Local governments have traditionally tried
to expand global business in alliance with Japan International CooperationAgency (JICA) through JICA’s technical cooperation programs for foreign
countries. Today, however, several local governments started to take the
initiative in expanding global business. For example, the Tokyo Metropolitan
Government announced three business models to be developed in alliance with a
third sector company Tokyo Suido Services: (1) Independent business, (2) Joint
business with private companies, and (3) Acquisition jointly with private
companies. The government officials already started discussions with private
companies in various industrial fields. Tokyo will get involved in the
management of United Utilities Australia, an Australian water service company
acquired by Mitsubishi Corp. and Innovation Network Corporation of Japan, under
a consulting agreement.
Osaka City Waterworks Bureau is conducting a
feasibility study on the construction of a waterworks system in Ho Chi Minh of
Vietnam with Kansai Economic Federation as a project support by New Energy andIndustrial Technology Development Organization. Yokohama is scheduled to establish
a company intended for the contribution to the development of the water
business both at home and abroad utilizing the know-how it has accumulated. Kawasaki
and Kitakyushu are also considering expanding the water-related business to foreign
countries.
In the days of decreasing population, it is
quite natural that local government gets interested in the water business
abroad. The same is true of the central government. The Japanese government
established a special task force team to assist local governments with their
efforts to expand business globally. The close collaboration between private companies
and the governments, both the central and local, will be inevitable to the
global development of the water business. (To be continued)
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