Structure and Financial Characteristics of ERECON: Extension and Research Integration

Abstract

The Institute of Environmental Rehabilitation and Conservation’s (ERECON) financial structure highlights its unique position among Japanese NGOs. Since its establishment in 2000 and its transition to a Non-Profit Organization in 2002, ERECON has primarily relied upon grants and donations, with annual revenue exceeding 100 million Japanese Yen (JPY) in both 2018 and 2023. The Japan NGO Center for International Cooperation reports that ERECON operates with 100 - 300 million JPY annually as do 15.9% of the total Japanese international cooperation NGOs. A distinctive characteristic of ERECON is its ability to develop extension programs based on the research outcomes, as seeds for extension, which is rare among NGOs. Since ERECON’s 2013 designation as a MEXT-accredited research institution, ERECON began various Grants-in-Aid for Scientific Research, contributing to extension programs as well as financial diversification. Further unlike most NGOs that depend solely on external activity with its funding, ERECON successfully integrates research outcomes and its outreach, extension program, ensuring financial stability while maintaining its mission related to environmental rehabilitation and rural development. Despite challenges such as limited financial and human resources, ERECON’s financial structure and strategy-balancing traditional NGO funding with research grants-sets it apart in the sector. ERECON’s ability to sustain and expand its financial resources is critical in reinforcing its role as a leading model for Japanese NGOs integrating research outcomes and extension programs for practical development purposes.