Press Release

March 22, 2024
  • Global Environment

MOE Japan Selects Nine New JCM Model Projects of Joint Crediting Mechanism (JCM) Financing Support Programme for FY2023 (Fourth Round)

On March 22, 2024, Ministry of the Environment (MOE), Japan, announced nine new projects selected for the JCM Model Projects of the Joint Crediting Mechanism (JCM) Financing Support Programme for FY2023 (fourth round) in addition to the four projects in the first round (August 17, 2023), the four projects in the second round (October 5, 2023) and the five projects in the third round (February 2, 2024). The total number of supported JCM Model Projects has reached 248, and the cumulative reduction of greenhouse gas (GHG) emissions by FY2030 is expected to be approximately 20 million tons-CO2.

MOE Japan received a variety of applications for the JCM Model Projects for this fourth round and selected nine projects related to renewable energy, such as solar and biomass power generation and biomass co-generation system. 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.
1. JCM Outline
-  Since 2013, Japan has established the JCM with 29 partner countries, and over 200 projects have been selected. The JCM's 29 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, Georgia, Sri Lanka, Uzbekistan, Papua New Guinea, United Arab Emirates, Kyrgyz Republic, Kazakhstan, and Ukraine.
 
- The JCM aims to reduce GHG emissions in developing countries and others by utilizing advanced decarbonizing technologies. Under the JCM scheme, Japan is facilitating the diffusion of leading decarbonizing technologies and infrastructure, etc. as well as the implementation of mitigation actions in partner countries. The JCM contributes to the achievement of Japan’s and partner countries' NDCs while ensuring the avoidance of double counting through corresponding adjustments consistent with Article 6 of the Paris Agreement.
 
- 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 ascertaining in detail 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 on the JCM: https://www.jcm.go.jp/)

 
2. Outline of Newly Selected JCM Model Projects
-  Applications for the "JCM Model Projects of JCM Financing Support Programme" in FY2023 by the Global Environment Centre Foundation (GEC, an implementing organization) were open from April 6 to November 30, 2023. 
 
- In the fourth round of the selection process in FY2023, MOE Japan selected nine new projects based on the results of an initial document screening, secondary review through interviews, acceptance/rejection review and confirming that there is ‘no objection’ raised by the Joint Committee of respective partner countries. 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 fourth round>
No. Partner Country Project Name Representative Participant Estimated GHG Reduction (tCO2/year)
14 Vietnam 50MW Biomass Power Project in Tuyen Quang Province eREX Co., Ltd 83,118
15 Vietnam 50MW Biomass Power Project in Yen Bai Province eREX Co., Ltd 81,802
16 Vietnam Introduction of Biomass Co-generation System to Food Factory in Bien Hoa, Dong Nai Province DAIICHI JITSUGYO CO., LTD. 24,967
17 Vietnam Energy Supply Project by 15MW Rooftop Solar Power System to Factories The Kansai Electric Power Company, Incorporated 5,192
18 Vietnam Introduction of 4.1MW Rooftop Solar Power System to Medical Equipment, Food, and Automobile Parts Factories Marubeni Corporation 1,463
19 Vietnam Introduction of 1.9MW Rooftop Solar Power System to Textile and Chemical Products Factories Tokyo Century Corporation 739
20 Vietnam Energy Supply Project by 1.25MW Rooftop Solar Power System to Plastics Factory The Kansai Electric Power Company, Incorporated 393
21 Tunisia 50MW Solar Power Project in Tozeur Region Eurus Energy Holdings Corporation 48,157
22 Tunisia 50MW Solar Power Project in Sidi Bouzid Region Eurus Energy Holdings Corporation 47,101
 
 
[Reference 1] Projects selected in the first round (August 17, 2023)
 
No. Partner Country Project Name Representative Participant Estimated GHG Reduction (tCO2/year)
1 Mexico Introduction of 0.5MW Rooftop Solar Power System to Automotive Parts Factory (JCM Eco Lease Scheme) BOT Lease Co., Ltd. 392
2 Philippines Introduction of 6MW Power Generation System by Waste Heat Recovery for Cement Plant Global Engineering Co., Ltd. 21,245
3 Philippines 27MW Solar Power Project in Dagohoy, Bohol Island Kyuden International Corporation 20,395
4 Philippines Introduction of 1.2MW Rooftop Solar Power System to Electronic Equipment Assembly Factory (JCM Eco Lease Scheme) Tokyo Century Corporation 697
 

[Reference 2] Projects selected in the second round (October 5, 2023)
 
No. Partner Country Project Name Representative Participant Estimated GHG Reduction (tCO2/year)
5 Indonesia 12MW Biomass Power Plant Project in Aceh Province, Sumatera AURA-Green Energy Co., LTD. 33,573
6 Indonesia Improvement of Combustion Method and Furnace Shapes in Flat Glass Production Melting Furnace AGC Inc. 5,747
7 Indonesia Introduction of 3MW Rooftop Solar Power System to Paper Factory in Java Island Alamport Inc. 2,182
8 Chile 26.3MW Solar Power and 48MWh Storage Battery Project Utilizing Farmland in the Metropolitan Area and O’Higgins Region Farmland Co., Ltd. 20,197
 

[Reference 3] Projects selected in the third round (February 2, 2024)
 
No. Partner Country Project Name Representative Participant Estimated GHG Reduction (tCO2/year)
9 Chile Introduction of 196MWh BESS in Huatacondo PV Plant in Tarapaca Region Sojitz Corporation 17,975
10 Philippines 11.3MW Mini Hydro Power Plant in Tumauini Kanematsu Corporation 29,342
11 Philippines 10MW Solar Power Project in San Jose, Luzon Island Kyuden International Corporation 6,846
12 Philippines 7MW Solar Power Project in Collaboration with Power-supply Company Tokyo Century Corporation 4,731
13 Sri Lanka 13.5MW Solar Power Plant Project in Kebithigollewa, North Central Province Shibata Corporation Co., Ltd. 6,511
 
 
[Reference 4] Positioning of the JCM in the Plan for Global Warming Countermeasures (Cabinet decision, October 2021)
 
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 5] MOE Japan Policy for Implementing Article 6 of the Paris Agreement after COP26 (November 2021)
 
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 6] Grand Design and Action Plan for a New Form of Capitalism and Follow-up (Cabinet decision, June 2022)
 
For achieving the target of the JCM, accelerating consultations to expand partner countries up to approximately 30 countries worldwide by around 2025.

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