This is likely to be a watershed year in the government's drive toward decentralization. The challenges are many, including "second-phase" reform of central and local government finances, debate on streamlining the prefectural system (designed to create larger administrative zones), and development of "new towns" following a recent wave of municipal mergers. Prompt action is needed to address more specific problems, such as budget deficits, bloated payrolls and wasteful spending.
Also needed is an overhaul of public services provided exclusively by the central government, prefectural governments and other local administrations (city, town and village halls). This monopoly system should be changed to a community-wide system of public and private collaboration that involves the participation of nonprofit organizations (NPO) and business corporations as well.
These challenges are intertwined, making it essential that the central and local governments take an integrated approach. That may be easier said than done, but without a coordinated strategy, the goal of decentralization -- creating a more efficient system of government -- will likely remain as distant as ever.