Sustainable Development

Preserving local railways can foster sustainability in Japan. These case studies show how

Two trains travelling down parallel tracks in Hakone, Kanagawa, Japan: Local railways connect communities in Japan and help residents carry out their lives.

Local railways connect communities in Japan and help residents carry out their lives. Image: Unsplash/Weiqi Xiong

Naoko Tochibayashi
Communications Lead, Japan, World Economic Forum
Mizuho Ota
Writer, Forum Agenda
  • Local railways in Japan are not just a mode of transportation but are vital for connecting communities, supporting daily activities of residents and contributing to regional sustainability.
  • Railways have a significantly smaller carbon footprint compared to other transportation options. Closing local rail lines could lead to increased car usage and higher carbon emissions.
  • Examples like the Isumi Railway demonstrate that local railways can be revitalized through tourism initiatives, such as sightseeing trains.

Railways remain one of the most important means of transportation. In Japan, the railway network spans approximately 27,000 kilometres, about two-thirds of the Earth’s circumference, serving over 21 billion passengers in 2022. However, railways, particularly in rural areas, face significant challenges due to a declining birthrate, an ageing population and the increasing use of private cars.

In August 2023, Japan’s Ministry of Land, Infrastructure, Transport and Tourism (MLIT) announced the prioritization of discussions around the future viability of railway lines with less than 1,000 daily users per kilometre. Decision-making will be based on “transport density,” which measures the average number of daily passengers per kilometre to gauge the operational efficiency of the railway. Currently, 90 rail sections across Japan meet this threshold, some with a revenue-to-expense ratio as low as 0.5% and annual deficits approaching JPY 300 million.

Closing a railway line not only deprives residents of a vital means of transportation but also limits their ability to carry out their day-to-day activities. This is especially true for students and the elderly, who rely on railways as one of their few transportation options.

When it comes to travel, the railway’s advantage is the significantly smaller carbon footprint compared to other modes of transport. Carbon dioxide (CO2) emissions per passenger-kilometre are much lower for rail or just 20 grams (g) per person-kilometre compared to 128g for private cars, 101g for air travel and 71g for buses.

Given that transportation accounts for 18.5% of Japan’s total carbon emissions, there is growing concern that closing rail lines will encourage more people to use cars and buses, leading to higher CO2 emissions. Efforts to keep struggling railways operational across the country continue.

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Essential regional infrastructure

In Japan, railways are typically financed by the operators themselves, with profits from urban routes used to offset losses in rural areas. However, this business model is reaching its limits.

In rural regions, where populations are shrinking and more people rely on private cars, it’s crucial not to dismiss the issue as just a local problem, says Terumi Tanaka, associate professor at Shimane Prefectural University.

Railways are more than just a means of transportation or a business, they are vital infrastructure that connects surrounding communities and people. To ensure their survival, it is essential to consider the financial balance of operating railways and the broader benefits they bring to local communities and the region.

To ensure lasting impact, it is crucial that railway operators, local governments and communities along the railway lines collaborate closely.

Revitalizing areas along the line

An example of revitalization of a local rail line is the Isumi Railway, which operates in northeastern Chiba Prefecture. In 1988, the line had 1.12 million passengers per year, while the ridership steadily declined, dropping to around 450,000 by 2005. Over JPY 100 million in support funds from the national and prefectural governments were injected into the project to keep the line operational.

Local governments along the rail line conducted surveys to gauge residents’ opinions on its future. More than half of the respondents strongly supported continuing the railway, even at the cost of increasing public funding, demonstrating strong community will to keep the railway running.

As a result, various initiatives took hold, collaborating with the railway operator, local governments, residents and businesses along the line. Together, they promoted the use of the railway while simultaneously fostering local community development.

Since a significant increase in daily ridership from residents was unlikely, Isumi Railway shifted its focus to attracting tourists. The trains were transformed into tourist attractions, with special events, including restaurant trains held regularly. Local residents actively participated in hospitality efforts, collaborating to support the initiative.

The company also actively promoted its services through mass media, helping to raise awareness of Isumi Railway and contribute to the revitalization of the communities along the line.

Although Isumi Railway still operates financial losses, the deficit has been reduced. More importantly, the local community has come to recognize the broader value of keeping the railway in operation, as it has brought positive ripple effects to the towns and neighbourhoods along its route.

Revitalization through sightseeing trains

Across Japan, efforts to boost local communities by combining tourism with regional railways are gaining momentum. According to a report published by the Journal of Tourism Research, 133 sightseeing trains operated nationwide in 2019. These trains have proven popular and are frequently featured on railway operators’ websites and major travel booking platforms.

The “Hanaakari” train will begin service on 5 October, running a five-hour route between the city of Tsuruga in the Fukui prefecture and the hot spring town of Kinosaki Onsen in Toyooka. The train’s interior highlights local craftsmanship, with performances by local artisans and artists and bento lunches made from locally sourced ingredients.

Passengers will also have the opportunity to explore the surrounding areas at each stop, offering a more immersive experience of the region.

These sightseeing trains demonstrate that regional railways can play a key role in revitalizing local communities, not only as transportation for residents but also as a way to attract visitors from afar. By encouraging travel by rail, which produces significantly less carbon dioxide than private cars and other vehicles, these initiatives also contribute to creating a more sustainable society.

The survival of regional railways and the growth of sightseeing trains can help address sustainability challenges in the tourism industry, as highlighted in the World Economic Forum’s Travel & Tourism Development Index 2024. To ensure lasting impact, it is crucial that railway operators, local governments and communities along the railway lines collaborate closely.

In Japan, 14 October is celebrated as Railway Day. The day offers a perfect opportunity to reaffirm the value and potential of railways, not only for regional prosperity but for sustainability as well.

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