Smart Cities CouncilPartner Meeting

The State of the Japanese Smart City Market

President and Chief Executive OfficerMichi Creative City Designers Inc.

Michinaga Kohno

michi@michi-city.com

June 18, 2014, Dallas

Potential for growth and partnerships

http://www.michi-city.com

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Timeline

Next-Generation Energy and Social Systems Demonstration AreasMinistry of Economy, Trade and Industry (METI)

2009

2010

2011

2012

2013

2014

201520162017201820192020

Yokohama City, Toyota City, Kyoto Prefecture (Kansai Science City), Kitakyushu City

“Future City” InitiativeCabinet Office of Japan

Shimokawa Town, Kashiwa City, Yokohama City, Toyama City, Kitakyushu City,Kesen Union of Cities, Kamaishi, Iwanuma, Higashi-Matsushima, Minami-Soma

https://www.kantei.go.jp/jp/singi/tiiki/kankyo/en/index.html

Environment, Aging Society, New Human-Centric Value

Private Sector Mitsui Fudosan (Mitsui Real Estate)

Kashiwa-no-ha Smart City Nihonbashi

Mitsubishi Estate Dai-Maru-Yu (Otemachi, Marunouchi, Yurakucho)

March 11

Tokyo Olympic & Paralympics Games

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Governmental Approaches

Prime MinisterCabinet Office

National Resilience Headquarters(Est. December, 2013)

Ministries

Office for Promotion of Regional Revitalization “Future City” Initiative

Ministry of Economy, Trade and Industry (METI)

Ministry of Land, Infrastructure, Transport and Tourism (MLIT)

New Energy and Industrial Technology Development Organization (NEDO)

Japan Conference on Overseas Development of Eco-Cities (JCODE)

Japan-Russia Council on Urban and Environmental Problems

Japan Smart Community Alliance (JSCA)

Ministerial Conference for Promotion of Infrastructure Export

CentralTokyo

Yokohama

Kashiwa-no-ha

Narita AP

Chiba City

Saitama City

Kamakura

Examples

Yokohama City One of the earliest demonstration projects on

smart grids with the governmental subsidy Granted both “Next-Generation Energy” and

“Future City”

Kashiwa-no-ha Smart City Private project led by a

real estate developer “Smart Center”:

Integrated platform for management of energy, transportation and healthcare

Self-sufficient power supply and “Smart Center” to act as an emergency operation center in case of disaster

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Optimized energy management as a whole cityYokohama City

Yokohama has the double experiences of total devastation during the last 100 years.Great Kanto Earthquake

1923Air-raid 1945

By courtesy of the City of Yokohama

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Smart infrastructure in coalition with numerous infrastructures

Broader choice of energy sources in case of blackout

By courtesy of the City of Yokohama

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Kashiwa-no-ha Smart City

Shopping mallLaLaport Kashiwa-no-ha

Kashiwa-no-ha Campus,Chiba University

Kashiwa-no-ha Park

Park City 2nd TownDistrict 148(under construction)

Kashiwa Campus, University of Tokyo

Park City 1st TownKashiwa-no-ha

Campus Railway Station

*Aerial photo of the site combined with CGIs of 148th Block and Park City 2nd Town

Oak Village

By courtesy of Mitsui Fudosan

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Concept or AEMS-based Smart Grid

BEMSHEMS

BEMS

HEMS

HEMS

AEMS 　（ Area 　 Energy 　

Management System)

Solar power generation

Electric vehicles

Local IndependentPower LineFor Emergency

Electric power

company’s

Power Line

Hotel & residential Building Commercial & office 　Building

Park City 1st Town

Kashiwa-no-ha Smart Center

Storage batteries LaLaport Kashiwa-no-ha(shopping Center)

By courtesy of Mitsui Fudosan

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Key Players

Real Estate Developers Mitsui Fudosan Mitsubishi Estate

Architects and Planners NIKKEN SEKKEI Oriental Consultants

Construction Shimizu Corporation Kajima Corporation

Housing Sekisui House, Ltd. Panasonic Corporation

Rail Tokyu Corporation

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Energy & Utility EnergyAdvance

Subsidiary of Tokyo Gas Swing Corporation Metawater

Technology Conglomerates Hitachi, Ltd. Toshiba Corporation

ICT NEC Corporation

EV Nissan Motor Co. Ltd. Mitsubishi Motors Corp.

Business Cases

US Companies(Tech Solutions)

US Investors

Municipalities of the Tohoku Area of Japan

Case 1

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Case 2

Case 3

Case 4

Devastated areas by the earthquake and Tsunami

Innovative Rehabilitation Plan

Market (Target) Areas

US Companies(Tech Solutions)

US Investors, US RE Developers

JP Companies(Tech Solutions)

Backing by JP Gov.

Southeast Asia, India

US Companies(Tech Solutions)

US Utility FirmsJP Companies

(Tech Solutions)

NEDODomo

Model City in USNEDO

Subsidy

Joint Proposal

JP Companies(Main Contractor)

US Companies(Tech Solutions)

JP RE Developer

TechBack-up

Summary

First-generation “Smart Cites” being completed Kind of cool down and a bit of disappointment among

mayors and municipalities after four years’ enthusiasm “WHAT’S NEXT?” feeling after energy-centric demos

Smart City Market in Japan

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Deployment of solutions developed for demos and first-gen projects, rather than exploring new types of markets

Japan and Southeast Asian countries as main markets

Business Strategies of Japan’s Smart City Industry

Combinations of (1) Technology + Finance [Asia], (2) City + Industry [Japan]

Exposure of US industry at major events “Smart City Week” (October, Yokohama) NIKKEI Smart City Symposium (Four times a year, road shows)

Opportunities for US Smart City Industry

Scenes from 2014 so far

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APEC EWG47 (Kunming, China)Global Cities Summit

(Toronto, Canada)

NIKKEI Smart City Consortium(Tokyo, Japan)

Scenes from 2013

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APEC EWG46 (Da Nang, Vietnam)

STS Forum (Kyoto, Japan)

Meeting of the Minds (Toronto, Canada)

Mega Cites Africa (Johannesburg,

South Africa)Japan-Russia Far East Forum

(Vladivostok, Russia)

Japan-Russia Ministerial Meeting on Urban and Environmental Issues

(Moscow, Russia)