In Japan, there has been steady progress in the legal framework for resource recycling since around 2000, which is considered the start of the sound material-cycle society. As a result, there have been some positive results, which include achievement ahead of schedule of a number of the indicators that were established as targets. In recent years, the EU has been promoting new government policies on resource recycling under the name of resource efficiency or the circular economy. This paper provides an overview of these policies in addition to considering the implications for government policies on resource recycling in Japan.

After observing that the direction of economic development amid a declining population lies in further enrichening capital stock per capita, this paper describes an economic perspective that aims for the balanced development of both growth sectors and sustainable sectors. The paper also argues that the introduction of renewable energy can contribute to both Japan’s growth sectors and sustainable sectors. Notwithstanding this, the paper describes how the policies of both central and local governments are inadequate in their current forms.