{"id":23436,"date":"2026-05-21T16:21:07","date_gmt":"2026-05-21T07:21:07","guid":{"rendered":"https:\/\/www.waseda.jp\/inst\/cro\/?p=23436"},"modified":"2026-05-29T12:14:55","modified_gmt":"2026-05-29T03:14:55","slug":"%e5%85%88%e7%ab%af%e6%8a%80%e8%a1%93%e3%81%ae%e6%b3%95%e3%83%bb%e5%80%ab%e7%90%86%e7%a0%94%e7%a9%b6%e6%89%80%ef%bc%8fsustainable-technology-and-law-institute-2-2-2-3-3-2-3-3-3-2","status":"publish","type":"post","link":"https:\/\/www.waseda.jp\/inst\/cro\/news-en\/2026\/05\/21\/23436\/","title":{"rendered":"A Quick Visit to the Research Institute for Environmental Economics and Management"},"content":{"rendered":"<h1>An empirical research project with the goal of balancing the &#8220;environment and economy&#8221;<\/h1>\n<p>Environment and economy are not necessarily in conflict; a harmonious relationship can be sustained through the creation of social systems. Nearly 40 years ago, an economist who was inspired by a university lecture to pursue academic research is now, as the whole world searches for a way to achieve carbon neutrality, embarking on empirical research on &#8220;carbon pricing&#8221; with the conviction that his former aspirations will become a reality. Read on to learn more about the multifaceted appeal of environmental economics and management research, including the life story of Director <span data-olk-copy-source=\"MessageBody\"> Toshi H. Arimura.<\/span><span class=\"EOP SCXW208284332 BCX8\" data-ccp-props=\"{&quot;134245417&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\n<h4>\u25c6<strong>Interdisciplinary research aiming for evidence-based policy recommendations<\/strong><\/h4>\n<div id=\"attachment_23365\" class=\"wp-caption alignright\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-23365\" src=\"https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-01-610x463.jpg\" alt=\"\" width=\"369\" height=\"280\" srcset=\"https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-01-610x463.jpg 610w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-01-940x714.jpg 940w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-01-768x583.jpg 768w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-01-1536x1166.jpg 1536w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-01-2048x1555.jpg 2048w\" sizes=\"auto, (max-width: 369px) 100vw, 369px\" \/><p class=\"wp-caption-text\">Toshi H. Arimura, Director<\/p><\/div>\n<p><span data-contrast=\"auto\">\u2500\u2500<strong>The Research Institute for Environmental Economics and Management was established in 2016, the year after the SDGs (Sustainable Development Goals) were adopted at the UN General Assembly. What was the background to its establishment?<\/strong><\/span><\/p>\n<p>Our research activities had actually begun long before that, but it was established as part of the Waseda University Research Initiatives, an organization that brings together researchers across academic disciplines to address social issues facing Japan and the world. That was in 2016.<\/p>\n<p>Environmental economics, simply put, is the study of finding ways to continue economic development while reducing environmental impact, but it requires an interdisciplinary approach. For example, in the EU, a system called Carbon Border Adjustment Mechanism (CBAM)\u00a0, which imposes carbon pricing on imports such as aluminum and steel under certain conditions, is scheduled to be gradually introduced from 2026. Analyzing the impact of this on the trade economy falls within the realm of economics but questioning its validity in relation to international frameworks that promote free trade, such as the WTO (World Trade Organization), requires legal analysis. Furthermore, developing products that comply with such environmental regulations requires an engineering approach, and since it directly impacts a company&#8217;s management strategy, knowledge of management studies is naturally indispensable.<\/p>\n<p>Despite being a multifaceted field of study with many related experts within Waseda University, the barrier of organizational independence meant that sufficient collaboration wasn&#8217;t always achieved. Therefore, we decided to establish this research institute as a hub where diverse researchers could gather, and not just within Waseda, but also connecting with universities and academic institutions both domestically and internationally.<span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">\u2500\u2500<strong>The University Research Initiatives completed its role in 2020 and was reorganized into the current Comprehensive Research Organization. At that time, the Research Institute for Environmental Economics and Management was re-established as a member of the Project Research Institutes, correct?<\/strong><\/span><\/p>\n<p>Yes. At that time, another characteristic of this institute, alongside its interdisciplinary nature, was carried over: the fundamental stance of conducting quantitative analysis based on data and making policy recommendations based on the evidence obtained. It may be hard to imagine now, given that data analysis is indispensable in every field, but just over <span data-olk-copy-source=\"MessageBody\"> two decades ago<\/span>, theory was considered paramount in many disciplines, including economics. We, the members, were strongly motivated to bring a breath of fresh air with policy recommendations based on empirical data.<\/p>\n<p>In fact, in the world of government, the importance of EBPM (Evidence-Based Policy Making) has been emphasized for some time now, and it is being put into practice in the environmental and energy sectors. As one of the scholars who has pursued this, I find it deeply moving.<\/p>\n<p><span data-contrast=\"auto\">\u25c6<\/span><strong>Five projects that balance economic activity and environmental conservation<\/strong><\/p>\n<p><span data-contrast=\"auto\">\u2500\u2500<strong>Under that policy, what specific research themes are currently underway?<\/strong><\/span><\/p>\n<p>Broadly speaking, there are five main projects: 1) Energy Conservation, 2) Carbon Pricing, 3) Developing Countries, 4) Businesses, and 5) Policy and Technology Acceptance.<\/p>\n<p>1) In the Energy Conservation project, we use social experiments and surveys to clarify the factors that drive individual energy-saving behaviors, such as purchasing energy-saving products. This includes not only the price of products, but also the so-called peer effect and the examination of social norms, which are influenced by the surrounding environment and behavior. For example, the research group of Professor Hajime Katayama ( Faculty of Commerce), who is in charge of this theme, received high praise from a top US journal for their research on energy-saving behaviors related to the setting temperature of heating and cooling systems.<\/p>\n<p>2) In the Carbon Pricing project, we empirically study the effects of carbon pricing, such as carbon taxes and CO\u2082 emissions trading. This is the idea of \u200b\u200bimposing a fee on organizations that emit a lot of carbon through manufacturing processes, electricity consumption, etc., not only companies but also educational institutions such as universities. An upper limit on emissions is set, and emission allowances are bought and sold between organizations that meet the limit and those that do not. That is emissions trading. This will examine how organizational behavior changes and what effect it has on climate change countermeasures.<\/p>\n<p>Project 3)focuses on researching climate change countermeasures and energy-saving behaviors based on the circumstances of developing countries. For example, in rural areas of India and Bhutan, indoor air pollution is a major problem because some areas use firewood or cow dung to start fires inside their homes. How can we communicate this danger and lead to behavioral changes and energy transitions? Also, in the Philippines, air conditioners are becoming more widespread in line with rapid economic growth, but how can we encourage more people to buy energy-efficient products? These are some of the research themes.<\/p>\n<p>Given that economic activity is a major cause of climate change, 4) efforts by companies to reduce their environmental impact are also an important theme. In Japan, in October 2020, Prime Minister Yoshihide Suga declared the goal of achieving carbon neutrality and aiming for net-zero greenhouse gas emissions by 2050. This spurred increased action by companies and governments toward climate change countermeasures, and responses to the TCFD (Task Force on Climate-related Financial Disclosures) accelerated. So, how can companies actually reduce their environmental impact through their activities?<\/p>\n<p>Because there are many different cases, data-driven company research is essential. In order to translate the results of this diverse research into policy recommendations and technological innovation, it is also important to verify how well those policies and technologies will be accepted by the public. What kind of systems and technologies are more readily accepted? In project 5), we are conducting collaborative research in partnership with academic institutions overseas.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-23366 aligncenter\" src=\"https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-02-610x426.jpg\" alt=\"\" width=\"361\" height=\"252\" srcset=\"https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-02-610x426.jpg 610w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-02-940x656.jpg 940w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-02-768x536.jpg 768w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-02-1536x1073.jpg 1536w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-02-2048x1430.jpg 2048w\" sizes=\"auto, (max-width: 361px) 100vw, 361px\" \/><\/p>\n<p><span data-contrast=\"auto\">\u25c6<\/span><strong>Addressing environmental problems through the creation of carbon pricing mechanisms.<\/strong><\/p>\n<p><span data-contrast=\"auto\">\u2500\u2500<strong>Professor Arimura, your research focuses primarily on carbon pricing. What sparked your interest in this field?<\/strong><\/span><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\n<p>It started during my student days. Rather than carbon pricing itself, I was interested in emissions trading. It was around the end of the 1980s, I believe, when I attended a lecture by Professor Tsuneyuki Morita, a researcher at the National Institute for Environmental Studies who later made significant contributions to climate change research. I found it incredibly interesting. At that time, there was a deeply ingrained image in society that environmental conservation and economic development were in conflict. I was drawn to the completely opposite idea of \u200b\u200busing economic mechanisms to solve environmental problems. So, I changed my career path from journalist to academic. After graduation, I went on to graduate school and earned my doctorate from the University of Minnesota in the United States. My thesis topic was sulfur dioxide (SO\u2082) emissions trading.<\/p>\n<p>At that time, acid rain was a bigger issue than global warming, and deforestation in the United States and Canada was a major social problem. This system was beginning to be used to reduce SO\u2082 emissions from coal-fired power plants and other sources that cause these problems. I wanted to clarify its effectiveness based on empirical data. While I was writing my doctoral dissertation in 1997, the Kyoto Protocol, adopted at COP3 (the 3rd Conference of the Parties to the United Nations Framework Convention on Climate Change) held in Kyoto, included a CO\u2082 emissions trading scheme. Times certainly change quickly.<\/p>\n<p><span data-contrast=\"auto\">\u2500\u2500<\/span><strong>Wasn&#8217;t this a very timely research topic that attracted a lot of attention?<\/strong><\/p>\n<p>However, the emissions trading scheme didn&#8217;t progress much in Japan afterward. The Japanese government was the first in the international community to advocate for its necessity. Therefore, we decided to take an approach of first investigating and analyzing the cases of Tokyo and Saitama prefectures, which were pioneers at the local government level, to clarify the economic impact and use that to make policy recommendations to the national government.<\/p>\n<p>The progress of emissions trading in Tokyo and Saitama was likely due in part to the fact that there were fewer power plants and steel mills that use large amounts of fossil fuels, resulting in relatively weaker resistance from companies. With government support, our research demonstrated with data that emissions trading is effective in reducing CO\u2082 emissions from businesses. Even more interestingly, we found that many companies that achieved emissions reductions in Tokyo and Saitama were achieving similar results at their facilities in other regions.<\/p>\n<p>While there are concerns about carbon leakage\u2014the relocation of carbon-emitting production facilities from areas with strict carbon emission regulations to areas with more lenient regulations\u2014this research demonstrated that this is not necessarily the case. Further research and analysis are needed to understand why this behavioral change occurs, but we believe it offers business advantages in environmental compliance and may lead to new business opportunities.<\/p>\n<p>\u25c6<strong>Policy recommendations and the challenges that lie beyond to their social implementation.<\/strong><\/p>\n<p><span data-contrast=\"auto\">\u2500\u2500<\/span><\/p>\n<p><strong>From fiscal year 2026, the Japanese government&#8217;s Green Transformation-Emissions \u00a0Trading System (GX-ETS) will enter its full-scale operational phase. This can be considered a result of the policy advocacy activities to date.<\/strong><\/p>\n<p>I believe there has certainly been a significant tailwind since the carbon neutrality declaration in 2020. Over the past few years, we have received external funding, including research grants from the Ministry of the Environment and joint research with companies, enabling us to advance various empirical studies. Furthermore, I consider myself fortunate to have witnessed firsthand the progress of the social implementation of emissions trading while serving on <span data-olk-copy-source=\"MessageBody\">the national <\/span>government and local government advisory committees related to carbon pricing.<\/p>\n<p>As for the institute&#8217;s achievements, a major achievement is our ability to communicate the significance of empirical research and the importance of evidence-based policy recommendations through various publications, including &#8220;Frontiers of Environmental Economics&#8221; (Nihon Hyoronsha), published in Japanese in 2017 with Professor Katayama (mentioned above) and the adjunct researcher Shigeru Matsumoto (Professor, the College of\u00a0 Economics, Aoyama Gakuin University).<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-23363 alignright\" src=\"https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-03-610x452.jpg\" alt=\"\" width=\"362\" height=\"268\" srcset=\"https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-03-610x452.jpg 610w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-03-940x696.jpg 940w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-03-768x569.jpg 768w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-03-1536x1137.jpg 1536w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-03-2048x1517.jpg 2048w\" sizes=\"auto, (max-width: 362px) 100vw, 362px\" \/><\/p>\n<p>In 2021, we received the Society for Environmental Economics and Policy Studies (SEEPS) Commentary Award for our English-language book, &#8220;Carbon Pricing in Japan,&#8221; which summarized the results of a project by myself, Professor Matsumoto, and Professor Ayu Washizu (Faculty of Social Sciences). The following year, with the cooperation of Professor Washizu, invited researcher Professor Makoto Sugino ( Faculty of Sustainability Studies,\u00a0 Hosei University), and many other interdisciplinary researchers, we published &#8220;Frontiers of Carbon Pricing&#8221;.<\/p>\n<p><span data-contrast=\"auto\">\u2500\u2500<\/span><strong>The Project Research Institute has entered its second term (2026-2030). What projects will you be focusing on?<\/strong><\/p>\n<p>It&#8217;s very difficult to narrow it down as there are so many, but one new development is our efforts toward the social implementation of CCS (Carbon dioxide Capture and Storage). CCS is a technology that separates, captures, and stores CO\u2082 emitted from coal-fired power plants and other sources before it is released into the atmosphere and buries it deep underground. Renewable energy is attracting global attention as a transitional measure for its widespread adoption, and I have just started research on the international mechanisms, including financing, for this purpose, together with Professor Washizu and Professor Takao Nakagaki (Faculty of Science and Engineering). Please look forward to it.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-23364 aligncenter\" src=\"https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-04-610x915.jpg\" alt=\"\" width=\"386\" height=\"579\" srcset=\"https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-04-610x915.jpg 610w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-04-940x1410.jpg 940w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-04-768x1152.jpg 768w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-04-1024x1536.jpg 1024w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-04-1365x2048.jpg 1365w, https:\/\/www.waseda.jp\/inst\/cro\/assets\/uploads\/2026\/05\/CX-04-scaled.jpg 1707w\" sizes=\"auto, (max-width: 386px) 100vw, 386px\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>An empirical research project with the goal of balancing the &#8220;environment and economy&#8221; Environment [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":23385,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[95],"tags":[183,94,76,73],"class_list":["post-23436","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-en","tag-2026-en","tag-general-en","tag-outreach-en","tag-research-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/posts\/23436","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/comments?post=23436"}],"version-history":[{"count":3,"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/posts\/23436\/revisions"}],"predecessor-version":[{"id":23472,"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/posts\/23436\/revisions\/23472"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/media\/23385"}],"wp:attachment":[{"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/media?parent=23436"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/categories?post=23436"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.waseda.jp\/inst\/cro\/wp-json\/wp\/v2\/tags?post=23436"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}