The content of the support that JR Shikoku, which continues to be difficult to manage, is seeking from the country from next year onward has been clarified.

The cost of rebuilding a vehicle maintenance shop is newly included, and based on this request, the government has decided to hurry to adjust the support from next year when the financial support based on the law ends.

The management of JR Shikoku is becoming more difficult due to the decrease in population, the development of expressways, and the influence of the new coronavirus.



In the 10 years up to this year, we have received financial support of more than 51 billion yen from the national government, but the prerequisite law will expire this year.



Under these circumstances, the contents of the support that JR Shikoku is seeking from the country from next year onward have been clarified.



According to the people concerned, in addition to the cost of rebuilding the rolling stock maintenance factory in Kagawa Prefecture, we are seeking support for the cost of renewing the railroad tracks inherited from the JNR era and maintaining the railroad tracks of Seto Ohashi Bridge.



We are also seeking support for the "Management Stability Fund," which is being managed to fill the deficit, to secure a certain level of investment profit even at low interest rates.



After confirming these requests and efforts to improve management, the government has decided to hurry to coordinate financial support for JR Shikoku and JR Hokkaido, which continue to be difficult to manage, from next year onward.



On the other hand, JR Shikoku has a policy of formulating a five-year medium-term management plan within this fiscal year, aiming for management independence, based on the content of national support.

Management difficulties and financial support of JR Shikoku

When JR Shikoku was privatized in 1987, it received financial support of more than 200 billion yen from the government as a "management stability fund" and is using it to cover the deficit generated in the railway business.



In addition, measures are being taken to reduce property tax, light oil take-back tax, and corporate enterprise tax.



Even so, management has been difficult due to the decrease in railway transportation revenue and the renewal of aging facilities, and we have received additional financial support since 2011.



In the 10 years from this year to 2020, we received a total of more than 51.2 billion yen, and also received special bonds issued by the "Railway Construction and Transportation Facility Development Support Organization", an independent administrative agency under the jurisdiction of the Ministry of Land, Infrastructure, Transport and Tourism. We earn 3.5 billion yen annually as interest.



JR Shikoku is increasing the number of tourist trains, including the Anpanman Train, in order to increase tourists from outside Shikoku in order to improve management. Last year, the revenue related to tourist trains was about 6 in 2019. It was 100 million yen.



In addition, in order to raise profits from businesses other than railways, we have been constructing hotels near stations in the prefectural capitals and tourist spots of the four prefectures of Shikoku.



Although it was a valuable source of revenue due to the demand from foreign tourists, the hotel business is also in a difficult situation due to the influence of the new coronavirus.



To rationalize operations, we are promoting the unmanned operation of stations with few passengers.



The number of "unmanned stations" has increased by more than 10% over the last 10 years to 194 stations, accounting for three-quarters of all stations.