Regional Revitalisation and Sustainability: Connecting Local Industries with ESG

Updated on 6 October 2026. Added programme timelines and case study dates.

What Is Regional Revitalisation?

Regional revitalisation, a term originating in Japan in 2014, is a strategic response to population decline, excessive urban concentration and uneven urban–rural development. Its locally grounded approach identifies and draws on a region's history, culture, industries and social networks to create development models with distinctive local character and long-term sustainability potential.

Its core concepts include revitalising local resources, building identity and belonging, using design and innovation to create new economic models and lifestyles, and developing lasting sustainability and self-reliance. Unlike traditional subsidies or isolated project interventions, it builds a complete, self-sustaining ecosystem. Success depends on cooperation among human capital, natural resources, local businesses, cultural heritage and governance structures, highlighting circularity, interdependence and resilience. This directly aligns with ESG's integrated environmental, social and governance approach, in which each pillar supports the others to achieve overall sustainability.

How Does Regional Revitalisation Policy Connect with ESG? Taiwan's Framework and Development Trends

Facing population decline, excessive urban concentration and uneven urban–rural development, Taiwan's government has actively promoted regional revitalisation since 2019. By establishing youth empowerment stations, providing multiple proposal channels, coordinating central government resources and encouraging private investment, it supports young people in putting down local roots and building businesses that benefit their communities.

Under current policy plans, Taiwan entered a new stage in 2025 with the Sustainable and Inclusive Regional Revitalisation Programme (2025–2028). The National Development Council, working with 10 ministries and agencies, plans to invest NT$6 billion over 2025–2028. Centred on sustainability, public benefit and shared prosperity, the programme has five strategies: empowering local youth, expanding diverse pathways, improving infrastructure, promoting cross-sector cooperation and deepening international connections. It integrates ESG principles to support local and distinctive industry upgrades.

Taiwan's policy approach shows regional revitalisation gradually aligning with international practices through planning, infrastructure and capacity building, while emphasising ESG connections. More mature resource coordination and planning systems are also lowering entry barriers and making regional revitalisation part of local industry planning.

How Can Local Characteristics Be Integrated into ESG?

Distinctive local industries derive their uniqueness from a region's culture, history, natural assets or human resources, ranging from traditional farming and crafts to innovative services and ecotourism. Using these industries effectively is central to regional development. Revitalisation and innovation can create economic value and stable local employment. Integrating local characteristics into ESG requires balancing environmental, social and governance considerations with local resources, culture and community characteristics, giving sustainability a clear place-based value. Common areas include natural resources and ecosystems, cultural and historical elements, and supply chains and local procurement.

These inherent local values give ESG a tangible foundation and support distinctive ESG narratives in the market. Environmental value can be strengthened through green product design, sustainable procurement, waste reduction and the circular economy. Social value can grow through cultural preservation and transmission and fair labour practices. Governance can build market trust through ethical standards, stakeholder collaboration and transparent operations.

Combining local characteristics with ESG turns inherent goodwill into assets recognised and valued by modern markets, connecting intrinsic value with a broader ESG narrative.

What Challenges Do Local Industries Face in Adopting ESG, and What Support Is Available?

Many local industries and businesses have ambitions for regional revitalisation but face a gap between their capabilities and expectations. Although ESG is increasingly important and regulators and major customers have high expectations, practical implementation is constrained by limited finances, staffing and technology. Limited understanding of ESG concepts, assessment methods and implementation strategies also makes it difficult to put ideas into practice, restricting the integration of ESG and regional revitalisation.

The government has established the “Regional Revitalisation Information Sharing and Exchange Platform”, providing administrative information, databases, case studies, funding programmes and other resources for young people, local industries and civic groups.

Regional Revitalisation Information Sharing and Exchange Platform

The website's case study map lets users find relevant examples by source, region and type.

Successful Regional Revitalisation Examples

Japan's Sado Island: Culture, Environment and Sustainability Together

Sado Island's most iconic cultural asset is the Sado Gold Mines, with nearly 400 years of mining history, inscribed as a World Heritage Site in 2024. The mines document Edo-period mining technology and sit at the heart of the island's cultural memory. Local government and residents actively preserve mine remains from different periods, historic buildings and traditional tools. Sado also preserves cultural traditions such as Noh theatre and tub boats, developing sustainable cultural tourism. Authorities, residents and businesses collaborate on guided tours, distinctive food, experiences and cultural activities, strengthening the local brand, creating jobs, attracting young people home and stimulating the economy.

Environmentally, Sado is committed to conserving wild crested ibises and developing sustainable agriculture and fisheries. Multifunctional agricultural management and organic cultivation have earned Globally Important Agricultural Heritage Systems and Japanese Geopark recognition, creating a model that integrates production, daily life and ecology.

Indigenous Communities and the Under-Forest Economy:

Unlike traditional logging or land clearance, the under-forest economy uses forest resources for high-value production without disturbing forest land. Crops must have economic value and meet market demand to support local production and consumption. From beekeeping and harvesting valuable forest honey to growing log-cultivated shiitake mushrooms and jewel orchids under the canopy, these activities provide stable, substantial income for Indigenous residents. Improved incomes raise living standards and are a key factor in encouraging young people to return home. For example, a July 2025 report stated that the Gaoshi community youth association in Pingtung had 22 members, ranging from junior high school students to people in their 30s, including 11 returnees—an unusual achievement in a community experiencing outmigration.

Development in mountain forests often faces substantial natural and ecological pressures, which the under-forest economy also helps address. According to Forestry and Nature Conservation Agency statistics, illegal logging in Taiwan's national forests fell by 80% over the past decade, partly due to the growth of Indigenous forest economies. As residents benefit, they place greater value on forests and strengthen monitoring of illegal logging.

This approach directly raises local incomes and encourages young people to return, demonstrating how economic development, environmental protection and social well-being can advance together.

These examples show that starting with local characteristics, integrating sustainability and generating economic value can drive lasting regional development, addressing the core problems regional revitalisation seeks to solve.

How Can Companies Participate in Regional Revitalisation?

In recent years, companies have moved beyond donations as their main form of social engagement, exploring how to use industry resources and expertise to work directly with local teams and create value chains with lasting impact.

Many companies now regard regional revitalisation as a key part of their sustainability strategies, providing comprehensive support through staffing, technology, product development, distribution and brand marketing. Working with local youth also builds entrepreneurship, preserves and renews culture, and revitalises local economies. These efforts strengthen corporate social impact while creating opportunities for cross-sector innovation and new markets.

The following two examples show how companies use their core business strengths to participate in regional revitalisation and put shared prosperity into practice.

MediaTek

Since 2018, MediaTek has held its Genius for Home digital social innovation competition, encouraging people to develop solutions to problems in their hometowns. Drawing on its industry resources, it provides shortlisted teams with two years of post-competition mentoring and grants to implement proposals. Over six years, it received more than 2,000 innovative proposals covering environmental sustainability, ageing, long-term care and healthcare, urban–rural gaps and traditional industry innovation. The competition encourages local awareness and action while supporting practical regional revitalisation.

Source: MediaTek 2023 Sustainability Report

E.SUN Financial Holding

E.SUN began supporting regional revitalisation in 2018, helping local industries innovate and transform. Drawing on financial expertise, it provides advice tailored to business development stages and helps companies secure funding. Its regional revitalisation digital platform also profiles teams' growth journeys, raising brand visibility, expanding their businesses and strengthening sustainability momentum.

Source: E.SUN Financial Holding 2023 Sustainability Report

Future Challenges for Regional Revitalisation

Successful examples have emerged across Taiwan and internationally in recent years. Regional revitalisation appears increasingly familiar in daily life, and major sustainability awards now include related achievements in their scoring. Yet much remains before the approach reaches maturity. The United Nations' 2024 Sustainable Development Goals Report stated that global progress was severely off track, with only 17% of SDG targets on course to be achieved by 2030. This stark reality underlines the urgent need to accelerate action at every level, especially locally. Despite numerous examples, scale and pace remain far below expectations. Deepening existing projects, integrating sustainability and accelerating new initiatives are essential challenges.

Successfully combining regional revitalisation with ESG will require deeper local innovation, technology adoption, long-term collaboration, information transparency and international alignment to build competitive, sustainable local economies and communities.

Sources for Dates: National Development Council Regional Revitalisation Programme (2025–2028), UNESCO 2024 Decision on Inscription of the Sado Island Gold Mines, Highlights of the United Nations 2024 SDG Report.

SDGs Local Revitalization Industrial Transformation Social Impact