Recent Development of the JCM
and JCM Model Project
June 2017
Mr. Kazuhisa KOAKUTSU
Deputy Director
Office of Market Mechanisms
Global Environment Bureau
Ministry of the Environment of Japan1

The Joint Crediting Mechanism
 Facilitating diffusion of leading low carbon technologies through contributions from Japan and evaluating realized GHG
emission reductions or removals in a quantitative manner to use them for achieving Japan’s emission reduction target.
 Japan will address the high initial cost barrier of introducing advanced low-carbon technologies in developing countries
through the JCM (GoJ implements several supporting schemes)

Energy saving atconvenience stores,
Panasonic, Indonesia

High efficiency airconditioning and processcooling, Ebara
refrigeration equipment &systems, Indonesia

High-efficiency Heat only
Boilers, Suuri-Keikaku,
Mongolia

Installing solar PV system,
PCKK, Palau Maldives

Amorphous transformers
in power distribution,
Hitachi Materials,
VietnamCo-generation system atfactory, Toyota, Nippon
Steel & Sumikin
Engineering, Indonesia,
ThaiHigh efficiency airconditioning system,
Hitachi, Vietnam

Waste to Energy Plant,
JFE engineering,
MyanmarHigh efficient
refrigerator, Mayekawa
MFG, Indonesia

Regenerative Burners inindustries, Toyotsu
Machinery, Indonesia

LED street lighting systemwith wireless network
control, MinebeaMitsumi、
Cambodia

Waste heat recovery inCement Industry, JFEengineering, Indonesia

Eco-driving with Digital
Tachographs, NITTSU,
VietnamUpgrading air-saving loomat textile factory, TORAYetc., Indonesia, Thai,
BangladeshHigh efficiency airconditioning system,
Daikin, Vietnam

2

JCM Partner Countries
 Japan has held consultations for the JCM with developing countries since 2011 and has establishedthe JCM with Mongolia, Bangladesh, Ethiopia, Kenya, Maldives, Viet Nam, Lao PDR, Indonesia, Costa
Rica, Palau, Cambodia, Mexico, Saudi Arabia, Chile, Myanmar, Thailand and the Philippines.

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)

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

Saudi Arabia
May 13, 2015

Chile
May 26, 2015
(Santiago)

Myanmar
Sep. 16, 2015
(Nay Pyi Taw)

ThailandNov. 19, 2015
(Tokyo)the Philippines
Jan. 12, 2017
(Manila)3

Statement by Prime Minister Shinzo Abe at the COP21 (Excerpt)

The second component of Japan’s new set of contribution is innovation. The
key to acting against climate change without sacrificing economic growth is thedevelopment of innovative technologies. To illustrate, there are technologies toproduce, store and transport hydrogen towards realizing CO2–free societies, anda next-generation battery to enable an electric car to run 5 times longer than thecurrent level. By next spring Japan will formulate the “Energy and Environment
Innovation Strategy.” Prospective focused areas will be identified and researchand development on them will be strengthened. (snip)
In addition, many of the advanced low-carbon technologies do not generally
promise investment-return to developing countries. Japan will, while loweringburdens of those countries, promote diffusion of advanced low carbon
technologies particularly through implementation of the JCM.

4

Progress of the JCM in each partner country as of June 26 2017
Partnercountries

Start fromNo. of JC

Registeredprojects

Approved
methodologies

Number ofCredit issuance

Project
Pipeline(FY2013-2017)

Mongolia

Jan 2013

4432

6

Bangladesh

Mar 2013

31

6Ethiopia

May 2013

332KenyaJun 2013

333MaldivesJun 2013

213Viet Nam

Jul 2013

5620

Lao PDRAug 2013

2

1

4Indonesia

Aug 2013

6Costa Rica

Dec 2013

1

Palau

Apr 2014

4

Cambodia

Apr 2014

2MexicoJul 2014

14

Saudi Arabia

May 2015

11ChileMay 2015

12

MyanmarSep 2015

15Thailand

Nov 2015

2Philippines

Jan 2017

Total

174712229231

1235223
441

1835

5122

5

Approved JCM methodologies
Partner country

No.

Indonesia

12Viet Nam

6Mongolia

3Kenya3

Ethiopia

3Thailand2

Cambodia

2

Palau

1

Maldives

1

Bangladesh

1

Lao PDR1

11 countries

35

Project Types
Waste Transportation
gas/heat, 1, 3%
Biomass, 1, utilization, 1,3%
3%
Biogas, 1, 3%

Renewableenergies,
10, 28%

As of July 3rd, 2017

EnergyEfficiency,
21, 60%6Registered JCM Projects
Project Types

Partner countryNo.

Indonesia

7

Mongolia

4Vietnam

4Palau3

4 countries

18

Transportation, 1, 5%
Renewableenergies, 5,28%
Energyefficiency,
12, 67%

As of July 3rd, 2017

7

JCM Credits Issued
Partnercountry

Project title

Issuance
Date

Amount(t-CO2)(PartnerCountry)

Amount(t-CO2)
Japan)

Indonesia

Project of Introducing High Efficiency
Refrigerator

2016/5/12

38

Indonesia

Project of Introducing High Efficiency
Refrigerator

2016/5/12

623

Mongolia

Installation of high-efficiency Heat Only
Boilers in 118th School of Ulaanbaatar
City Project

2016/9/30

1040

Mongolia

Centralization of heat supply system by
installation of high-efficiency Heat OnlyBoilers in Bornuur soum Project

2016/9/30

2285

2016/12/22

74222115378

Palau

Small scale solar power plants forcommercial facilities in island states

As of July 3rd, 2017

8

JCM Model Projects by MOE
The budget for projects
starting from FY 2017 is
6.0 billion JPY (approx. USD60million) in total by FY2019

Government ofJapan※Includes collaboration withprojects supported by JICA
and other governmentalaffiliated financial institute.

(1 USD = 100 JPY)

Finance part of aninvestment cost(less than half)Conduct MRV and expected
to deliver at least half of JCM
credits issued

International consortiums(which include Japanese entities)

 Scope of the financing: facilities, equipment, vehicles, etc. which reduce CO2 fromfossil fuel combustion as well as construction cost for installing those facilities, etc.
 Eligible Projects : starting installation after the adoption of the financing andfinishing installation within three years.

9Contributions from JapanJapanese
government& entities

Partner Country

Credits

SelectFinancial support

Initial cost

GHGemissions

Conventional equipment & facility

Emission reductionsInitial cost

GHG emissions

Incentivize selecting
low-carbon technologies
by the financial support
to initial cost

Japan will acquire apart of JCM credits(in return to thefinancial support)

Low-carbon equipment & facility

10JCM Financing programme by MOEJ (FY2013～2017) as of June 26, 2017
Thailand:Mongolia:○Energy Saving at Convenience Store○1.0MW Solar PV on Factory Rooftop○Upgrading Air-saving Loom○Centrifugal Chiller & Compressor○Co-Generation in Motorcycle Factory○Centrifugal Chiller in Tire Factory○Air Conditioning System & Chiller○Refrigeration System○Ion Exchange Membrane Electrolyzer ○Chilled Water Supply System○LED Lighting to Sales Stores ○12MW Waste Heat Recovery in Cement Plant○Co-generation System○Refrigerator and Evaporator○1.5MW Solar PV and EMS in Paint Factory○3.4MW Solar PV○Heat Recovery Heat Pump ○5MW Floating Solar PV ○27MW Solar PV○Boiler System in Rubber Belt Plant○Air-conditioning Control System○Biomass Co-generation System ○Energy Saving Equipment in Port

○Heat Only Boiler (HOB)**○2.1MW Solar PV in Farm*○10MW Solar PV*○8.3MW Solar PV in Farm 〇15MW Solar PVViet Nam:
○Digital Tachographs*○Amorphous transformers*○Air-conditioning in Hotel○Air-conditioning in Lens Factory○Container Formation Facility○320kW Solar PV in Shopping Mall
○Amorphous transformers 2○Air-conditioning Control System○Electricity Kiln
○High Efficiency Water Pumps○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

Bangladesh:○Centrifugal Chiller○Loom at Weaving Factory○320kW PV-diesel Hybrid System ○50MW Solar PV Power Plant○Centrifugal Chiller○Air-conditioning system

Saudi Arabia:○Electorolyzer in Chlorine
Production Plant

Laos:

Mexico:●REDD+ through controlling slush-andburn〇Amorphous transformers〇14MW Floating Solar PV○4.8MW Power Generation with Methane
Gas Recovery System○Once-through Boiler and Fuel Switching○64MW Wind Farm ○20MW Solar PV

Cambodia:○Biomass CHP Plant○LED Street Lighting○Solar PV & Centrifugal Chiller○Inverters for Distribution Pumps

Ethiopia:○200kW Solar PV at International School○800kW Solar PV at International School

Kenya:

Palau:○6MW Hydropower Generation○1MW Solar PV at Salt Factory○370kW Solar PV for Commercial Facilities*○150kW Solar PV for School*○440kW Solar PV for Commercial Facilities Ⅱ*Myanmar:

Phillipines:○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 CenterMaldives:○190kW Solar Power on School Rooftop■Smart Micro-Grid System○ Model Project in FY 2013 (7 projects in 3 countries)○ Model Project in FY 2014 (12 projects in 5 countries)■ ADB Project in FY 2014 (1 project in 1 country)○ Model Project in FY 2015 (33 projects in 10 countries)○ Model Project in FY 2016 (37 projects in 10 countries)● REDD+ Model Project (2 projects in 2 countries)○ Model Project in FY 2017 (18 projects in 8 countries)* Other 1 project in Malaysia

Total 110 projects in 17 partner countries

Costa Rica:○5MW Solar PV○Chiller and Heat Recovery System○15MW Hydro Power Plant ○4MW Hydro Power Plant○1.53MW Rooftop Solar PV ○1MW Rooftop Solar PV

Chile:○1MW Rooftop Solar PV○4.6MW Solar PV

Indonesia:○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○20kW 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 Plant○Looms in Weaving Mill
○LED Lighting to Sales Stores○Industrial Wastewater Treatment System○0.5MW Solar PV○Gas Co-generation system○1MW Solar PV○Air-conditioning utility system in Airport11projects)
Underlined projects have started operation (48 projects, including 4 partially started
Projects with * have been registered as JCM projects (16 projects)

JCM Financing Programme by MOEJ (FY2013-2017)
Total of 110 projects in 17 partner countries
Energy efficiency

Renewable Energy
Solar
Micro hydroBiomass

Renewable Energy/Energy
Efficiency

Looms

Renewable Transport Waste
1%2%Energy/Energy（1）
Efficiency
2%

Equipment
Steam boiler
BurnerElectrolysis tankLED

Co-generation SystemProduction line

PV and Refrigerating
PV and Production line

Transport

Renewable
Energy35%

Energy Efficiency
58%

Optimization
Pump
Water heater
Air-conditioning

Digital Tachographs

Refrigerating

Waste
Waste to Energy

REDD+
2%

REDD+
Controlling Slush and burnAs of June 26, 2017

Transmission/Transformer
LED Streetlights（26）

Boiler (heating)
Smart Grid12