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Topics:[Report] #41 Sustainable City - A sustainable society can be realized! (2008.09.02)
 
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#11   Car Sharing in Yokohama & Fukuoka:
  Seeking a happy lifestyle for everyone
 

Reporter: Akihiko Kotera

"Sharing" has become a notable new trend. For example, "room sharing," renting an apartment together with someone, is popular among young people as a frugal lifestyle that reduces a person's rent and utility bills. "Job sharing" is a way of working that allows a person to maintain employment by sharing work hours and salary with another person. Whether in housing or work, the common theme of "sharing" is the reduction of waste and the effectively using only the necessary amount of money. Have you heard of a similar term, "car sharing?" I went to Fukuoka and Yokohama to learn about this new idea.

 
CONTENTS
1. Switzerland: Automobiles that Promote Public Transportation
2. Fukuoka: NPO businesses are changing the region
# NPO Originated Car Sharing
# Strategy to bring out the characteristics of the region
# Considering urban planning for the next several decades
3. Using IT to spread a community business throughout the country
# Simple application process with IC Cards,
   no gasoline with electric automobiles
# The Spread of a New Business Model
# If one in a hundred change...the importance of test driving

* In Conclusion



  1. Switzerland:
  Automobiles that Promote Public Transportation

  Car sharing, defined as the "common use of a car by a membership organization," is not a new idea.
Sharing the use of an expensive car among several people has been going on for quite a while. For example, many companies have a "company car" that is shared by its employees. According to some statistics, the actual time that privately owned automobiles are moving in the city is less than one hour a day on average. Many cars simply sit in a garage. Isn't that a waste? From this type of thinking the idea of "sharing" was born.
Car sharing began in Switzerland in 1987. About 30 people who wanted the use of a car but didn't feel that its usage would justify the expense, pooled their resources and bought two cars. This event is said to be the birth of the sharing idea. Since then, the idea has spread all over Switzerland as a cooperative movement. In 1997, Mobility CarSharing Switzerland was formed as an umbrella corporation for these organizations.
Sharing with Mobility Cars

At present, there are 980 stations, lots where cars are borrowed from and returned to, located near train stations and residential areas throughout Switzerland. There are about 54,000 members sharing these cars.
Stations that are spreading all over Switzerland

Some very interesting statistics have since come from Switzerland.

Members who participate in car sharing, and have disposed of their private cars, reduce their car use by 6,700 km per year.
Furthermore, use of public transportation and bicycles has increased by about 4,000 km. In other words, car sharing promotes the use of buses and trains.
One reason car sharing has spread in Switzerland is that the public transportation system is very well developed throughout the country. The train system governed by the federal railroad stretches like a net over the entire country. In the city, urban transportation such as street cars and buses are important forms of transportation for the residents.

City Street Car in Zurich

During its expansion throughout the country, Mobility has effectively cooperated with public transportation agencies. For example, Mobility and the Swiss Federal Railroad established a company, Rail Link, in 2001. Rail Link offers rail passengers the convenience of car sharing by maintaining parking lots at more than 50 domestic train stations.

In addition, the Zurich Traffic Bureau offers a IC Card that can be used both as a pass for streetcars and as a membership card for car sharing. Members can share economically. In other words, through this system of sharing, cars used for personal purposes will become a part of the public transportation system.

Mobility (German and French only)
http://www.mobility.ch/

Rail Link
http://mct.sbb.ch/mct/en/reisemarkt/services/
mobilitaet.htm


Car Sharing Network North America (Links to sharing sites all over the world)
http://www.carsharing.net/


Rail Link uses Daimler-Benz smart cars.

Station next to City Streetcar

IC Card
Photographs: JETRO
http://www.jetro.go.jp/



  2. Fukuoka: NPO businesses are changing the region

# NPO Originated Car Sharing

  Car Sharing in Japan is still in its infancy. The Citizen's Recycling Movement of Western Japan, a citizens group in Fukuoka, became interested in and started a study group for car sharing in March 2001. Questions such as "Is car sharing effective as environmental policy" and "Is it possible to make it a business?" were discussed with Fukuoka city and Kyushu Electric. The next year, the group received aid in the form of 30 electric cars and began to make earnest preparations for starting a business.
The main point is that a non-profit organization, not a corporation, established this business. Because a citizens group founded this business, the organizational structure is similar to the European cooperatives and the focus is on nature. Here, we can say that becoming involved in Car Sharing will be connected to becoming a member of an NPO.
Members receive information about study groups on environmental problems and automobile use and can also participate on a mailing list for information exchange.
A legal entity was established, a system initiated, and operations began in earnest in April 2003, launching the first citizen-owned Car Sharing business in Japan

The inventory includes a single-person electric car* and an 8-passenger Toyota Estima* among the six types of environmentally-considerate electric and hybrid cars. Membership fees for a private member are 10,000 yen per year, plus specific use fees. For example, a Toyota Prius (5-passenger) carries a 600 yen/hour use fee. In comparison, a privately owned 1500 cc class automobile will incur fees of about 50,000 yen per month, which includes loans, parking rental, insurance, and maintenance. Gasoline costs add even more expense. If this car is used about one hour a day, or 30 hours a month, then car sharing represents a savings of over half of this amount, costing only about 20,000 yen.
a single-person electric car*

8-passenger Toyota Estima*



  # Strategy to bring out the characteristics of the region

  The scale of this NPO backed car sharing network is currently 4 stations, about 20 cars, and 130 members. They are targeting residential and business areas and transportation terminals. The first station was established in cooperation with an organization working to revitalize the neighborhood.
Station in a Residential Area

The group's leader, Mr. Koike commented, "I knew that business would be difficult at first, so I wanted to establish a base where I could secure members."
"Additionally, the percentage of members who want to invest in a environmental business or want to try out an electric car is not very high. A healthy business must operate on the usage fees. We had requests from our members for a Toyota Estima to use on the weekends or to take family outings to the hot springs, but for some reason it isn't used very much, even though a two day/one night rental is only 15,000 yen, which is a better deal than renting a car. So, without a precedent to guide us, we're learning by trial and error."

Mr. Koike speaking as he points at a map of Fukuoka
The second station is near a JR train station; the third station is in a residential area with a lot of offices; and the fourth station is in the business district near the center of town. Future stations are planned on the border with downtown Fukuoka. "We're envisioning a "Park & Ride" system where members can use public transportation downtown where traffic is congested and then use car sharing to get into the rural areas. Travel times will be shorter and there would be no loss in convenience."
Station in front of the train station

"For car sharing to succeed in a regional city like Fukuoka, the main point is the balance between a Park & Ride system that has cars available at various terminals and a "convenience store" system that has cars available every 500 meters so members can use the cars anytime. If we can succeed in Fukuoka, we can use this know-how in regional cities throughout the country."



  # Considering urban planning for the next several decades

  The current concern is about how to increase membership. "Right now, because Kyushu Electric and Fukuoka city are supplying cars, we have a little lee-way in doing business. Going a little further, we can say that this has been a good experience. We have to increase usage rates in order to reasonably maintain car sharing as a business and as a method for preventing global warming. If usage is low, then operation costs cannot be recovered. But if there is too much use, then cars may be unavailable when someone wants to use one. Therefore, a balance must be reached by having the appropriate number of cars at the transportation terminals and more cars in residential areas in order to increase use. At the current per member usage rates, we need about a threefold increase in membership for the business to turn a profit."
For the present, the group plans to continue test drive parties and to promote the business by introducing car sharing to more people. "We've been in the papers and on TV a lot, so I think people have heard the term. But people are a little insecure about giving up their cars and turning to sharing. People are concerned about whether they'll be able to use the car when they want to and whether the car they borrow will be clean. Even in Switzerland, it's said that it took three years for car sharing to catch on; I also think that continuing for three years will be important. The system will stabilize, stations will be nearby, and it will be comparatively convenient. When you can't reserve a car, you can take a taxi or use a rental car if you're going far. That would be the most economic. If these things happen, I think more people will give up their cars when their next car inspection comes up."
Mr. Koike, the representative for the Citizen's Recycling Movement of Western Japan, views car sharing as a tool to get people involved in environmental issues, much the same as with wind power.
"I believe that it is a problem that our cities are being planned around cars. But just complaining about it will get nothing done. The goal is "a city where you don't need to use a car." Of course, it will take 30 or 40 years to accomplish this. I think that the business of car sharing can take us there. We are going to make the car sharing industry in Fukuoka a successful example of NPO, corporate, and government involvement. By doing so, car sharing will spread to Sendai, Sapporo, Hiroshima, and other cities throughout the country and help solve the global warming problem. I hope that this is the beginning of a movement."
Wind Power is used to recharge the automobiles

Citizen's Recycling Movement of Western Japan (Japanese only)
http://www.kurukuru.net/
Car Sharing Network (non-profit organization) (Japanese only)
dissolution of a corporation in 2006
http://www.kurukuru.net/csn-17.html
MAZDA Car Rental Corporation inherit the business (Japanese only)
http://www.cs24.jp/



  3. Using IT to spread a community business throughout the country

# Simple application process with IC Cards, no gasoline with electric automobiles

 
"Yokohama has a lot of 'Firsts in Japan,' but it is also where car sharing originated." says Mr. Takayama of CEV Sharing Corporation. CEV is a company that was established to continue the national experiment in car sharing that began in 1999. Business began in April of 2002, and currently there are 8 stations with 24 electric automobiles for 400 members. I visited the management center in Yokohama to experience this car sharing.

Mr. Takayama of CEV Sharing Corporation

The procedure for sharing is extremely simple. When a new member joins, he is issued an IC Card after verification of his driver's license and a method of payment is set up. First, the station and car type that the member wants to use is specified on the internet or with a cellular phone (i Mode). Reservations can be made while checking out the availability on screen* . Of course, reservations can also be made by calling the management center. Cars can be reserved in 15-minute blocks, and if there are no reservations, a reservation can be made just before use, or current use can be extended. To pick up the car, the member goes to the station and holds up his IC Card to the card reader* for the car, and the locks open. The member unplugs the car from the recharging unit*, removes the key from the glove box*. and starts out. The member returns the car to the station within the reserved time period, returns the key, locks the car with the IC card, and then reconnects the recharging unit.
The membership number entry and the record of use is all performed by the On-Board Unit*. The system is very easy to use and those who imagine a rental car-type system will find that this is not the case; there is very little difference from using a privately-owned vehicle. The only concern among members was that there were only electric automobiles. "Because we picked up where the national experiment left off, we only have two-passenger and four-passenger electric automobiles. Actually, although it would be more economical to have less expensive compact cars, the electric cars can reach speeds of 100 km/hr and can drive on the highways. They can also make a 70 km roundtrip without needing a recharge. In fact, a lot of people may enjoy that there is no charge for gasoline."

checking out the availability
on screen*


hold up IC Card to
the card reader*


unplug the car from
the recharging unit*


remove the key from
the glove box*


On-Board Unit*



  # The Spread of a New Business Model

  Mr. Takayama is not targeting business in Yokohama alone. "I'd like to offer this system to anyone who wants to start Car Sharing in Tokyo, Osaka, or a regional city. Of course, it is a method that we are promoting, but ultimately car sharing is managed by the community. I think that it is essential that each region build and maintain morale."

CEV Image of a Sharing Business

To begin car sharing, a parking lot to use as a station must be secured, a sufficient number of members must be gathered, and cars to be shared must be purchased or leased. The hurdles are by no means low, but people are voicing interest in sharing throughout the country. The mailing list, (in Japanese) in which both Mr. Koike and Takayama participate, has many requests from people asking how to start sharing in their towns and also contains lively discussions and information exchange on the subject. "It is difficult for non-profits to start up car sharing in Japan as compared to those in Europe. There is still no investment in venture projects of this nature. But, if there are cars and a management center that can use the internet, new investors can be attracted through the use of our system. As long as there is moderate use, success will be quite possible. For example, if a corporation supplied the cars and made contracts as a legal corporate identity with liability, then we can consider a model where a non profit manages an office."
Behind this interest in car sharing is not only an increased environmental awareness of the environment but also technological progress, in particular the progress of IT. "Because the cars are equipped with GPS, we can determine where they are directly from the management center. Even details such as how much power is left or whether the doors are locked can be obtained from the On-Board Unit via NTT Docomo's Dopa communication system. If a member goes too far and can't return, a warning sounds, or if a member tries to use the car illegally, the car is monitored and the activity will be discovered shortly. Because of this system, all operations can proceed with little effort. The IC card uses the same method as the SUICA private card used by JR West Japan. And just like in Switzerland, we'd like to eventually be able to use this one card for both car sharing and public transportation."




  # If one in a hundred change...the importance of test driving

  "Traffic congestion begins when traffic volumes are a mere 1-2% over capacity. Even in Switzerland, said to be the most advanced in car sharing efforts, there are, at most, 1% of the population using car sharing, a definite minority. But that minority reduces car use by 1-2% through the use of car sharing, and can dramatically reduce traffic congestion. There is no need to make sacrifices; there is no need to have a high environmental consciousness. A small handful of people started car sharing because it was profitable and convenient. That is enough for people to be happy."
Mr. Takayama, a passionate speaker, is concerned with raising awareness. "It is often said that the Japanese have a strong sense of ownership and that it might be difficult to foster a sense of joint ownership. In particular, the car is considered a private castle and would be very difficult to let go. Although this certainly is one side of the issue, I have come to see the other side. The accident rate is low, and everyone uses the cars cleanly. That is to say that when there is a chance that you will use the car again, you naturally adopt a sense of joint ownership. So, I just want people to try this out. It is important that people feel that this system is more convenient and useful than they first thought. Membership is not growing rapidly, but it is growing."
Then Mr. Takayama offered this advice. "Until recently, car sharing has been targeted for business use and use rates dropped off during the weekends and at night. Now, you can use it just about any time. I'd like to suggest car sharing to private members who want to spend some private time in Yokohama. Of course, we also welcome business and corporate use. Even if you don't join, you should try it once. We welcome even those who just want to drive an electric automobile one time."



  * In Conclusion

  It probably seems like it would be difficult to give up a life style based on ownership. But it may be easier than you think. "People who are curious are increasing. But, there is no need for a majority. Even so, there is a good chance that a few people can change the world." This is the message that stands out from the two interviewees. I also thought that I'd search for something to be curious about.



About Akihiko Kotera
Influenced by the Natural Step concept, Mr. Kotera quit his job at a chemical company where he worked for 13 years and started a career as a freelance journalist/coordinator. Interested in social problems focused on the environment, Mr. Kotera writes articles on corporate and local governments both in Japan and overseas in places such as Sweden. In addition, he also gives lectures, runs workshops, and plans eco tours as well as being involved in regional activities.


Story and Photographs: Akihiko Kotera, Free Journalist/Coordinator