Contribution to Sustainable DevelopmentContribution to Sustainable DevelopmentJapan’s Policy on CDM Japan’s Policy on CDM

Shinichi IiokaCDM Program Manager

　 Institute for Global Environmental Strategies (Minisitry of Environment , Japan) 　

　ＩＧＥＳ－ＵＲＣ　Ｒｅｇｉｏｎａｌ　Workshop in Asia on Capacity

Development for CDM

２５ March 2004 　

ContentsContents

Japanese government policy on CDM

MOE’s initiatives to put CDM into place

Japanese Government CDM PolicyJapanese Government CDM Policy

While keeping in mind that the use of Kyoto Mechanism shall be supplemental to domestic measures, Japan is going to use the mechanism To contribute sustainable

development in host countries

To achieve its Kyoto commitment in a cost-effective manner

Challenges Ahead: Our Kyoto Challenges Ahead: Our Kyoto TargetTarget

(Source) Ministry of the Environment, Japan

600

700

800

900

1,000

1,100

1,200

1,300

1,400

BaseYear

1995 1996 1997 1998 1999 2000 2001 TargetYear

6% Reduction

GHG Emissions (Million ton-CO2)

1235

1323 1344 13391302 1324 1333

1161

1299

Breakdown of TargetBreakdown of Target

Classification Targets

① CO2 (energy related)

② 　 Non-energy CO2, methane, and N2O

③ Revolutionary technologies, promotion of activities among people

④ HFC,PFC,SF6

⑤ Sinks

⑥ Further reduction through ① to ④ , and Kyoto Mechanisms

Total

± ０．０％

－０．５％－２．０％＋２．０％－３．９％－１．６％－６．０％( targets are indicated as percentage to base year’s emissions)

JJaappaann’’s s AAddmmiinnisistrtraatitioon

n

ffoor r CClilimmaatte

e CChhaanngge

e PPooliliccyy

Japan’s Administration for Climate Change PolicyJapan’s Administration for Climate Change PolicyGlobal Warming Prevention Headquarters

Chairman: Prime Minister Koizumi

3 Vice Chairman: Chief Cabinet Secretary, Minister of the Environment, Minister of Economy, Trade and Industry

Cabinet Secretariat

Ministry of Economy, Trade and Industry (METI)-economic and energy policies

Ministry of Land, Infrastructure and Transport

Ministry of the Environment (MOE)- Planning & coordination of policies (inventory, mitigation adaptation)- implementation

Ministry of Agriculture, Forestry and Fisheries

Ministry of Education, Culture, Sports, Science and Technology

Japan Meteorological Agency

Ministry of Foreign Affairs

○Established the Liaison Committee for Utilization of Kyoto Mechanism （ Cabinet Secretariat, MoE, METI, MOFA, MAFF, MLIT)

○The Liaison Committee will approve CDM/JI projects as a party to the Convention Guideline for CDM/JI projects approval made on Oct, 2002 Six projects have been approved so far

Japan’s framework to utilize the Kyoto Japan’s framework to utilize the Kyoto MechanismMechanism

○The Ministry in charge of the project supports the project participants.

○MoE and METI has been working jointly to establish and maintain the Japanese National Registry since 2002. 　　　　　　　　　　　　　　　　　

Japan’s framework to utilize the Kyoto Japan’s framework to utilize the Kyoto MechanismMechanism

APPROVEDDATE CDM/ J I APPLICANT

HOSTCOUNTRY PROJ ECT SUMMARY

EXPECTEDCER/ERU

2002/ 12/ 12 J I NEDO Kazakhstan

The Model Project forIncreasing theEfficient Use ofEnergy Using a GasTurbine CogenerationSystem

Demonstration of the energyconservation effectiveness of aGas Turbine CogenerationSystem, which is already inpractical use in J apan, at HeatPower Station

62,000t-CO2/ year

2002/ 12/ 12 CDM Toyota TsushoCorporation Brasil V&M Tubes do Brasil

Fuel Switch ProjectProduction of steel utilizingbiomass

1,1300,000t-CO2/ year

2003/ 5/ 22 CDM Electric PowerDevelopment Co., Ltd. Thailand

Rubber Wood ResiduePower Plant Project inYala, Thailand

Biomass power plant utilizingrubber wood residue 60,000t-CO2/ year

2003/ 7/ 15 CDM INEOS Fluor J apanLimited South Korea HFC Decomposition

Project in UlsanDecomposition of HFC23 asby-product from HCFC22 1,400,000t-CO2/ year

2003/ 7/ 29 CDMThe Kansai Electric PowerCo., Inc. (on behalf ofe7Fund)

Bhutane7 Bhutan MicroHydro Power CDMProject

Construction of a microhydropower station in the non-electricity village

500t-CO2/ year

2003/ 12/ 3 CDM J apan Vietnam PetroleumCompany Vietnam

Rang Dong Oil FieldAssociated GasRecovery andUtilization Project

Efficient use of associated gaswhich would otherwise beenflared at the offshore rig

680,000-1,200,000t-CO2/ year

CDM/JI Projects Approved by the Government of JapanCDM/JI Projects Approved by the Government of Japan

MOE’s Initiatives to put CDM into placeMOE’s Initiatives to put CDM into place

1. Project Formation and Information Service1. Project Formation and Information Service

1-1 CDM/JI Feasibility Studies 1-1 CDM/JI Feasibility Studies （（ since 1999since 1999 ））　 Feasibility studies have been done to find promising CDM/JI pr

ojects to be carried out by private companies. These studies include on-site examination, emission reduction calculation and drafting of PDDs.

1-2 Domestic Kyoto Mechanism Support Center 1-2 Domestic Kyoto Mechanism Support Center （（ since 200since 20033 ）） 　 　

The center gathers information on promising CDM/JI projects and proviThe center gathers information on promising CDM/JI projects and provides it to private companies. The center also ddes it to private companies. The center also disseminates information on rules of the Mechanism, how to draft PDDs, situations of host countries, etc.

MOE’s Initiatives to put CDM into place MOE’s Initiatives to put CDM into place (cont’d)(cont’d)

2. Financial Support2. Financial Support 2-1 Subsidies for CDM/JI Projects2-1 Subsidies for CDM/JI Projects （（ since 2003since 2003 ））　 Subsidies are provided to highly feasible and economically

efficient CDM/JI projects. Those subsidies are for 1/3 of the cost of construction of facilities (e.g. facilities to convert waste into fuel, wind turbines).

2-2 Establishment of the Japan Carbon Fund2-2 Establishment of the Japan Carbon Fund DBJ (Development Bank of Japan) and JBIC( Japan Bank for

International Cooperation) is establishing the Japan Carbon Fund to invest in CDM/JI projects and acquire credits. Private companies are expected to participate in the Fund.

MOE’s Initiatives to put CDM into place MOE’s Initiatives to put CDM into place (cont’d)(cont’d)

3. Capacity Building and collaboration3. Capacity Building and collaboration 3-1 Capacity Building Program for Operational Entities (sin3-1 Capacity Building Program for Operational Entities (sin

ce 2002) ce 2002) To foster the ability of OEs, MOE selects several draft PDDs and c

ommissions several AEs (Applicant Entities) to validate the PDDs on a trial basis.

3-2 CDM/JI Capacity Building Program in host countries3-2 CDM/JI Capacity Building Program in host countries（（ since 2003since 2003 ） ）

IGES-initiative: ICS-CDMIGES-initiative: ICS-CDM　　 MoE enhances CDM/JI capacity building for stakeholders in hos

t countries through holding workshops, sending experts and so on.

CDM/JI Feasibility StudiesCDM/JI Feasibility Studies

Feasibility studies have been conducted since 1999. The Studies are managed by the Global Environment Center Foundation (GEC).

Types of studies are mainly utilization of biomass , waste to Energy management and afforestration/ reforestration.

In FY2003, 20 projects are being implemented.

Waste Management Feasibility StudiesWaste Management Feasibility Studies

　 Thailand （ around Bangkok ）Obayashi CorporationFeasibility study on a Landfill Gas to Electricity Project

　 Thailand （ around Bangkok ）Obayashi CorporationFeasibility study on a Landfill Gas to Electricity Project

　 Rumania (Timisoara ）Power Development Co.,Ltd.Feasibility Study on CH4 Ｇ as Extraction and Utilization from Landfill

　 Rumania (Timisoara ）Power Development Co.,Ltd.Feasibility Study on CH4 Ｇ as Extraction and Utilization from Landfill

　 　 　 　 the Philippines (Metro Manila) Mitsubishi Securities Co., Ltd.Feasibility study on the landfill gas recovery and gas to power plant project

　 　 　 　 the Philippines (Metro Manila) Mitsubishi Securities Co., Ltd.Feasibility study on the landfill gas recovery and gas to power plant project

　 China (Dalian) Shimizu CorporationFeasibility 　 Study 　 on Sludge 　 Digestion 　and 　 Methane 　Ｇａｓ　 Co‐generation 　 Project in 　 the 　 Wastewater 　 Treatment 　 Plant　 of 　 Dalian Economic & Technological Development Area

　 China (Dalian) Shimizu CorporationFeasibility 　 Study 　 on Sludge 　 Digestion 　and 　 Methane 　Ｇａｓ　 Co‐generation 　 Project in 　 the 　 Wastewater 　 Treatment 　 Plant　 of 　 Dalian Economic & Technological Development Area

　　　　 Cambodia (Phnom Penh) Japan Waste Research FoundationFeasibility Study on the Reduction of Greenhouse Gas and the Energy Utilization Project by Collection of the Landfill Gas generated at the Stung Mean Chey Disposal Site

　　　　 Cambodia (Phnom Penh) Japan Waste Research FoundationFeasibility Study on the Reduction of Greenhouse Gas and the Energy Utilization Project by Collection of the Landfill Gas generated at the Stung Mean Chey Disposal Site

　　　　 Brazil (Sao Paulo) Toyota Tsusho CorporationStudy for Carbon credit from Landfill gas capture and electricity generation

　　　　 Brazil (Sao Paulo) Toyota Tsusho CorporationStudy for Carbon credit from Landfill gas capture and electricity generation

　　　　 Malaysia (Johor Baharu) Japan Environmental Consultants, Ltd.Feasibility study on the landfill methane gas reduction project, utilizing composting technology to solid waste treatment

　　　　 Malaysia (Johor Baharu) Japan Environmental Consultants, Ltd.Feasibility study on the landfill methane gas reduction project, utilizing composting technology to solid waste treatment

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ＣＤＭＣＤＭ

JI

Biomass Feasibility StudiesBiomass Feasibility Studies

　　　　 Malaysia (Pahang State) EX Corporation Feasibility Study on Reduction of Methane Emission and Effective Utilization of Biomass Resources Discharged from the Palm Oil Mill Consolidating Two Neighboring Mills at Cini District

　　　　 Malaysia (Pahang State) EX Corporation Feasibility Study on Reduction of Methane Emission and Effective Utilization of Biomass Resources Discharged from the Palm Oil Mill Consolidating Two Neighboring Mills at Cini District

　　　　 Brazil (Sao Paulo State) Association of International Research Initiatives for Environment StudiesBrazillian Sugar Industry Waste-to-energy Project

　　　　 Brazil (Sao Paulo State) Association of International Research Initiatives for Environment StudiesBrazillian Sugar Industry Waste-to-energy Project

　　　　 Thailand (Ratchaburi province) Kansai Environmental Engineering Center Co., Ltd. A feasibility study on a CDM project of cogeneration using bagasse and rice husk

　　　　 Thailand (Ratchaburi province) Kansai Environmental Engineering Center Co., Ltd. A feasibility study on a CDM project of cogeneration using bagasse and rice husk

　　　　 Thailand PowwowPool Co., Ltd. Research of Biodiesel production project using sunflower as resource crops

　　　　 Thailand PowwowPool Co., Ltd. Research of Biodiesel production project using sunflower as resource crops

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Afforestation & Reforestation Feasibility StudiesAfforestation & Reforestation Feasibility Studies

　　　　 Poland (Elblag)The Kansai Electric Power Co., Inc. Feasibility study on the fuel conversion of the existing heat supply plants from coal to biomass provided through willow afforestation

　　　　 Poland (Elblag)The Kansai Electric Power Co., Inc. Feasibility study on the fuel conversion of the existing heat supply plants from coal to biomass provided through willow afforestation

Indonesia (East Kalimantan Province, East Java Province, Central Jave Province)Sumitomo Forestry Co., Ltd. Reforestation/Afforestation and Biomass Energy Projects in 3 Provinces in Inodnesia

Indonesia (East Kalimantan Province, East Java Province, Central Jave Province)Sumitomo Forestry Co., Ltd. Reforestation/Afforestation and Biomass Energy Projects in 3 Provinces in Inodnesia

　　　　 Madagascar (Toamasina province)Oji Paper Co., Ltd.Feasibility study of the renewable biomass plantation in Toamasina province, Madagascar.

　　　　 Madagascar (Toamasina province)Oji Paper Co., Ltd.Feasibility study of the renewable biomass plantation in Toamasina province, Madagascar.

Ｃ D Ｍ

CDM

JI

the PhilippinesOISCACDM Feasibility Study ： An NGO Participatory Forestation Project

the PhilippinesOISCACDM Feasibility Study ： An NGO Participatory Forestation Project

CDM

　　　　 Cambodia (Mondul Kiri highlands) Marubeni CorporationFeasibility study of CDM project in Mondul Kiri highlands, Cambodia, based on the rubber tree plantation

　　　　 Cambodia (Mondul Kiri highlands) Marubeni CorporationFeasibility study of CDM project in Mondul Kiri highlands, Cambodia, based on the rubber tree plantation

　　　　 Indonesia (West Nusa Tenggara)Japan International Forestry Promotion & Cooperation Center (JIFPRO)Feasibility Study on Participatory Reforestation CDM for Land Rehabilitation in Lombok Island, Republic of Indonesia

　　　　 Indonesia (West Nusa Tenggara)Japan International Forestry Promotion & Cooperation Center (JIFPRO)Feasibility Study on Participatory Reforestation CDM for Land Rehabilitation in Lombok Island, Republic of Indonesia

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Other MOE InitiativesOther MOE Initiatives

Environmental Congress for Asia and the Pacific (Eco Asia)

Asia Pacific Seminar on Climate Change Asia-Pacific Network on Climate Change

(AP-NET) Asia-Pacific Network for Global Change

Research (APN)

Asia-Pacific Network on Climate ChangeAsia-Pacific Network on Climate Change

Internet programs

e-LearningDocument

Library

Climate ChangeData Center

CDM Project-info

Thank you for your listening!

If you have any question, please contact us.

○The Ministry of Environment JapanE-mail: kyotomecha@env.go.jp

Tel:+81-3-5521-8330Fax:+81-3-3580-1382

○Institute for Global Environmental Strategies

E-mail: iioka@iges.or.jpTel:+81-46-855-3821

FAX:+81-46-855-3809