Support for greenhouse gas emissions reduction through the Joint Crediting Mechanism (JCM) and promotion of social infrastructure system exports to "island nations."
- CLIMATE ACTION
- PARTNERSHIPS
FOR THE GOALS
Issue
Currently exploring ways to promote the Joint Crediting Mechanism (JCM) to achieve the goals of the Paris Agreement.
In December 2015, at COP21, an international framework was agreed upon by all 196 parties to the UN Framework Convention on Climate Change (UNFCCC), leading to the adoption of the Paris Agreement. This historic agreement was subsequently ratified in November 2016.
To achieve the goals of this landmark framework, the Japanese government has been promoting greater utilization of the bilateral offset credit mechanism, commonly known as the Joint Crediting Mechanism (JCM). The government announced funding measures amounting to approximately 10 billion yen to support greenhouse gas reductions in developing countries in the Asia-Pacific region. Concurrently, Japan aimed to leverage public-private partnerships to promote its advanced technologies abroad.
Approach
Proposed the expansion of JCM initiatives in "island nations" and supported project development and showcasing efforts in the Republic of Maldives.
In 2013, three years before the Paris Agreement, e-Solutions proposed to the Ministry of the Environment that expanding JCM initiatives to “island nations” would bring Japan multiple benefits. These include: (1) economic growth through social infrastructure exports, (2) environmental contributions via the acquisition of emission credits, (3) diplomatic advantages such as increased trust from island nations and the expansion of pro-Japan allies, and (4) improved national security.
Furthermore, we facilitated project formulation in the Republic of Maldives, an island nation that had already signed the JCM with Japan. The Maldives relied almost entirely on diesel engines for electricity generation. Due to its lack of domestic energy resources, the country depended on imported crude oil to fuel these engines. Being a small nation with limited purchasing volumes, the Maldives faced extremely high energy costs and significant energy security vulnerabilities.
To address this, we supported the identification of opportunities for exporting a package solution of island-specific renewable energy microgrids combining solar panels and battery storage. We also assisted in project formulation through feasibility studies (FS).