Recent Developments of
the Joint Crediting Mechanism(JCM)

May 2024
Government of Japan

All ideas are subject to further consideration and discussion with partner countries

Basic Concept of the JCM

2◼ Facilitate diffusion of leading decarbonizing technologies and infrastructure, etc., throughinvestment by Japanese entities, thereby contributing to GHG emission reductions or removals
and sustainable development in partner countries.
◼ Contribute to the achievement of both countries’ NDCs while ensuring the avoidance of double
counting through corresponding adjustments.

◼ Implement the JCM consistent with the guidance on cooperative approaches, referred to in
Article 6, paragraph 2 of the Paris Agreement.

UNFCCC, Article 6 of the Paris Agreement
Reporting and Corresponding Adjustments

JAPAN

JCM

PartnerCountry

Leading decarbonizing technologies, etc.,
and implementation of mitigation actions

Operation and management by
the Joint Committee which consists ofrepresentatives from the both sides

Used to achieve
Japan’s NDC

JCM Credits

JCM Projects
MRV*

GHG emission
reductions/removals*measurement, reporting and verification

Contribution from Japan (example)
Partner Country’s
government& entities

3

Japanesegovernment& entities
Credits

Financial support

Japan will acquire a part ofJCM credits(in return for thecontribution of Japan, suchas financial support orinvestment for projects*)＊The proportion of financial
support depends on supporting
schemes.

Initial costGHG
emissions

Conventional
equipment & facility

Emission reductions

SelectInitial cost

GHG emissions

Incentivize selection of
decarbonizing
technologies, etc. by
the financial support or
the investment to theinitial cost

Advanced decarbonizing
equipment & facility

4

JCM Partner Countries（29 countries）

Mongolia
Jan. 8, 2013 （Ulaanbaatar）

Ethiopia
Bangladesh
Mar. 19, 2013 (Dhaka) 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)

Saudi Arabia
May. 13, 2015

Chile
May. 26, 2015 (Santiago)

Myanmar
Sep. 16, 2015 (Nay Pyi Taw)

ThailandNov. 19, 2015 (Tokyo)

Philippines
Jan. 12, 2017 (Manila)

SenegalAug. 25, 2022 (Dakar)

TunisiaAug. 26, 2022 (Tunis)

Azerbaijan
Sept. 5, 2022 (Baku)

Moldova
Sept. 6, 2022 (Chisinau)

Georgia
Sept. 13, 2022 (Tbilisi)

Sri Lanka
Oct. 10, 2022 (Colombo)

Uzbekistan
Oct. 25, 2022 (Tashkent)

Kyrgyz Republic
July. 6, 2023 (Bishkek)

Kazakhstan
Oct. 30, 2023 (Astana)

UkraineFeb. 19, 2024 (Tokyo)

Papua New Guinea
United Arab Emirates
Nov. 18, 2022 (Sharm-el-Sheikh) April. 16, 2023 (Sapporo)

Palau
CambodiaJan. 13, 2014 (Ngerulmud) Apr. 11, 2014 (Phnom Penh)

MexicoJul. 25, 2014 (Mexico City)

Projects supported by the JCM financing programmes

5

Renewable Energy

Solar power, FARMLAND Co.,
Ltd., Chile

Floating Solar PV,TSB Co.,
Ltd.,Thailand

Energy efficiency [Consumer sector]

Energy saving atconvenience stores,
Panasonic, Indonesia

High-efficiency refrigerator,
Mayekawa MFG, Indonesia

Energy efficiency [Urban sector]

LED street lighting systemwith wireless network control,
MinebeaMitsumi, Cambodia

Amorphous transformers in
power distribution, YukoKeiso, Vietnam

Hydro Power Plant, Toyo
Energy Farm Co., Ltd.,
Indonesia

Biogas Power Generation,
ITOCHU Corporation, Philippines

Binary Power Generation Projectat Geothermal Power Plant, MHI,
Ltd., Philippines

Energy efficiency [Industrial sector]

Effective Use of Energy

Energy-saving of mobile
communications basetransceiver stations,KDDI Corp. Indonesia

Gas Co-generation System andAbsorption Chiller, Kansai
Electric Power, Thailand

Optimization in petroleum
refining plant, Yokogawa
Electric Corp. Indonesia

Waste

Power Generation with
Methane Gas Recovery
System, NTTDATA, Mexico

Waste to Energy Plant,
JFE engineering, Myanmar

Transport

CNG-Diesel Hybrid
Public Bus, Hokusan
Co., Ltd., Indonesia

Scheme of the JCM

6

Japan
Government• Issuance of credits

Project
Participants• Implementation &monitoring of
projects

Partner Country
Notifies issuance ofcredits
Reports issuance ofcredits

Submit PDD/monitoring report
Inform results ofvalidation /verification

Joint Committee(Secretariat)• Development/revisionof the rules, guidelines
and methodologies• Registration of projects• Discusses theimplementation of JCM

Third party
entities• Validation of projects• Verification of amountof GHG emissions
reduction or removal

Notifies issuance ofcredits
Reports issuance ofcredits

Submit PDD/monitoring report
Inform results ofvalidation /verification

Government• Issuance of credits

Project
Participants• Implementation &monitoring of
projects

The role of the Joint Committee and each Government
1. The Joint Committee (JC) consists of representatives from both
Governments.
2. The JC develops rules and guidelines necessary for the implementationof the JCM.
3. The JC confirms no objection or objection to a project idea note (PIN).
＊ Under consultation with partner countries. Please refer to the next page.

4. The JC determines either to approve or reject the proposed
methodologies, as well as develops JCM methodologies.
5. The JC designates the third-party entities (TPEs).

6. The JC decides on whether to register JCM projects and the percentage
of JCM credit allocation.
7. Each Government establishes and maintains a registry.

8. Each Government issues the notified amount of JCM credits to its
registry on the basis of notification for issuance of JCM credits by the JC.

7

Can be conducted by the same TPE
Can be conducted simultaneously

Project Cycle of the JCM

8Project Participant

Submission of PIN＊

Joint Committee

Confirmation of no objection

Project Participant /Each Government
Joint Committee

Submission of Proposed
Methodology

Joint Committee

Approval of Proposed
Methodology

Project Participant

Development of PDD*

Third Party Entities

Validation

Joint Committee

Registration

Project Participant

Monitoring

Third Party Entities

Verification

Joint Committee decides the amount
Each Government issues the credit

Issuance of credits＜Terminology＞• PIN (Project Idea
Note): A document used
to explain the outline ofthe project to the partnercountry and confirm
whether there is anobjection.
• PDD (Project Design
Document): A documentthat includes monitoring
methods and estimatedemission reductions.
Required for projectregistration.

<Note>For the latest information
on JCM rules and guidelines,
including the PIN
procedures adopted witheach Partner Country,
please refer to eachpartner country page on
the JCM website.

Japan’s Nationally Determined Contribution (NDC)

9(Decided on October 22, 2021)

Japan’s NDCJapan aims to reduce its greenhouse gas emissions by 46 percent in fiscal year 2030 from its
fiscal year 2013 levels, setting an ambitious target which is aligned with the long-term goal ofachieving net-zero by 2050. Furthermore, Japan will continue strenuous efforts in its challenge tomeet the lofty goal of cutting its emission by 50 percent.

Description about the JCM
Japan’s Greenhouse Gas Emission Reduction Target• Japan aims to contribute to international emission reductions and removals at the level of acumulative total of approximately 100 million t-CO2 by fiscal year 2030 through publicprivate collaborations. Japan will appropriately count the acquired credits to achieve its NDC.

Information to facilitate clarity, transparency and understanding• Japan will establish and implement the Joint Crediting Mechanism (JCM) in order to quantitatively
evaluate contributions of Japan to greenhouse gas emission reductions and removals which areachieved through the diffusion of, among others, leading decarbonizing technologies, products,
systems, services and infrastructures as well as through the implementation of measures indeveloping countries and others, and in order to use such contributions to achieve Japan’s NDC.
By doing so, through public-private collaborations, Japan aims to secure accumulated emission
reductions and removals at the level of approximately 100 million t-CO2 by fiscal year 2030. Japan
will appropriately count the acquired credits to achieve its NDC.
• With regards to the JCM which Japan has initiated to establish, Japan secures environmental
integrity and the avoidance of double-counting in line with the international rules including theParis Agreement. Also, based on its experience in the JCM, Japan intends to lead international
discussions, thereby contributing to the development of appropriate international rules for the useof market mechanism.

Position of the JCM in the Plan for Global Warming Countermeasures

10*Cabinet Decision, October 2021

Description about the JCM• Japan will establish and implement the Joint Crediting Mechanism (JCM) in order to quantitatively
evaluate contributions of Japan to greenhouse gas emission reductions and removals which areachieved through the diffusion of, among others, leading decarbonizing technologies, products,
systems, services and infrastructures as well as through the implementation of measures indeveloping countries and others, and in order to use such contributions to achieve Japan’s NDC. By
doing so, through public-private collaborations. Japan aims to secure accumulated emission
reductions and removals at the level of approximately 100 million t-CO2 by fiscal year
2030. Japan will appropriately count the acquired credits to achieve its NDC.

The JCM related Articles in the Paris Agreement

11

Article 6 of the Agreement

2. Parties shall, where engaging on a voluntary basis in cooperative approaches
that involve the use of internationally transferred mitigation outcomes
towards nationally determined contributions, promote sustainable
development and ensure environmental integrity and transparency, including
in governance, and shall apply robust accounting to ensure, inter alia, theavoidance of double counting, consistent with guidance adopted by the
Conference of the Parties serving as the meeting of the Parties to the Paris
Agreement.
3. The use of internationally transferred mitigation outcomes to achieve
nationally determined contributions under this Agreement shall be voluntary
and authorized by participating Parties.
⚫ Use of market mechanisms, including the JCM, is articulated in Article 6 which prescribes forthe use of emissions reductions realized overseas towards national emissions reduction
targets.
⚫ The amount of emissions reduction and removal acquired by Japan under the JCM will beappropriately counted as Japan’s reduction consistent with the guidance on cooperative
approaches, referred to in Article 6, paragraph 2 of the Paris Agreement (Decision 2/CMA.3).

Relevant arrangements to implement the JCM

12◼ Plan for Global Warming Countermeasures (Cabinet decision on Oct 22, 2021)-

Designate the JCM implementing authorities to establish the JCM Promotion and Utilization Council
Designate the JCM Promotion and Utilization Council to authorizes JCM credits issued in the JCM registry ofJapan and decide the procedures for authorization as a Party to the Paris Agreement.

◼ Establishment of the JCM Promotion and Utilization Council
consisting of five relevant Ministries* (Jan 17,2022)* Ministry of the Environment; Ministry of Economy, Trade and Industry; Ministry of Foreign Affairs; Ministry ofAgriculture, Forestry and Fisheries and Ministry of Land, Infrastructure, Transport and Tourism* Reference: https://www.env.go.jp/content/000060591.pdf◼ Formulation of the procedures on the authorization and corresponding
adjustments (Apr 7, 2022)- Establishment “Procedures for Authorization as a Party to the Paris Agreement regarding the Joint Crediting
Mechanism (JCM)” and “Procedures for Corresponding Adjustments regarding the Joint Crediting
Mechanism.”* Reference: https://www.env.go.jp/content/000060562.pdf◼ Promotion of the formation of private sector JCM projects- Publication of the guidance on the development of private sector JCM projects invested and implemented byprivate companies without any governmental financial support in March 2023
- Updated guidance released in March 2024

Private-Sector JCM projects

13<Background>• In order to achieve the JCM target of "cumulative international emission reduction/removal of approximately 100 million t-CO2 by2030 through public-private partnership" based on the Global Warming Countermeasures Plan (approved by the Cabinet in
October 2021), in addition to the conventional JCM project formation using financial support from the government, there is a needto promote the formation of JCM projects invested and implemented by private companies without any governmental financial
supports for the purpose of obtaining JCM credits (private sector JCM), in light of the growing interest in the use of JCM credits on
the part of private-sector companies in recent years.
• In FY2021, the "Study Group on Measures to Promote the Use of JCM by the Private Sector" released "Recommendations"
including the following.
• Significance of utilization of private-sector JCM and expectations from the private sector for the development of the system:
Necessity of developing specific procedures for the JCM system, etc.
• Promotion of partner countries' understanding of the concept of credit allocation, etc.: Importance of improving
foreseeability through the advance inquiry process, etc.
＜JCM Project Cycle＞

Promotion through the formulation of "Guidance on the development of PrivateSector JCM projects invested and implemented by private companies without
any governmental financial supports• Introduction of the following new procedure, which is under discussion with each
JCM Partner country:• Making an advance inquiry to the partner countries on the "Project Idea Note
(PIN)" which includes the project contents and credit allocation plan
• Confirming whether there are any objections at the Joint Committee prior to
the implementation of a JCM project.
• Explanation of matters to be considered when proposing a private-sector JCM
project by PIN and requesting credit allocation (e.g., the concept of financial andnon-financial contributions).
• Support measures for implementation of private-sector JCM projects, points to keep
in mind when dealing with human rights, etc., and introduction of the support desk.
• This guidance has been updated in March 2024 based on future revisions of JCM
rules with JCM partner countries and the status of private-sector JCM projects.

Confirmation ofno objection

Newly added process（under discussion
with partner countries）※To be implemented for all JCM projects

JCM’s contribution to NDC

14◼ Emission reductions to be credited are defined as the difference between
reference emissions and project emissions.
◼ The reference emissions are established in a manner that the proposed
project contributes to the achievement of the latest NDC of a partner country.
◼ The credits acquired by Japan will be used towards the achievement ofJapan’s NDC.
◼ The credits remaining in the partner country will contribute to theachievement of the partner country’s NDC.

GHG emissions fromsources coveredby a projectStart of project operation

End of crediting period
Likely range of BaU emissions
Reference emissions

Emission
reductions（credits）

Credits remaining
in the partner country

Contributions to the partnercountry’s latest NDC

Credits acquired by Japan

Contributions to Japan’s latest NDC

Project emissions
TimeJCM Website
URL: https://www.jcm.go.jp/

15▼Image of the general information page

Contents⚫ General information page
⚫ Individual JCM Partner countries-Japan
page

Function⚫ Information sharing to the public, e.g.,• the JC decisions• rules and guidelines• methodologies and projects• issuance of JCM credits• call for public inputs/comments• status of TPEs, etc.
⚫ Internal information sharing for the JC
members, e.g.
• File sharing for electric decisions by
the JC▼Image of the individual JCM Partner countries-Japan page
Partner Country - Japan

Japan’s support for theJCM partner countries

16Overview of Japan’s support for the JCM partner countries
Programme

Ministry of theEnvironment

Ministry of Economy,
Trade and Industry

Ministry ofAgriculture, Forestry
and Fisheries

17Type of support

Finance Programme for JCM Model
Projects*

Subsidy

Finance Programme for F-gas Recovery
and Destruction Model Projects*

Subsidy

Japan Fund for the JCM (JF JCM)
- managed by ADB

Grant

JCM support programme by UNIDO*

Grant for projects,
technical cooperation

Demonstration Programme for Applicationof New Decarbonizing Technology*

Subsidy

Project development/capacity
building/MRV support

Technical cooperation

JCM Feasibility Study

Technical cooperation

JCM Demonstration Programme

Government-commissioned project

Development of MRV for JCM projects inAgriculture –implemented by ADB

Technical cooperation

Field studies for JCM REDD+

Government-commissioned project* These programmes can support projects implemented by government-owned companies but not those implemented by the government itself.

Finance Programme for JCM Model Projects by MOEJ
Budget for projects starting from FY
2024 is approx. 13 billion JPY(approx. USD 85 million) in total by(1 USD = 150 JPY)
FY2025Governmentof JapanFinance part of an investment cost
(up to half)∗ Includes collaboration with projects supported
by JICA and other governmental-affiliatedfinancial institute.

Conduct MRV and expected to deliver
JCM credits issued

International consortiums(which include Japanese entities)⚫ Scope of the financing: facilities, equipment, vehicles, etc. which reduce CO2 from fossil fuelcombustion as well as construction cost for installing those facilities, etc.
⚫ Eligible Projects: starting installation after financing is awarded and finishing installation within
three years.

18

Finance Programme for JCM F-gas Recovery
and Destruction Model Projects by MOEJ
【Budget for FY2024-2026】
180 million JPY (approx. 1.2million USD)
(1 USD = 150 JPY)

19

Governmentof JapanFinance part of the cost in flat-rate(up to 57 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 the government of Japan

International consortiums (which include Japanese entities)
Manufacturers ofequipment whichuses F-gas

Users ofequipment whichuses F-gas

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

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

Purpose

Project Period

To recover and destroy F-gas (GHG except for energyrelated CO2, etc) from used equipment instead of releasing
to air, and reduce emissions

Three years in maximum(Ex. 1st year for scheme, 2nd year for facilities, 3rd year
for recovery/destruction)

Scope of Financing

Eligible Projects• Establish scheme for recovery and destruction• Install facilities/equipment for recovery/destruction• Implementation of recovery, transportation, destruction
and monitoring• After financing is awarded, start implementation ofrecovery/destruction within three years• Aim for the registration as JCM project and issuancecredits

20

ADB Trust Fund: Japan Fund for Joint Crediting Mechanism (JFJCM)

BudgetCumulative contribution from 2014: JPY 16.6 billion (approx. USD 110 million)※Budget for 2024: JPY 0.2 billion (approx. USD 1.3 million) (※1 USD = 150 JPY)

Overview

To provide financial incentives for the adoption of expensive but leading decarbonizing
technologies/methane emission reduction technologies in projects financed by AsianDevelopment Bank (ADB)

PurposeTo develop ADB projects with sustainable and decarbonizing transition perspective byintroducing advanced decarbonizing technologies as well as to acquire JCM credits

JCM credits

ADB
MOEJ

Contribution

1 Ordinary Capital Resources are from:(1) Paid-in capital provided byshareholders, (2) Funds borrowed from
capital markets and private placements,(3) Accumulated retained income(reserves). OCR loans are provided to
middle-income countries at a quasimarket rate.
2 Asian Development Fund offers
concessional loan and grant to lowincome countries.

MRV

JFJCM
(Trust Fund)Grant

ADB source（OCR1/ADF2)

Loan/Grant etc.
Co-financing

Co-Financing partners(Other financial
institutions and funds)

Loan/Grant etc.

GHG
reduction

Additional costs to
install leading
decarbonizing
technologies/methan
e emission reduction
technologies

Project(selected from ADB
project pipeline)

JCM support programme by UNIDO

21

BudgetCumulative contribution from 2021: JPY 800 million (approx. USD 5.33 million)※Budget for 2024: JPY 100 million (approx. USD 0.67 million)

Overview• Japanese service providers support the implementation of projects that utilize leading
decarbonizing technologies/methane emission reduction technologies in JCM partner countries
in principle.
• Reduce the additional costs of the introduction of leading decarbonizing technologies/methane
emission reduction technologies through financial support from UNIDO

PurposeTargeting JCM partner countries, mainly in the African region, promote the transition to a
decarbonization of society by developing a leading decarbonizing technologies, through theJCM scheme and aim to acquire JCM credits from realized GHG emissions reductions

Feature(Non-Sovereign)• Application: Japanese company as a service provider/ an international consortium in principle• Maximum Percentage of Financial Support：up to 75%• Monitoring period： an annual basis for at least 5 years etc.

JCM credit

MOEJ

Contribution

UNIDO

Grant
(Non Sovereign/
Sovereign)
Financial Support：
up to 75%

Other funds

Loan/Grant etc.

GHG
reduction

MRV

Additionalcosts

Technologies,
etc.
Service
Leadingproviderdecarbonizing（Applicants oftechnologies
the grant）

Mitigation
throughconventional
technologies
UNIDO-JCM project
JCM partner countries

Demonstration Programme forApplication of New Decarbonizing Technology

22【Budget for FY2023-2025】
850 million JPY (approx. 5.7MillionUSD)

１．Outline(1USD = 150JPY)

Implementing new demonstration scale projects
to promote the introduction of new decarbonizing technologies in JCM partner countries.

２．Eligible Technology• Advanced decarbonization technologies that have not been used in JCM projects in the
country concerned.
• Technologies that have been demonstrated and expected to be commercialized in Japanor overseas in the near future, but still require further demonstration of the businessmodel outside Japan.

３．Scope of Financial Support• Equipment, construction and labor costs for the demonstration• Research costs for fundraising or obtaining licenses and permits• Research costs for developing a new methodology for calculating GHG emission reductions

４．Percentage of Financial Support(a) 1/2（one-half） : Other than (b) and (c).
(b) 2/3（two-third）: When the representative participant is classified as a small and medium-sized enterprises in Japan.
(c) 1/3（one-third） : When the representative participant is not classified as a small and medium-sized enterprise in Japanand the amount of support is 100 million yen or less per year.

５．Issuance of JCM credits• The programme aims to issue JCM credits for emission reductions from its demonstration projects.
• The programme also aims to apply for the Financing Programme for JCM Model Projects
within a few years after completing its demonstration period.

JCM Financing Programme by MOE Japan (FY2013-2023)

23

as of April , 2024

Total 245 projects (29 partner countries)(●Model Project: 230 projects(including Eco Lease: 7projects), ■ADB: 8 projects, ■UNIDO: 1 project, ◆ REDD+: 2 projects, ▲F-gas: 4 projects)

168 underlined projects have been started operation.

Cambodia:5 projects●LED Street Lighting*●200kW Solar PV at International School*●1MW Solar PV & Centrifugal Chiller●Inverters for Distribution Pumps*●0.9MW Solar PV●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 ●4.3MW Solar PV●8.8MW Waste Heat Recovery in Cement Plant●Brewing Systems and Biogas Boiler to Brewery Factory

Bangladesh:5 projects●Centrifugal Chiller●Loom at Weaving Factory*●315kW PV-diesel Hybrid System*●Centrifugal Chiller*■High Efficiency Transmission Line

Tunisia:2 projects●50MW Solar PV2

Saudi Arabia:3 projects●Electorolyzer in Chlorine Production Plant*●400MW Solar PV ●100MW Solar PV

Maldives:4 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 PV1*
■Upscaling Renewable Energy Sector ●Fuel Conversion by Introduction of LPG Boilers■Improving Access to Health Services●15MW Solar PV2

Viet Nam:50 projects

Myanmar:8 projects●50MW Solar PV1

72 projects with * have been registered as JCM projects.

Sri Lanka:1 project●13.5MW Solar Power Project●186kW Solar Power on School Rooftop*■Smart Micro-Grid System*■Greater Male Waste to Energy Project■BESS and Ocean Energy●Digital Tachographs*●Amorphous transformers1*●Air-conditioning in Hotel1*●Container Formation Facility*●320kW Solar PV in Shopping Mall*●Air-conditioning Control System●Electricity Kiln
●Energy saving Equipment in Lens Factory*●Amorphous transformers 3*●Amorphous transformers 4●Energy Saving Equipment in Brewery Factory●Modal Shift with Reefer Container●Inverters for Raw Water Intake Pumps●Biomass Boiler to Chemical Factory●Air Cooled Chillers●57MW solar PV●Once-through Boiler to Food Factory●Biomass Boiler●Waste to Energy●LED Lighting to Office Building●9MW Solar PV●9.8MW Solar PV●5.8MW Solar PV●2.5MW Solar PV▲ F-gas Recovery and Mixed Combustion Scheme●20MW Biomass Power Plant●7.9MW Solar PV●0.4MW Solar PV (Eco Lease)●5.7MW Solar PV●1.8MW Solar PV●0.8MW Solar PV●50MW Biomass Power Plant1●Biomass Co-generation System●15MW Solar PV●4.1MW Solar PV●1.25MW Solar PV

Philippines:20 projects

Mexico:5 projects●1.53MW Rooftop Solar PV *●1MW Rooftop Solar PV●1.2MW Rooftop Solar PV *●4MW Solar PV *●9.6MW Solar PV●Biogas Power Generation and Fuel Conversion●29MW Binary Geothermal Power Generation ●20MW Flash Geothermal Power Plant▲ F-gas Recovery and Destruction Scheme●28MW Binary Geothermal Power Generation●14.5MW Mini Hydro Power Plant●9MW Solar PV●0.8MW Solar PV (Eco Lease)●5.6MW Binary Geothermal Power Generation●6MW Waste Heat Recovery in Cement Plant●27MW Solar PV●1.2MW Solar PV (Eco Lease) ●11.3MW Mini Hydro Power Plant ●10MW Solar PV●7MW Solar PV●1.2MW Power Generation with Methane Gas Recovery
System●Once-through Boiler and Fuel Switching●30MW Solar PV1●Energy Efficient Distillation System●0.5MW Solar PV (Eco Lease)

Palau:6 projects

Kenya:5 projects

Laos:6 projects●1MW Solar PV at Salt Factory※● 3.1MW Solar PV● 2.3MW Solar PV■ 230kW Solar PV and Storage Battery●1.7MW Solar PV◆REDD+ through controlling slush-and-burn●Amorphous transformers1※●14MW Floating Solar PV※●11MW Solar PV※●7MW Solar PV●Amorphous transformers2●Air-conditioning in Lens Factory*●Amorphous transformers 2*●High Efficiency Water Pumps*●Energy Saving Equipment in Wire Production Factory*●High Efficiency Chiller▲ F-gas Recovery and Dedicated Destruction Scheme●49MW solar PV●Air-conditioning in Hotel2●12MW Solar PV●Chiller and LED●16MW Mini Hydro Power Plant●40MW Offshore Wind Power●50MW Biomass Power Plant2●1.9MW Solar PV

Thailand:48 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 PV1●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●17.8MW Solar PV in Industrial Park
●3.4MW Solar PV●0.8MW Solar PV and Centrifugal Chiller▲ F-gas Recovery and Destruction Scheme●37MW Solar PV and Melting Furnace●Heat Exchanger in Fiber Factory●8.1MW Solar PV●Centrifugal Chiller to Machinery Factory●5MW Solar PV ●2.6MW Solar PV●2MW Solar PV2●2.7MW Solar PV with Blockchain Technology●32MW Solar PV and Floating Solar PV ●Once-through Boiler in Garment Factory●Boiler, Chiller and PV●2MW Solar PV3●1.3MW Solar PV (Eco Lease)●0.13MW Solar PV (Eco Lease)●Gas Co-generation System & 22MWSolar PV●ORC Waste Heat Recovery●4MW Solar PV●2.9MW Solar PV●0.9MW Solar PV●1.6MW Solar PV (Eco Lease)●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■Clean Energy Financing Project

Chile:15 projects

Costa Rica:2 projects●5MW Solar PV※●Chiller and Heat Recovery System●1MW Rooftop Solar PV*●3.4MW Rice Husk Power Generation●3MW Solar PV1* ●3MW Solar PV2●25.8MW Solar PV●9MW Solar PV1●9MW Solar PV2●3MW Solar PV3●6MW Solar PV●9MW Solar PV3●9MW Solar PV4●48MW Solar PV●2.0MW Solar PV●26.3MW Solar PV and 48MWh Storage Battery●196MWh Storage Battery in PV Plant

Indonesia:51 projects●Centrifugal Chiller at Textile Factory1*●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*● 500kW Solar PV and Storage Battery*●Regenerative Burners*●Centrifugal Chiller at Textile Factory*●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 Autoclave1●CNG-Diesel Hybrid Public Bus●Rehabilitation of Hydro Power Plant●Injection Molding Machine●2MW Mini Hydro Power Plant●Boiler to Carton Box Factory●10MW Hydro Power Plant2●6MW Hydro Power Plant1●6MW Hydro Power Plant2●5MW Hydro Power Plant●4.2MW Solar PV●Thermal Oil Heater System●3.3MW Rooftop Solar PV●6MW Hydro Power Plant3●2.3MW Hydro Power Plant●High Efficiency Autoclave2●Once-through Boiler in Chemical Factory●5MW Solar PV●3.1MW Solar PV●2.1MW Solar PV●3.5MW Hydro Power Plant●Energy Saving and Solar PV■55MW Geothermal Power Generation●12MW Biomass Power Plant●3MW Solar PV●Improvement of Flat Glass Production Melting FurnaceProject development & outreach activities by MOEJ
JCM Project Development• To identify barriers and needs for JCM project development in partnercountries in terms of technology, financing and partnership, and provide
solutions for overcoming barriers through consultations.
• To enhance overall capacity for JCM implementation throughfacilitating understanding on the JCM rules & guidelines, and MRV
methodologies by organizing workshops, seminars, training courses andsite visits.
• JCM Business Matching Site “JCM Global Match” provides businessmatching opportunities for sellers and buyers of low and zerocarbon technology for the JCM project.
https://gec.force.com/JCMGlobalMatch/s/

Outreach• Carbon Markets Express website provides information on the latest
updates on the JCM and relevant programmes such as JCM promotion
schemes by the Government of Japan.
http://carbon-markets.env.go.jp/eng/index.html• E-mail Newsletter and up-to-date information are distributed
regularly. To register, access:(for JP) http://carbon-markets.env.go.jp/newsletter/index.html(for EN) http://carbon-markets.env.go.jp/eng/en_newsletter/index.html

24

METI’s support for the JCM partner countries

25◼ METI supports the introduction of advanced decarbonizing technologies though
Demonstration Projects which contribute to the decarbonization of the JCM partner countries.
◼ The project cost burdened by Japanese side is 100% supported by Japanese government(METI/NEDO).
Examples of past projects

Assumed technical areas: Energy efficiency with IoT, EMS,
Renewable energy, CCS/CCUS, Hydrogen/Ammonia, etc.
JCM Demonstration Programby NEDO (*)

Scope:
Optimization in petroleum
refining plant, Yokogawa
Electric Corp. Indonesia

Energy-saving of mobile
communications basetransceiver stations, KDDI
Corp. Indonesia

Total: 11 projects in 6 countries (As of July 2023)

Demonstrate and verify the effectiveness of advanced decarbonizing technology:• Introduction of relevant facilities and systems, and conduct demonstration• Quantification of GHG emission reduction effectiveness• JCM procedure toward issuance of JCM credits• Budget for FY 2024: 0.7 billion JPY (approx. 7.5million USD)

Project period: Pre-demonstration stage: up to 1 year
JCM Feasibility Study
by METI

Demonstration stage: up to 3 year
Follow-Up Project stage: up to 2 year

Scope:• Consider basic elements of the demonstration(technology, project site, stakeholders, etc.)• Establish the basis of JCM methodology forquantification of the GHG emission reduction• Study the possibility of dissemination of theintroduced technology• Project cost: 15 million JPY (approx.100
thousand USD) per study (1USD=150JPY)

Project period: Up to 1 year

* NEDO = New Energy and Industrial Technology Development Organization

Feasibility Studies and Detailed/Secondary Feasibility Study(as of October 2023)
Moldova:⚫ Bio-gasification using ethanol distillation residues in the Republicof Moldova（SDG Impact Japan Inc.）

Uzbekistan:⚫ Introduction of solar power generation and storage batteries,

and boiler fuel conversion in public hospitals in Uzbekistan（Hanwa Co., Ltd.）

United Arab Emirates:⚫ Project to reduce GHG emissions in the United Arab Emirates(Emirate of Abu Dhabi) by introducing electric, hydrogen, and otherlow-carbon emission vehicles for public transportation mobility and
by introducing a system for monitoring and improving the efficiency
of operations (SMOC)（Zenmov Inc）

Mongolia:⚫ Switching fuel for heating boilers to biochar in Ulaanbaatar（PEAR Carbon Offset Initiative, Ltd.）
Lao PDR:⚫ Decarbonization of steam by systemization of hydrogen generators andhydrogen boilers in Lao PDR（Hitachi Zosen Corporation）
Vietnam:⚫ Integrated energy management and data platform in industrial parks（Sojitz
Corporation）⚫ Feasibility Study on JCM Credit Creation Through Fuel Conversion in
Vietnam(erex Co., Ltd.)⚫ ★Demonstration Project on Wastewater Heat Recovery and Geothermal Heat
Utilization Technology (Asano Taiseikiso Engineering Co., Ltd.)
Brazil:⚫ Conversion of production process of caustic soda and chlorine inFederative Republic of Brazil （AGC Inc.）

Thailand:⚫ Utilization of highly efficient dyeing technology in textile

dyeing process (Asahi Kasei Corp.）⚫ Feasibility study for JCM project implementation of biomass
boiler utilization with private sector funding (Tepia
Corporation Japan)⚫ ★Feasibility Study for Demonstration of Fuel Cell (FC) Truck
Technology for Low-Carbon Medium- and Long-DistanceOverland Freight Transport (Toyota Tsusho Corporation)

26

Chile:⚫ Chemical goods/synthetic fuel production using CO2
emitted from pulp mill as a raw material（ToyoEngineering Corporation）

Philippines:⚫ Study on GHG emission reduction and economic feasibility by the introduction of combined

distributed renewable energy resources into poultry cooperatives in the Philippines(J-POWER）

Indonesia:⚫ Improvement of biodiesel yield from palm oil by utilizing AI（Kanematsu Corporation）⚫ The study of stock-based peatland water management technology for a stable supply of woody biomass(Sumitomo Forestry Co.,Ltd.)

⚫ ★Low carbon technology project by introducing plasma heating equipment in Indonesia (NIPPON STEEL ENGINEERING CO., LTD.)

Total as of 2023: 17 projects (11 countries)
Projects with “●” are Feasibility Studies by METI
Projects with “●★” are Detailed/Secondary Feasibility Study by NEDO

Demonstration Projects by METI* (as of October 2023)

27* Including NEDO and UNIDO
Mongolia:⚫ ★High efficiency and low loss powertransmission and distribution system(Hitachi) ※Aug 2013 – Feb 2019

Vietnam:⚫ ★Energy saving by inverter air conditioner optimum operation at National
Hospital (Mitsubishi Electric) ※Jan 2014 - Jun 2017
⚫ ★Energy saving by BEMS optimum operation at Hotel (Hibiya Engineering)※Jan 2014 – Feb 2018

⚫ ★Energy Saving and Work Efficiency Improvement Project by special LED

Kenya:⚫ Rural Electrification Project forCommunities by Micro Hydro Power in
Kenya(NTT Data Institute of Management
consulting, Inc.)※FY2012 – Feb 2019※implemented by UNIDO

Thailand:⚫ IoT utilization promotion project tostreamline and advance power generation
assets for electric power companies in
ASEAN countries (Marubeni)※Feb 2019 ｰ Feb 2023
⚫ Low-carbonized Operation for Power Grid
utilizing online voltage-var(Q) OptimalControl (OPENVQ) with ICT (OPENVQ)※Nov 2019 –Equipment with new technology, COB(Stanley Electric)※ Sep 2016 – Feb 2018

Lao PDR:⚫ ★Lao PDR Energy efficient date center(LEED) (Toyota Tsusho
Corporation, Internet Initiative Japan)※Jan 2016 - Oct 2018

Total：11 projects （6 countries)➢ Underlined projects, one in Mongolia, three in Vietnam,
one in Lao PDR, three in Indonesia, one in Kenya wereregistered as JCM projects.
➢ Projects with “★” are those which JCM credits havebeen issued.

Indonesia:⚫ Operation Optimization in Utility Facility (Azbil)※Feb 2014 – Dec 2018
⚫ Energy Saving by Optimum Operation at Oil Refinery（Yokogawa）※Nov 2013 – Feb 2019

⚫ The low carbonization of mobile communication‘s BTS (BaseTransceiver Station) by the Introduction of “TRIBRID system”(KDDI)※Apr 2017 – Feb 2019

Development of MRV for JCM projects in Agriculture –implemented by ADB
Budget28➢ Budget for FY 2024: JPY 30 million (approx. USD 0.2million)➢ Launch committees consisting of experts from governments of partner countries and Japanand relevant organizations with ADB serving as the secretariat.
➢ In 2024, the committees will commence the discussion on MRV and other necessary elements
for Alternate Wetting and Drying (AWD) to reduce methane emissions from rice paddy fields,
Overview
aimed at supporting the formulation and implementation of an actual JCM project inagriculture to generate reliable and transparent carbon credits while ensuring business
continuity for the private sector.

Purpose➢ Achievements of triple goals: GHG emission reduction, gain in farmers’ income, anddissemination of Japanese climate-smart technology.

ADB

Contribution

MAFFJ

Expert Committee（Discussion on MRV）
[Members]
・Gov. of Japan・Gov. of Partner Country
・Related int’l organizations
・Research Institutes

OutcomeGHG
Reduction

Farmers inpartnercountry

Publicationof MRV

Utilization

Technology
and finance

Project
Developer

JCM
Credits

Gain inFarmers’ income

JCM project by private sector**JCM Projects are envisioned to be led by Private Sector