Comment from Representative Director on Cabinet Decision of Personal Information Protection Law Amendment Bill

The Japan Association of New Economy (JANE), located in Minato-ku, Tokyo, and represented by Hiroshi Mikitani, announced a comment from its Representative Director following the Cabinet decision on April 7 regarding the amendment bill for the Personal Information Protection Law. JANE has consistently argued that data utilization is crucial for strengthening Japan's industrial competitiveness in discussions concerning the review of the Personal Information Protection Law. Furthermore, JANE has advocated for institutional design based on practical realities and continuous dialogue with stakeholders to promote data utilization while balancing protection and utilization. JANE also expressed concerns that the introduction of a surcharge system could discourage sound businesses and impede data utilization. While some aspects of the Cabinet-decided bill show improvements based on various opinions compared to the 'Policy for Institutional Amendment of the Personal Information Protection Law' published by the Personal Information Protection Commission in March last year, JANE still harbors concerns that many items could excessively restrict economic activities. JANE recognizes that many matters in the Personal Information Protection Law amendment bill could significantly impact practical operations depending on how they are defined in government ordinances and commission rules, how interpretations are provided in guidelines and Q&As, and what future enforcement policies will entail. Particularly, JANE is strongly concerned about the current lack of clarity in interpretation and approach for the following matters, which could have a profound impact on practical operations: detailed requirements for exceptions to personal consent for statistical creation, the scope of exceptions for consent where it is clear that the individual's rights and interests are not harmed from the circumstances of acquisition (including those under 16), the method of obtaining consent or exceptions to consent from legal representatives of individuals under 16 and notification to legal representatives, the concretization of inappropriate use or unauthorized acquisition of 'contactable personal related information,' especially Cookie information, and the scope of cases cited as targets for surcharges, such as when personal information handling businesses neglect to take reasonable care to prevent target actions, or when individuals' rights and interests are infringed upon or are at concrete risk of infringement, and the rationalization details for reporting leaks and notifying individuals. JANE strongly requests careful and thorough communication with stakeholders, based on practical realities, during the future formulation of subordinate laws and regulations, guidelines, and Q&As, and their implementation. This is essential for clarifying future enforcement policies and analyzing the current situation as a prerequisite for forming a common understanding among stakeholders and promoting sound data utilization.