
The Implications of Population Decline and Fiscal Austerity on Public Nature: Insights From the Evolution of Urban Park Management System in Japan
Xizi XU, Fumihiko SETA, Noriko AKITA, Kai ZHOU
Landsc. Archit. Front. ›› 2024, Vol. 12 ›› Issue (4) : 8-18.
The Implications of Population Decline and Fiscal Austerity on Public Nature: Insights From the Evolution of Urban Park Management System in Japan
Facing challenges of population decline and fiscal austerity, Japan has implemented a series of initiatives to promote public-private partnerships (PPP) to ensure the sustainability of urban parks and revitalize urban spaces. These initiatives, while alleviating the government's financial burdens on parks, have also raised concerns about the potential erosion of publicness and public interests resulted from the commercialization of public assets. This paper reviews the evolution of Japan's urban park management system after World War Ⅱ—including three phases of being purely public goods, initiating marketization, and diversifying management entities. The functions of parks have continuously enriched, and the construction, management, and operational modes have shifted from government-led towards multi-stakeholder participation, along with expanded funding sources. By examining the PPP types, driving forces, implementation mechanisms and challenges in urban park management, this paper points out that, in different eras and social contexts, the Japanese government has kept adjusting its role to maximize public interests. This has proactively updated the implications of publicness in infrastructure like urban parks, from a post-war opposite of publicness versus privateness on ownership, to the participation of private capital for a higher efficiency, and finally to a community for a stronger regional competitiveness. The reforms of urban park management system in Japan offer significant lessons and insights for urban infrastructure management in other countries and regions.
● Proposes that the evolution of Japan's urban park management system has undergone three phases: being purely public goods, initiating marketization, and diversifying management entities
● Analyzes the implementation forms and driving forces of public-private partnership modes in Japan's urban parks
● Discusses how the Japanese government, by continuously adjusting its role over time, maximizes public interests and promotes the contextual transition of the public nature of urban infrastructure
Publicness / Landscape Justice / Public-Private Partnership / "Private Finance Initiative" System for Parks / Urban Parks / Management System / Urban Infrastructure
Tab.1 Development phases of urban park management regime in Japan after World War Ⅱ |
Phase | Period of time | System and regulation | Major changes | Purposes |
---|---|---|---|---|
Being purely public goods | 1956 ~ 1967 | · Urban Park Act | · Establish the law from scratch, requiring that urban parks must comply with the legal provisions in establishment, management, disaster prevention, area occupation, etc.· Reorganize or remove all non-communal facilities according to the legal provisions | · Prevent excessive construction of facilities in urban parks · Transform or demolish illegal facilities |
Initiating marketization | 1968 ~ 1998 | · City Planning Act· Act on Temporary Measures Concerning the Promotion of the Construction of Specific Facilities Through the Participation of Private Enterprises· Urban Park Act (Revised) | · Permit the introduction of recreational, entertainment, sports, and educational facilities into urban parks· Permit to set up shops on the ground and lower floors, or to build urban parks on building roofs· Remove restrictions on the construction area of commercial buildings | · Meet the demands for metropolitan development, as part of the new national overall development plan· Loosen the policies on the construction of park facilities by private enterprises, and promote the participation of private enterprises, NPOs, and individuals into the construction, operation, and maintenance of park facilities to meet regional needs· Entrust specific park facilities projects to private enterprises as much as possible |
Diversifying management entities | 1999 to present | · Act on Promotion of Private Finance Initiative· Designated Manager System· Park-PFI System· Urban Park Renovation Agreement· Urban Park Act (2nd Revised) | · Loosen the policies on catering, accommodation, etc. facilities· Introduce the legal procedure for open recruitment of private enterprises and operation institutions in management, and allow public groups or individuals to bid· Use the profits from commercial facilities in the improvement of the paths and squares around the facilities· Legalize implementation methods, monitoring, forms of public participation, legal accountability, funding sources, and budget management of park facilities | · Entrust the decision right of fund use to private enterprises· Maintain or improve service quality and reduce costs through the innovation and efforts of private enterprises |
Tab.2 Implementation forms of PPP modes |
Form | Interpretation |
---|---|
Privatization | The restructuring of enterprises operated by the central government or local public entities into regular private companies, or the complete transfer of ownership of public services or facilities to private enterprises, emphasizing a full shift to private ownership without direct management by the government |
PFI | Outsourcing the entire process from funding and construction to the management and operation of public services or facilities |
Designated Manager System | Outsourcing the management and operation of public services and facilities to private companies, primarily through two models:1) independent financial management of profitable facilities by private enterprises, and 2) government procurement of services |
Selling public assets to private enterprises | The process that the government or public sector sells its enterprises, services (e.g., water supply, electric power) or assets (e.g., roads, airports) to private companies or individuals, typically undertaken to increase efficiency, raise revenue or reduce the government's burden, in ways of full privatization, partial sales or outsourcing of services |
Tab.3 Specific approaches of PFI |
Approach | Process | Interpretation |
---|---|---|
BTO | Build–Transfer–Operate | The construction of a project is funded by the government, and then the operation is transferred to private enterprises |
BOT | Build–Operate–Transfer | Private enterprises fund the construction of a project and operate it profitably during a franchising period, and then transfer the operation of the project to the government |
BOO | Build–Own–Operate | Private enterprises fund the construction and have the ownership and operation rights during a franchising period |
RO | Rehabilitate–Operate | The government licenses existing facilities to private enterprises for renovation and operation while retaining the ownership; private enterprises are responsible for the renovation and later operation and management |
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