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3.141. (...) the revised Corporate Governance Code (2021CGC) (...) encourages listed companies to enhance governance for their sustainable growth and mid- to long-term corporate value improvement. The 2021CGC stresses, inter alia, (i) enhancing board independence; (ii) promoting diversity; and (iii) paying attention to sustainability and the Environmental, Social and Governance (ESG) aspect of investment.

3.157. Japan maintains a government procurement policy to promote environmental protection. During the review period, two revisions of the Basic Policy on Promoting Green Procurement (the implementation rules concerning the Green Procurement Act[157]) were notified to the WTO Committee on Government Procurement.[158] The implementation rules concerning the Green Contract Act[159], namely the Basic Policy for the Promotion of Contracts considering Reduction of Emissions of Greenhouse Gases and Others by Government Entities and Independent Administrative Agencies, etc., were also revised in February 2022.[160] Major changes include adding the 2050 Carbon Neutrality Declaration and the 2030 Greenhouse Gas Emission Reduction Target (reduced by 46% from its 2013 level), updating the status of climate change and global warming issues, and revising the government action plan.
[157] Green Procurement Act. Viewed at: https://www.japaneselawtranslation.go.jp/en/laws/view/2719.
[158] WTO documents GPA/LEGIS/JPN/3, 25 January 2021; and GPA/LEGIS/JPN/4, 15 April 2021. The last revision as of February 2022 strengthened the standards for recycled plastics and biomass plastics and added three new items: cassette for tape printer, tape for tape printer, and faucets. Ministry of the Environment, Basic Policy on Promoting Green Procurement (Provisional Translation). Viewed at: http://www.env.go.jp/policy/hozen/green/g-law/archive/bp/r3bp_en.pdf.
[159] Green Contract Act. Viewed at: https://www.japaneselawtranslation.go.jp/en/laws/view/2726.
[160] Basic Policy on Green Contracts (February 2022). Viewed at: http://www.env.go.jp/policy/ga/kihonhoushin.html.

3.161. (...) In addition, a number of GPA-plus provisions, including mandatory publication of procurement notices by electronic means and requirements regarding the application of environmentally friendly technical specifications and environmental conditions for contract performance, are included in the Japan-UK CEPA[Japan-UK Comprehensive Economic Partnership Agreement].

3.164. (...) Japan's Intellectual Property Strategic Program 2021 identified an "imminent need to radically strengthen Japan's IP strategy activities" to boost competitiveness and address a variety of social issues. According to the Government, these priorities were set with the intention of positioning Japan to leverage and demonstrate its innovation capacity amid a global race for economic and social transformation based on digitalization and green policies. (...)

3.167. (...) Japan's national scheme for scientific research and technology development is governed by five-year Science, Technology, and Innovation Basic Plans (...). The 6th Basic Plan (...) also calls for the promotion of public-private partnerships in fields where the Government has existing sectoral strategies: AI, biotechnology, quantum technology, and materials, to be applied in the fields of environment and energy, (...)

3.175. (...) It also supports the development of WIPO-CASE global dossier information sharing system and became a partner of WIPO GREEN in 2020. (...)

3.188. Accelerated and super-accelerated examination programmes reduced average FA [First action] pendency for qualifying applications. Accelerated examination is available upon request for applications that, inter alia, are (...)or (iv) for environmental-related technologies that save energy and contribute to CO2 reduction.(...)

3.228. (...) exemptions from surcharges will be available for right holders who miss fee deadlines during predetermined periods due to the COVID-19 pandemic, a natural disaster, or other similar reason.

4.20. During the review period, the Government launched a Strategy for Sustainable Food System, MeaDRI (Measures for Achievement of Decarbonization and Resilience with Innovation) in May 2021, and the Act on Sustainable Food System, MeaDRI entered into force in July 2022. Under the Act, Japan aims to transform its agricultural production system to respond to climate change and decreasing biological diversity by reducing environmental loads including through the reduced use of fossil fuels and chemical pesticide/fertilizer as well as through the use of smart technology. (...) The authorities consider that, in order to achieve the MeaDRI's key performance indicators, it is essential to introduce promising new technologies, such as an integrated pest management, soil data management, and resource recovery from waste.

4.23. (...)The total area of 82,000 ha was estimated to receive direct payments for environmentally friendly agriculture of JPY 2.5 billion in FY2021. (...)The direct payments for activities to enhance multi-functionality, under which unit prices depend on the type of land use and activity, to conserve or improve local resources, (...)