Joint Crediting Mechanism

二国間クレジット制度

Joint Crediting Mechanism

We support clients applying for Joint Crediting Mechanism (JCM).

The objective of the JCM is to reduce GHG emissions through diffusion of Japanese low carbon technologies and products. Involvement in this mechanism will contribute to: (1) Facilitate diffusion of leading low carbon technologies, products, systems, services and infrastructure as well as implementation of mitigation actions, and contributing to sustainable development of developing countries; (2) Appropriately evaluate contributions from Japan to GHG emission reductions or removals in a quantitative manner, and achieve Japan’s emission reduction target; (3) Facilitate global actions for GHG emission reductions or removals for the ultimate objective of UNFCCC If you are considering expanding your business into the following countries, you may be able to use the “Joint Crediting Mechanism” and can obtain funding provided by public institutions such as the Ministry of Economy, Trade and Industry and the Ministry of the Environment. Please consult us whether your overseas expansion plans are qualified for the application for “Joint Crediting Mechanism”.

If you are considering expanding your business into the following countries, you may be able to use the “Joint Crediting Mechanism” and can obtain funding for installations and of survey the public institutions such as the Ministry of Economy, Trade and Industry and the Ministry of the Environment. Please consult with us whether your overseas expansion plans are applicable to the “Joint Crediting Mechanism”.

Renewable energy

  • Solar power generation
    (+ storage battery)
  • Small hydropower
  • Wind power generation
  • Waste heat power generation
  • Biomass power generation
  • Gas cogeneration
  • Biomass cogeneration

Energy Conservation

  • Boiler
  • Cogeneration
  • Air conditioning equipment,
    chiller
  • Refrigeration / freezing equipment
  • Heat pump
  • Certification equipment (LED lighting), etc.

Overview of the Joint Crediting Mechanism

The use of the Joint Crediting Mechanism may provide the following benefits:

Contribute to the overseas expansion of your excellent low-carbon technologies and products
  • Export of your company’s excellent low-carbon technologies and products to partner countries (developing countries) will benefit them with quality technologies and products.
  • Promote overseas deployment of your technology and products by spreading excellent low-carbon technologies and products to neighboring countries
CO2 reduction can be counted as in-house CO2 reduction
  • The CO2 amount reduced by low-carbon technologies and products introduced in partner countries can be counted as in-house CO2 reduction
If there is a surplus, you can buy and sell as credit
  • The surplus in emission reduction can be sold as “credit”

JCM partner countries

As of October 2017, JCM has 17 partner countries. In addition, as of January 2018, JCM has 123 projects. For more information, please visit THE JOINT CREDITING MECHANISM and the Carbon Market Express website.

  • MongoliaMongolia
  • BangladeshBangladesh
  • EthiopiaEthiopia
  • KenyaKenya
  • MaldivesMaldives
  • VietnamVietnam
  • LaosLaos
  • IndonesiaIndonesia
  • Costa RicaCosta Rica
  • PalauPalau
  • CambodiaCambodia
  • MexicoMexico
  • Saudi ArabiaSaudi Arabia
  • ChileChile
  • MyanmarMyanmar
  • ThailandThailand
  • PhilippinesPhilippines

Our offer on the JCM

Projects related to the JCM are outsourced as a survey work by the Ministry of the Environment and the Ministry of Economy, Trade and Industry. We support the Ministry of Economy, Trade and Industry’s “Infrastructure development research project for joint credit acquisition (international contribution quantification and JCM feasibility study) “, and the Ministry of the Environment’s joint crediting mechanism (JCM) fund support project and support for infrastructure development (project assistance) (commonly known as JCM equipment assistance).
If you would like to be supported in other projects, please contact us.

Business environment survey Business plan design
Ministry of Economy, Trade and Industry / NEDO (★ 1) “Infrastructure development research project for Joint Credits acquisition ” (quantifying international contribution and JCM feasibility study)
“JCM project formation led by the private sector” (Project discovery and composition survey) “JCM project development led by the private sector” (Development, verification and reporting of greenhouse gas reduction effects (MRV) method development and quantification project)
Ministry of Environment Intercity collaboration business consignment for realization of a low-carbon society (intercity collaboration FS) (★2)Joint Crediting Mechanism (JCM) funding support and infrastructure development projects (including project assistance) (commonly called JCM equipment assistance)
Alternative CFC recovery / destruction business using the joint crediting mechanism (JCM)

Quantification of international contribution and JCM feasibility study (★1)

Purpose
  • Targeting energy related CO2 emission reduction projects in Asia, Latin America, the Middle East, and other regions of JCM partner countries, we will make policy recommendation and business plan linked to low-carbon technologies and products dissemination.
  • Obective is to make international contribution by clarifying the usefulness of excellent low-carbon technologies and products, calculate mid- to long-term reduction potential, promote the spread of low-carbon technologies and products in developing countries, and reduce greenhouse gas emissions.
Contractor Ministry of Economy, Trade and Industry

JCM equipment support projects (★2)

Purpose
  • Projects to reduce greenhouse gas emissions by utilizing Japanease technologies in developing countries (example: CO2 reduction by introducing low carbon technologies and products)
  • Aim to use JCM to earn credits and achieve Japan’s reduction targets
Contractor Ministry of Environment (Subsidy Enforcement Organization / Global Environment Center / GEC)

Our support for JCM related business

Before application
Business application support
  • Project plan support
  • Budget plan support
After adoption
Support for contract procedures with METI and MOE
  • Budget plan support
  • Contract support
  • Support for other materials needed for contract
Survey support
  • Literature survey (policy analysis, etc.)
  • Field survey (preparation of materials to bring on-site, accompanying field survey)
  • Business plan development support
  • MRV methodology development study, registration, project monitoring
  • Calculation of CO2 reduction amount
Outcome Report
  • Outcome Report
  • Settlement note / Checkout report creation, etc.
Logistics support ＜Field survey＞
  • Retrieving appointments
  • Travel ticket, accommodation, local car rental arrangements
＜After field survey＞
  • Adjusting the schedule for reporting survey results to the Ministry of Economy, Trade and Industry (preparing report materials, accompanying report meetings, etc.)

Utilization of government research budget and subsidies related to the bilateral credit system

To date, we have a track record of supporting the implementation of projects related to the JCM, mainly in Asia and Africa.

Orderer Scheme name Project Title Field Target country Time frame
NEDO Project to promote global warming countermeasure technology (JCM feasibility study) Investigation project for locally produced and locally consumed electricity and electrification in Ethiopia Energy industry (renewables / non-renewables) Ethiopia 2014~2015
NEDO Project to promote global warming countermeasure technology (JCM feasibility study) Survey for the electric motorbike diffusion promotion project in Vietnam Transportation Vietnam 2012~2013
NEDO Project to promote global warming countermeasure technology Excavation survey of GHG reduction project by making Guru village high-performance apartment in Ulaanbaatar in Mongolia Energy demand Mongolia 2013~2014
NEDO Project to promote global warming countermeasure technology (JCM feasibility study) Investigation into commercialization of bioethanol production plant diffusion business introducing Japanese fermentation technology at sugar factory Energy industry (renewables / non-renewables) Ethiopia 2014~2015
Ministry of Environment Joint Crediting Mechanism(JCM) equipment subsidy project Convenience store project Energy demand Indonesia 2013~2017
Ministry of Environment JCM feasibility study, JCM project composition survey Stabilization of energy supply through the introduction of 10MW solar power generation facilities Energy industry (renewables / non-renewables) Mongolia 2013~2015
Ministry of Environment Low-carbon technology innovation creation project for developing countries Providing charging services using solar power generation in non-electrified areas Energy industry (renewables / non-renewables) Tanzania 2015~2017
Ministry of Environment JCM Project Composition Survey (PS) Energy saving using lithium-ion batteries in mobile phone base stations in unstable power grid areas Energy industry (renewables / non-renewables) Bangladesh 2015~2016
Ministry of Economy, Trade and Industry Promotion of global warming countermeasure technology Feasibility study of JCM project for energy saving in factories by introducing EMS in Cambodia and Vietnam Energy demand Cambodia, Vietnam 2015~2016
Ministry of Economy, Trade and Industry Infrastructure development research project for Joint Credit acquisition (quantifying international contribution and JCM feasibility study) JCM feasibility study by replacing energy by constructing mega solar power plant with storage battery Energy industry (renewables / non-renewables) Kenya 2017

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Please feel free to contact us if you have any question.

Contact
+81 3-6228-3616
Business hours - 9 AM to 6 PM (Weekdays)