Press Release
September 29, 2022
- Global Environment
MOE Japan Selects Five New Projects for JCM Model Projects of Joint Crediting Mechanism (JCM) Financing Support Programme for FY2022 (Third Round)
On September 29, 2022, the Ministry of the Environment (MOE), Japan, announced five new projects selected for the JCM Model Projects of the Joint Crediting Mechanism (JCM) Financing Support Programme for FY2022 (third round) in addition to the 16 projects selected in the first round (July 1, 2022) and the four projects selected in the second round (August 9, 2022). The total number of selected JCM Model Projects has reached 211, and the cumulative reduction of greenhouse gas (GHG) emissions by FY2030 is expected to be approximately 19 million tons-CO2.
MOE Japan received a variety of applications for the JCM Model Projects for this third round, and selected five projects related to solar power, one of renewable energies. MOE Japan will continue to strongly promote the overseas expansion of decarbonizing infrastructure through the JCM, based on the "Plan for Global Warming Countermeasures (Cabinet decision in October 2021)" and others.
The fourth round of applications for the JCM Model Projects in FY2022 will be open until October 7, and the last applications in FY2022 will be accepted until November 30, 2022.
MOE Japan received a variety of applications for the JCM Model Projects for this third round, and selected five projects related to solar power, one of renewable energies. MOE Japan will continue to strongly promote the overseas expansion of decarbonizing infrastructure through the JCM, based on the "Plan for Global Warming Countermeasures (Cabinet decision in October 2021)" and others.
The fourth round of applications for the JCM Model Projects in FY2022 will be open until October 7, and the last applications in FY2022 will be accepted until November 30, 2022.
1. JCM Outline
- Since 2013, Japan has established the JCM with 22 partner countries and over 200 projects have been selected. The JCM's 22 current partner countries are: Mongolia, Bangladesh, Ethiopia, Kenya, Maldives, Vietnam, Laos, Indonesia, Costa Rica, Palau, Cambodia, Mexico, Saudi Arabia, Chile, Myanmar, Thailand, Philippines, Senegal, Tunisia, Azerbaijan, Moldova, and Georgia.
- The JCM aims to reduce GHG emissions in developing countries by utilizing advanced decarbonizing technologies. Under the JCM scheme, in line with Article 6 of the Paris Agreement, Japan is facilitating diffusion of leading decarbonizing technologies and infrastructure, etc. as well as implementation of mitigation actions in partner countries. The JCM contributes to the achievement of both countries' NDCs while ensuring the avoidance of double counting through corresponding adjustments.
- The JCM Model Projects of MOE Japan provide financial support of up to 1/2 of the initial investment cost for projects. Representative participants in the JCM Model Projects shall conduct measurement, reporting and verification (MRV) of GHG emission reductions. In addition, this financing support programme is expected to contribute to global decarbonization by disseminating and deploying advanced decarbonizing technologies while deeply understanding the needs of partner countries.
- These JCM activities are in accordance with the "Plan for Global Warming Countermeasures (Cabinet decision in October 2021)," the "MOE Japan Policy for Implementing Article 6 of the Paris Agreement after COP26 (November 2021)", and the "Grand Design and Action Plan for a New Form of Capitalism and Follow-up (Cabinet decision in June 2022)."
(For further information of the JCM: https://www.jcm.go.jp)
2. Outline of the Five New Projects Selected for the MOE Japan's JCM Model Projects
- Applications for the "JCM Model Projects of JCM Financing Support Programme" in FY2022 by the Global Environment Centre Foundation (GEC, an implementing organization) are open until November 30, 2022.
- In the third round of the selection process in FY2022, MOE Japan selected five new projects in addition to the 16 projects selected in the first round that were announced on July 1, 2022, and the four projects selected in the second round that were announced on August 9, 2022, based on the results of an initial document screening, secondary review through interviews, and acceptance/rejection review. MOE Japan will carry out the procedures for the decided financial support and the procedures for the implementation of the JCM with partner countries.
< Projects selected in the third round (September 29, 2022) >
| No. | Partner Country | Project Name | Representative Participant |
Estimated GHG Reduction (tCO2/year) |
| 21 | Vietnam | Introduction of 5.7MW Rooftop Solar Power System to Fastener and Aluminum Factories | Marubeni Corporation | 1,416 |
| 22 | Indonesia | Introduction of 3.1MW Rooftop Solar Power System to Fast-Moving Consumer Goods and Printing Factories in Java Island | Alamport Inc. | 2,658 |
| 23 | Indonesia | Introduction of 2.1MW Solar Power System to Steel Wire Products and Aluminum Factories | Tokyo Century Corporation | 1,747 |
| 24 | Chile | 9MW Second Solar Power Project in Yungay, Biobio Region | Eurus Energy Holdings Corporation | 8,342 |
| 25 | Chile | 9MW Solar Power Project in Teno, Maule Region | Eurus Energy Holdings Corporation | 8,239 |
[Reference 1] Projects selected in the first round (July 1, 2022)
https://www.env.go.jp/en/press/press_00053.html
| No. | Partner Country | Project Name | Representative Participant |
Estimated
GHG Reduction
（tCO2/year）
|
| 1 | Kenya | Introduction of 3.1MW Rooftop Solar Power System to Food Processing Facilities | AAIC Japan Co., Ltd. | 2,454 |
| 2 | Kenya | Introduction of 2.3MW Rooftop Solar Power System to Hatchery, Meat Processing and Battery Facilities | AAIC Japan Co., Ltd. | 1,735 |
| 3 | Vietnam | 20MW Biomass Power Plant Project in Hau Giang Province | eREX Co.,Ltd. | 36,814 |
| 4 | Vietnam | 16MW Mini Hydro Power Plant Project in Binh Thuan Province | Kanematsu KGK Corp. | 16,910 |
| 5 | Vietnam | Energy Supply Project by 7.9MW Rooftop Solar Power System to Automotive and Garment Factories | The Kansai Electric Power Company, Incorporated | 2,634 |
| 6 | Vietnam | Introduction of 0.4MW Rooftop Solar Power System to Aluminum Wheel Manufacturing Factory (JCM Eco Lease Scheme) | Sumitomo Mitsui Trust Panasonic Finance Co., Ltd. | 156 |
| 7 | Indonesia | Introduction of High-efficiency Once-through Boiler System to Chemical Factory | DIC Corporation | 1,652 |
| 8 | Thailand | Introduction of Gas Co-generation System and 22MW Rooftop Solar Power System to Tire Factory | The Kansai Electric Power Company, Incorporated | 31,652 |
| 9 | Thailand | Introduction of ORC Waste Heat Recovery Power Generation System to Flat Glass Factory | AGC Inc. | 7,845 |
| 10 | Thailand | Energy Supply Project by 4.3MW Rooftop Solar Power System to Parts and Tools Factories | The Kansai Electric Power Company, Incorporated | 1,926 |
| 11 | Thailand | Energy Supply Project by 2.9MW Rooftop Solar Power System to Metal Factories and Refrigerating Warehouse | Osaka Gas Co., Ltd. | 1,150 |
| 12 | Thailand | Energy Supply Project by 1MW Rooftop Solar Power System to Metal Recycling and Automotive Parts Factories | Marubeni Corporation | 403 |
| 13 | Philippines | 28MW Binary Power Generation Project at Mahanagdong Geothermal Power Plant | JGC CORPORATION | 76,220 |
| 14 | Philippines | 14.5MW Mini Hydro Power Plant Project in Siguil River in Mindanao | Toyota Tsusho Corporation | 47,349 |
| 15 | Philippines | Energy Supply Project by 9MW Solar Power System to Ceramic Factory and Cement Plant | Marubeni Corporation | 5,957 |
| 16 | Philippines | Introduction of 0.8MW Solar Power System to Aluminum Products, Packaging Materials and Automotive Parts Factories (JCM Eco Lease Scheme) | Tokyo Century Corporation | 544 |
[Reference 2] Projects selected in the second round (August 9, 2022)
https://www.env.go.jp/en/press/press_00372.html
| No. | Partner Country | Project Name | Representative Participant |
Estimated GHG Reduction （tCO2/year） |
| 17 | Indonesia | Introduction of 5MW Solar Power System to Vehicle and Engine Plants | TOYOTA MOTOR CORPORATION | 3,788 |
| 18 | Chile | 6MW Solar Power Project Utilizing Farmland in Maule and Nuble Region | Farmland Co., Ltd. | 4,400 |
| 19 | Thailand | Thermal Energy Supply and Methane Avoidance Project Utilizing Biomass mixed with Biogas from Wastewater in Fruit Processing Factory | Dole Japan Inc. | 43,343 |
| 20 | Thailand | Introduction of 1.6MW Solar Power System to Plastic Bottles and Cosmetics Factories (JCM Eco Lease Scheme) | Tokyo Century Corporation | 595 |
[Reference 3] Positioning of the JCM in the Plan for Global Warming Countermeasures (Cabinet decision, October 2021)
http://www.env.go.jp/earth/ondanka/keikaku/211022.html (Available in Japanese)
Japan will establish and implement the JCM in order to quantitatively evaluate contributions of Japan to GHG emission reductions and removals, which are achieved through the diffusion of, among others, leading decarbonizing technologies, products, systems, services and infrastructures as well as through the implementation of measures in developing 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 establish and implement the JCM in order to quantitatively evaluate contributions of Japan to GHG emission reductions and removals, which are achieved through the diffusion of, among others, leading decarbonizing technologies, products, systems, services and infrastructures as well as through the implementation of measures in developing 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.
[Reference 4] MOE Japan Policy for Implementing Article 6 of the Paris Agreement after COP26 (November 2021)
https://www.env.go.jp/annai/kaiken/files/r04/cop26%206jou.pdf (Available in Japanese)
At COP26, the Rulebook for Article 6 (market mechanisms) of the Paris Agreement was concluded, paving the way for utilizing market mechanisms to reduce global emissions. Leading Article 6 negotiations and being a frontrunner with the experience of the JCM, Japan will take the following three actions to contribute to global decarbonization.
< Three actions >
1. Expand JCM partner countries and strengthen project development and implementation in collaboration with international organizations
2. Scale up the JCM by mobilizing further private finance
3. Contribute to the global operationalization of market mechanisms
At COP26, the Rulebook for Article 6 (market mechanisms) of the Paris Agreement was concluded, paving the way for utilizing market mechanisms to reduce global emissions. Leading Article 6 negotiations and being a frontrunner with the experience of the JCM, Japan will take the following three actions to contribute to global decarbonization.
< Three actions >
1. Expand JCM partner countries and strengthen project development and implementation in collaboration with international organizations
2. Scale up the JCM by mobilizing further private finance
3. Contribute to the global operationalization of market mechanisms
[Reference 5] Grand Design and Action Plan for a New Form of Capitalism and Follow-up (Cabinet decision, June 2022)
https://www.cas.go.jp/jp/seisaku/atarashii_sihonsyugi/pdf/fu2022.pdf (Available in Japanese)
For achieving the target of the JCM, accelerating consultations to expand partner countries up to approximately 30 countries worldwide by around 2025.
For achieving the target of the JCM, accelerating consultations to expand partner countries up to approximately 30 countries worldwide by around 2025.
