A Case Study in Revitalizing Local Economies through Regionally-based CO₂ Reduction Measures

Abstract

This study aims to verify which CO₂ reduction measures are effective for strengthening local regions through the local economy, job creation, etc. First, we assembled practical measures, based on national and regional laws and institutions for reducing CO₂ emissions. We then created two Roadmaps for Aichi prefecture to reduce CO₂ emissions — one based on national measures (RM-1), and one on local measures (RM-2), which together will reduce CO₂ by 40% of 1990 levels by 2030. We estimated the CO₂ emissions and investment amount of each reduction measure by evaluating its introduction capacity. Next, we used a “Model of Local Climate Policy and Economic Analysis” developed in this research project to predict the economic effects in 2030 in Aichi.
As a result, the gross regional product of the RM-2 Roadmap based is predicted to be approximately 7 trillion yen higher than RM-1 in 2030, and the impact on job creation of RM-2 is calculated to be about 60,000 to 90,000 larger than RM-1. The CO₂ reduction measures based on local regions will not only cut CO₂ emissions but also contribute to the resiliency of local regions by stimulating job creation, revitalizing the local economy, and progressing toward a low-carbon society.