Government of Japan

Recent Development ofthe Joint Crediting Mechanism (JCM)
September 30, 2020
Ministry of the Environment ,Japan1. Overview of the JCM
2. Financial support scheme
3. Contributions of JCM Model Projects

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Basic Concept of the Joint Crediting Mechanism (JCM)
Facilitating diffusion of leading low-carbon or decarbonizing technologies ,etc
and infrastructure as well as implementation of mitigation actions, andcontributing to sustainable development of developing countries.
Appropriately evaluating contributions from Japan to GHG emission
reductions or removals in a quantitative manner and use them to achieve
Japan’s emission reduction target.
Contributing to the ultimate objective of the UNFCCC by facilitating global
actions for GHG emission reductions or removals.
UNFCCC, Article 6 of the Paris Agreement
Reporting and Corresponding Adjustment
JCM

JAPAN

Leading low-carbon technologies, etc, andimplementation of mitigation actions

Operation and management by theJoint Committee which consists ofrepresentatives from the both sides
Used to achieve Japan’semissions reduction target

Credits*measurement, reporting and verification

Partner Country
JCM
Projects
MRV*GHG emissions
reduction/ removal3

JCM Partner Countries

Mongolia
Jan. 8, 2013
（Ulaanbaatar）

Bangladesh
Mar. 19, 2013
(Dhaka)Ethiopia
May 27, 2013
(Addis Ababa)KenyaJun. 12,2013(Nairobi)

Maldives
Jun. 29, 2013
(Okinawa)

Viet Nam
Jul. 2, 2013
(Hanoi)Lao PDR
Aug. 7, 2013
(Vientiane)

Indonesia
Aug. 26, 2013
(Jakarta)

Costa Rica
Dec. 9, 2013
(Tokyo)Palau
Jan. 13, 2014
(Ngerulmud)

Cambodia
Apr. 11, 2014
(Phnom Penh)

MexicoJul. 25, 2014
(Mexico City)

Saudi Arabia
May 13, 2015

ChileMay 26, 2015
(Santiago)

http://japan.kantei.go.jp/

Myanmar
Sep. 16, 2015
(Nay Pyi Taw)

ThailandNov. 19, 2015
(Tokyo)the Philippines
Jan. 12, 2017
(Manila)4

Recent Development: SDGs, Gender Guideline and CORSIAJOINT CREDITING MECHANISM CONTRIBUTIONS TO SUSTAINABLE DEVELOPMENT GOALS• The first publication to analyze the interlinkage between the JCM and SDGs. It aims
to clarify how the JCM contributes to SDGs.
• Accelerate further contribution towards SDGs through the JCM project
implementation.
Guideline on Gender Equality for the Joint Crediting Mechanism (JCM)• MOEJ developed the “Guideline on Gender Equality for the Joint Crediting Mechanism (JCM)”with the aim of encouraging mainly representative participants and partner participants of theJCM Model Projects to take action toward gender equality.
• This guideline shows recommended actions to be taken at all the stages of the project cycle(planning, implementation, and monitoring) to realize gender equality.
Application for Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA)• The JCM between Mongolia and Japan applied for the assessment of CORSIA eligible emission units.
• Applications is based on mutual understanding and submitted by Japan and each partner country.
Collaboration with International Organizations• World Bank: Memorandum of Cooperation for scaling-up of the Joint Crediting Mechanism• ADB: Cooperation on Article 6 of PA and SDGs based on the LOI between MOE and ADB and newwork program.

5Online Platform on Sustainable and Resilient Recovery from COVID-19

Information sharing among countries onenvironmental and climate change
actions under COVID-19 Pandemic
Date：September 3, 2020

A total of 96 countries（including
video message and written
information） participated in theplatform,and shared their actions.

Achieved the goal of "strengthening international cooperationand keeping the momentum for climate change measures"6

1. Overview of the JCM
2. Financial support scheme
3. Contributions of JCM Model Projects

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JCM Model Projects by MOE
Budget for projects starting from FY 2020 is 9 billion JPY(approx. USD 90 million) in total by FY2022 (1 USD = 100 JPY)
※Includes collaboration with projects supported by JICA and other governmental-affiliated financial
institute.

Finance part of aninvestment cost(less than half)

Government of Japan

Conduct MRV andexpected to deliverat least half of JCM
credits issuedInternational consortiums(which include Japanese entities)

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JCM F-gas Recovery and Destruction Model Project by MOE【Budget for FY 2020】
61 million JPY (approx. 0.61
million USD) (1 USD = 100 JPY)

Government of Japan

Finance part of the cost in flat-rate(up to 40 million JPY/year)

Conduct MRV to estimate GHG
emission reductions.
At least half or ratio of financial
support to project cost (larger ratio
will be applied) of JCM credits issued
are expected to be delivered to thegovernment of Japan

International consortiums (which include Japanese entities)
Manufacturersof equipment
which uses F-gas

Users ofequipment
which uses F-gas

Entities for recovery andtransportation of used F-gas(recycling or scrap entities)

PurposeTo recover and destroy F-gas (GHG except forenergy-related CO2, etc) from used equipment
instead of releasing to air, and reduce emissions
Scope of Financing

Entities for destruction ofused F-gas (may use existing
facility for destruction)

Project Period
Three years in maximum (Ex. 1st year for scheme, 2ndyear for facilities, 3rd year for recovery/destruction)
Eligible Projects•After the adoption of financing, start•Establish scheme for recovery and destruction
implementation of recovery/destruction within•Install facilities/equipment for recovery/destruction three years•Implementation of recovery, transportation,•Aim for the registration as JCM project anddestruction and monitoringissuance credits

9JCM Financing Programme by MOEJ(FY2013-2020) as of Aug. 31,2020
Total 166 projects (●Model Project: 156projects, ■ADB: 6 projects, ◆ REDD+: 2 projects, ▲F-gas: 2 projects) Other 1 project in Malaysia
103underlined projects have been started operation.

Cambodia:7 projects●LED Street Lighting※●200kW Solar PV at International School*●Solar PV & Centrifugal Chiller●Inverters for Distribution Pumps■Battambang Wastewater Treatment Project●Solar PV & Biomass Power Plant ●1.1MW Solar PV

Myanmar:7 projects●700kW Waste to Energy Plant●Brewing Systems to Brewery Factory●Once-through Boiler in Instant Noodle Factory●1.8MW Rice Husk Power Generation●Refrigeration System in Logistics Center●8.8MW Waste Heat Recovery in Cement Plant●Brewing Systems and Biogas Boiler to Brewery Factory

54 projects with * have been registered as JCM projects.

Mongolia:9 projects●Heat Only Boiler (HOB)** ●2.1MW Solar PV in Farm* ●10MW Solar PV*●8.3MW Solar PV in Farm ●15MW Solar PV●21MW Solar PV■Upscaling Renewable Energy Sector ●Fuel Conversion by Introduction of LPG Boilers■Improving Access to Health Services

Viet Nam:27 projects●Centrifugal Chiller●Loom at Weaving Factory*●315kW PV-diesel Hybrid System*●Centrifugal Chiller*■High Efficiency Transmission Line

●Digital Tachographs* ●Amorphous transformers1* ●Air-conditioning in Hotel1* ●Electricity Kiln
●Air-conditioning in Lens Factory* ●Container Formation Facility*●Amorphous transformers 2*●320kW Solar PV in Shopping Mall* ●Air-conditioning Control System ●High Efficiency Water Pumps1*●Energy saving Equipment in Lens Factory* ●Amorphous transformers 3*●Energy Saving Equipment in Wire Production Factory* ●Amorphous transformers 4●Energy Saving Equipment in Brewery Factory ●High Efficiency Chiller ●Modal Shift with Reefer Container●Inverters for Raw Water Intake Pumps ▲ Collection Scheme and Dedicated System of F-gas●Biomass Boiler to Chemical Factory ●Air-Conditioning System and Air Cooled Chillers ●49MW solar PV●57MW solar PV ●Biomass Boiler to Soluble Coffee Manufacturing Plant ●Once-through Boiler to Food Factory●Biomass Co-generation System to Food Factory ●Air-conditioning in Hotel2●Electorolyzer in Chlorine Production Plant●400MW Solar PV●1.2MW Power Generation with Methane Gas Recovery System ●Once-through Boiler and Fuel Switching●20MW Solar PV ●30MW Solar PV1 ●Energy Efficient Distillation System●30MW Solar PV2

Bangladesh:5 projects

Saudi Arabia:2 projects
Maldives:3 projects●186kW Solar Power on School Rooftop*■Smart Micro-Grid System■Greater Male Waste to Energy Project

Ethiopia:1 project●120MW Solar PV

Kenya:2 projects●1MW Solar PV at Salt Factory※●38MW Solar PV

Laos:5 projects◆REDD+ through controlling slush-and-burn●Amorphous transformers ●14MW Floating Solar PV●11MW Solar PV●14MW Solar PV

Thailand:33 projects●Energy Saving at Convenience Store●1MW Solar PV on Factory Rooftop*●Upgrading Air-saving Loom*●Centrifugal Chiller & Compressor*●Centrifugal Chiller in Tire Factory●Co-generation in Motorcycle Factory●Air Conditioning System & Chiller*●Refrigeration System●Ion Exchange Membrane Electrolyzer●Chilled Water Supply System●LED Lighting to Sales Stores ●2MW Solar ●12MW Waste Heat Recovery in Cement Plant●Co-generation System PV●3.4MW Solar PV* ●Refrigerator and Evaporator●Heat Recovery Heat Pump
●30MW Solar PV*●5MW Floating Solar PV●Boiler System in Rubber Belt Plant●Air-conditioning Control System●Biomass Co-generation System●Co-generation in Fiber Factory●Biomass Boiler●25MW Solar PV in Industrial Park ●3.4MW Solar PV▲ Introduction of Scheme for F-gas Recovery and Destruction●0.8MW Solar PV and Centrifugal Chiller●37MW Solar PV and Melting Furnace●Heat Exchanger in Fiber Factory●15MW Biomass Power Plant in Sugar Factory●8.1MW Solar PV●Centrifugal Chiller to Machinery Factory

Mexico:6 projects

Phillipines:13 projects●15MW Hydro Power Plant●4MW Hydro Power Plant●1.53MW Rooftop Solar PV●1MW Rooftop Solar PV●1.2MW Rooftop Solar PV●4MW Solar PV●2.5MW Rice Husk Power Generation●0.16MW Micro Hydro Power Plant ●18MW Solar PV●19MW Hydro Power Plant●33MW Wind Power●Biogas Power Generation and Fuel Conversion●29MW Binary Geothermal Power Generation

Palau:5 projects

Costa Rica:2 projects●5MW Solar PV※●Chiller and Heat Recovery System

Chile:4 projects●1MW Rooftop Solar PV*●1.4MW Solar PV and
2.3MWh Storage Battery●3.4MW Rice Husk Power
GenerationIndonesia:35 projects●3MW Solar PV●Centrifugal Chiller at Textile Factory*●Energy Saving at Convenience Store*●Refrigerants to Cold Chain Industry**●Double Bundle-type Heat Pump*●Centrifugal Chiller at Textile Factory 2*●30MW Waste Heat Recovery in Cement Industry*●507kW Solar Power Hybrid System●Regenerative Burners*●Centrifugal Chiller at Textile Factory 3*●Old Corrugated Cartons Process*●Upgrading to Air-saving Loom*●Centrifugal Chiller in Shopping Mall*●Smart LED Street Lighting System●Once-through Boiler System in Film Factory*●Gas Co-generation System*●Once-through Boiler in Golf Ball Factory*●1.6MW Solar PV in Jakabaring Sport City*◆REDD+ through controlling slush-and burn●10MW Hydro Power Plant1●Looms in Weaving Mill*●LED Lighting to Sales Stores●Industrial Wastewater Treatment System●0.5MW Solar PV*●Gas Co-generation system●Absorption Chiller*●High Efficiency Autoclave●CNG-Diesel Hybrid Public Bus ●Rehabilitation of Hydro Power Plant ●12MW Biomass Power Plant●Injection Molding Machine3●2MW Mini Hydro Power Plant●Boiler to Carton Box Factory●10MW Hydro Power Plant2●6MW Hydro Power Plant1●6MW Hydro Power Plant2●370kW Solar PV for Commercial Facilities*●155kW Solar PV for School*●445kW Solar PV for Commercial Facilities Ⅱ*●0.4MW Solar PV for Supermarket ●1MW Solar PV for Supermarket

101. Overview of the JCM
2. Financial support scheme
3. Contributions of JCM Model Projects

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Contributions to “SDGs” through JCM Model Projects
JCM Model Projects are contributing to the SDGs including improving genderequality in partner countries.
Employment/Food/Energy Access
Installation of 12.7 MW Solar Power Plant for Power Supply In Ulaanbaatar Suburb
Reduction of air pollution and stable power supply
Improving farm management by utilizing solar power sales income

Health/Energy Access
Introduction of Waste to Energy Plant in Yangon City
High-efficiency stalker incinerator recovers exhaust gas to maximize heat recoveryrate
Reducing methane emissions as there is no need for landfill disposal

Education/Clean water
Introduction of High Efficiency Water Pumps in Da Nang City
By providing technical training on pump operation and maintenance, we have achieved stable
operation of the water purification plant equipment and achieved high quality water supply.

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Addressing to COVID-19 through JCM Model Projects
Damage caused by COVID-19 is serious in many countries with weak social infrastructure.
JCM Model projects, which support local corporate activities, support the social infrastructureof countries and play an important role in “Sustainable Recovery ”.
Contribution to the
medical supply chain

Contribution to the
medical supply chain

Energy Saving by Introducing High Efficiency
Autoclave to Infusion Manufacturing Factory

Introduction of High Efficiency
Injection Molding Machine to
Plastic Parts Factory

Under the influence of COVID-19, it supported byexpanding productivity while ensuring productsafety in the sterilization process.

Demand for plastic caps for bottles
of chemicals such as alcoholincreased sharply, but it responded
to an unexpected increase indemand.
Contribution to
reducing infection risk

Manufacturing

Introduction of High Efficiency LED
Lighting Utilizing Wireless Network
Since it was possible to remotely
control from Japan, there was noneed to directly turn on/off thelight, which contributed to thespread of infection.

13Conclusion

JCM Model Projects can contribute to:• Greenhouse gas emission reductions• Recovery from COVID-19• Achievement of the SDGs

MOEJ will continue to promote the JCM as a pillar of decarbonizationpolicy while deepening cooperation with partner countries.

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Thank you for your kind attention

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