such as
  FILP and the Social Infrastructure Account

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Implications (III)

• Partnership/collaboration with the private sector
• Citiess pockets are too small for detailed
  intervention.
• Consultation with the automobile industry for
  command-of-control measures such as
  vehicle-targeted measures.
• Facilitation of competitive markets
• Institutionalizing cost sharing scheme in mass
  transit development
• Human resources
• Recruitment, training, personnel exchanges
  between the national and local government

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Urbaizaion and Motorization in Tokyo (I)

• Monopolar concentration
• 10 of Japans population and a sixth of national
  value added with 0.6 of land
• Changes in travel patterns
• Increasing number of commuters
• Motorization
• Vehicle ownership quadrupled between 1960 and
  1970.
• Urban transportation and air pollution impacts at
  a glance
• A major part of passenger transportation demand
  has been met by mass transit.
• Tokyo still faces vehicular air pollution
  problems (NOx and SPM).