It is essential not only for the policy maker (the government) but also for the private sector, citizens and nonprofit organizations to play their respective roles in realizing a sustainable society.

To be able to manage potential risks rationally, while making the most of the latent benefits of the introduction of a new technology, the government at its policy level, the private sector through its voluntary efforts, consumers through participation and improvement in their literacy, and nonprofit organizations through their policy proposals, should strive to maximize the net benefit to the whole of society. Governance refers to the way in which diverse entities in society manage problems through their participation and decision-making in their respective roles.

In terms of efficiency and fairness, the Sustainability Governance Group (SGG) intends to consider as quantitatively as possible what form the governance of emerging technologies and risks should take to realize a sustainable society. To do this, tools are needed to assess respective activities. SGG aims to develop such tools and put them to practical use.

Specifically, the following are the research themes of the group:

1) Development of core tools for strategic risk governance

Risk events occurring in recent years are characterized by a high possibility of tradeoffs as a result of increasing uncertainty and their globalizing impact. The group is developing the core tools necessary for society to implement governance that can cope with this characteristic.
Example 1: Formulation of a strategic risk assessment framework to allow social acceptance of engineered nanomaterials
Example 2: Formulation of a framework for analyzing risk tradeoffs involving substance substitutions for detergents and plastic additives
Example 3: Development of a method for estimating the global flow of a heavy metal (lead) through economic activity

2) Development and application of a new method for preference elicitation from citizens and consumers

The group is developing a method for revealing preferences using Internet blogs and search results and various market data in addition to conventional preference surveys based on questionnaires and group interviews. It has developed a method for stated preference surveys designed to estimate people’s altruistic preferences using the results of questionnaire-based Internet surveys and to figure out discount rates.

3) Exploration of alternative environmental policies and measures and development of a method for their evaluation

The group is exploring the possibility of developing various alternative environmental policies as well as measures and methods that will substitute or complement mainstream environmental policies and measures such as direct environmental regulations, including the establishment of environmental standards and economic measures such as environmental taxes and emissions trading. It is also developing a method for evaluating these environmental policies and measures.

Example 1) Evaluation of mandatory reporting of environmental information and voluntary environmental efforts through industry groups as alternative environmental policies
Example 2) Development of a method for reducing environmental impact through assessment of the environmental performance of financial products
Example 3) Incorporation of various policy assessment methods, including regulatory impact assessments (RIAs), into decision-making processes
Example 4) Development of a method for assessing economic activities at the municipality level from the viewpoint of sustainability