Wood Mackenzie’s Post

I am honoured to have met with Yoshitaka Shindō, Minister in charge of Economic Revitalization of Japan in Davos and discussed with him Japan's carbon neutrality goals. We delved into the transformative potential of e-NG, a key enabler for Japan's shift to green fuels. Its compatibility with existing infrastructure fosters a smooth transition, balancing environmental progress with industrial growth. Japan is developing tailored incentives, establishing volume mandates for the industry to adopt e-NG. These strategies are crucial for supporting not just the decarbonization of energy sources but also for fostering the industrial and financial development of the Japanese market. #decarbonization #eNG #greenenergy #renewableenergy #WEF

🇯🇵🗾#Japan is taking massive strides in #CarbonReduction! 🎌 🔰By becoming the first country to integrate durable CO₂ removals into its national emissions trading system, the #GreenTransformationETS (GX-ETS), Japan has taken a groundbreaking step in the fight against #ClimateChange. This move reflects a growing trend in Asia towards implementing robust carbon mechanisms. 💰The #GXETS, launched as part of the comprehensive Green Transformation policy, marks a significant milestone in Japan's journey towards #CarbonNeutrality. With an ambitious investment of over $1.1 trillion, this policy outlines a 10-year roadmap to transform various industrial sectors and drive the #EnergyTransition across Asia. ⏳In its initial phase until March 2026, it will operate on a voluntary basis for domestic companies, employing a baseline-and-crediting system. However, it is poised to transition into a compulsory scheme thereafter, setting the stage for broader participation and impact. What sets the GX-ETS apart is its innovative "pledge and review" framework, where participating companies commit to ambitious reduction targets disclosed to capital markets. This transparent approach fosters accountability and encourages continuous improvement, driving meaningful progress towards emissions reduction goals. 🎖️Moreover, Japan's ETS recognizes and incentivizes the adoption of various carbon removal methodologies, including carbon capture and utilization (#CCU), bioenergy with carbon capture and storage (#BECCS), coastal blue carbon, and direct air carbon capture and storage (#DACCS). As the GX-ETS evolves, additional methodologies may be incorporated based on government research and stakeholder feedback, ensuring its relevance and effectiveness in addressing climate challenges. 👏Such pioneering initiatives are highly celebrated at #UrjanovaC, which proves that by embracing innovation, collaboration, and ambitious targets, we can achieve our #NetZero goals and build a green planet.👏 Vikram Vishal ARNAB DUTTA Piyali Majumder Koyel Das

🌟 Introducing Our Representative Japanese Speakers! #CarbonCapture, #utilisation and #storage (#CCUS) is an important part of the mix to help Japan and the world meet the net zero emission targets. Japan has all the right ingredients to make carbon capture and storage (CCS) a success, paired with a better regulatory framework, incentives, greater willingness and co-operation amongst industry participants to unlock its true potential to achieve Japan's net-zero carbon emissions target. Let's take a look at the leading Japanese speakers in these areas at #CCUSAPAC2024: Norihiko Saeki, Director of CCUS Policy, Ministry of Economy, Trade and Industry; Ryuta Kitamura, Director General, CCS Project Department, Energy Business Unit, Japan Oil, Gas and Metals National Corporation (JOGMEC); Yasuchika Noma, Managing Executive Officer, Carbon Solution Development Unit, Mitsui O.S.K. Lines, Ltd.; Mohammad Barzanji, General Manager, Asset & Decarbonization, Tokyo Gas Asia Pte. Ltd.; Jun Sasaki, General Manager, Carbon Solution Business Group, "K" line (Kawasaki Kisen Kaisha, Ltd); Naoki Takahashi, Chief Representative of Sydney, Japan Bank for International Cooperation; Osamu Hirohata, Head of Carbon Management Business Section, Chiyoda Corporation; 👉 See more speakers lineup: https://lnkd.in/gcQigYbg 👉 Join the conference and hear the voice: https://lnkd.in/g8rkxPM4 ✨#CCUSAPAC24: Unlocking Asia-Pacific Carbon Capture Potential Date: 9-10 July, 2024 Venue: Pan Pacific Melbourne, Australia Carbon Capture APAC 2024 (#CCUSAPAC24) is the APAC's Leading Event for Carbon Capture, Utilisation & Storage. This conference brings together international governments and CCUS industry decision-makers to foster regional exchange and enhance industry dynamics. The discussions cover high-quality dialogues on topics such as policy, market models, supply chain, technology, international cooperation, and the carbon+ economy. #CCUSAPAC #CCUS #CCS #Japan #policy #APAC

Japan is getting ready to implement #carbon pricing starting from FY2026 as part of its goal to achieve net-zero emissions by 2050. Developing a balanced carbon price would bring several benefits in terms of reaching the Japanese government’s decarbonization goals through energy transition and utilizing market mechanisms to drive continuous economic growth. One advantage is ensuring accountability to the Japanese public and the international community. Additionally, a balanced price that aligns carbon emissions market demand with supply would promote positive behavioral changes among stakeholders. https://lnkd.in/exhKTYuS #carbonpricing #netzero #carbonfree #sustainability

“Japan became the world’s first country to accept the use of durable carbon dioxide removals in its national emissions trading system called the Green Transformation ETS (GX-ETS).” Carbon Herald To our friends in the #climate and #naturebasedsolutions space, below is an English language article that describes what I think is a truly game changing development in Japan, and a precedent for other governments to follow. Three things I would like to highlight: - The Japanese approach is very much national, government-led and Top Down, creating confidence in both the volunteer and compliance credit markets that feed into this - The “pledge and review” approach, where companies publicly pledge their targets to capital markets and review them to see if they are achieving them (or not), acts as a reputational incentive to work towards their targets - coastal blue carbon is firmly included in this national approach! What does this mean for ocean initiatives in Japan? If the supply-demand imbalance we already see in Japan’s blue carbon market is any indication, I think it is safe to say having more of Japan’s publicly traded corporates committing to climate targets is going to further push demand for blue carbon projects in the country. And while the country has significantly more coastal areas than land, there are nowhere enough projects in the pipeline to service future demand. This bottle neck will surely make it incredibly favorable for restorative and regenerative ocean ventures in the country for years to come. For the rest of the world? I hope that the Japanese approach to blue carbon credits, or what I interpret as the world’s first stackable, holistic, ecosystem services credit, with carbon at its foundation, would become a precedent for other countries to follow, and further accelerate our transition to a low carbon economy. #restoration #oceans #bluecarbon #biodiversity #civilsociety #japan #日本 #carboncredits #transition #decarbonization https://lnkd.in/dGpJZHy6

🌏 World First for a #Sovereign and #TransitionBonds! #Japan has launched a #Certified Climate #TransitionBond, raising $11bn as part of its commitment to environmental sustainability. Certified under the #ClimateBondsStandard, the proceeds are directed towards finance Japan's Green Transformation (GX) programme. Sean Kidney, CEO of Climate Bonds Initiative, highlights the global shift towards sustainability: "Transition is the #themefortheyear. This bond exemplifies how funding can be secured for significant environmental objectives, contributing to a global effort to meet emission reduction targets. It's a crucial step in #transitionfinance." The funds are earmarked for research and development that supports Japan's climate goals, including innovative technologies for renewable energy and hydrogen utilisation, and subsidies that encourage energy efficiency and sustainable practices across various sectors. This initiative represents a strategic move towards achieving Japan's 2030 GHG reduction targets and its long-term vision for a carbon-neutral future by 2050. Read the full announcement: EN: https://lnkd.in/etn8T63G JN: https://lnkd.in/eC9dRiRr Marina Strovolidou, Andrew Rolland, Paul S Vermaak, Rachel Hemingway, Gabriela Constantin, Yuuki Hosoya, May Shinohara #climatefinance #climateaction #netzero

131 billion USD: Taiwan's ambitious goal through the upcoming Carbon Credit Exchange (#TCX) 👉 Breakthrough: The launch of the Taiwan Carbon Solution Exchange  revolutionizes Taiwan's carbon market and marks a significant step towards a #sustainable future. 👉 Carbon market catalyst: #TCX will facilitate carbon credit trading, incentivizing businesses to reduce emissions. 👉 Economic and environmental benefits: Taiwan Carbon Solution Exchange promises economic growth, job creation, and environmental sustainability. 👉 #NetZero ambition: TCX aligns with Taiwan's broader goal of achieving net-zero emissions by #2050. Read full article here 👇 https://lnkd.in/gFj2CMhn #Taiwan #carbonmarket #sustainability #climatechange #netzero #greeneconomy #sustainabledevelopment #TCX #carboncredits

Committed to contributing toward a carbon-neutral society, the Kyuden Group aims to lead Japan's #decarbonization efforts from Kyushu. Kyuden Group's Carbon Neutral Vision 2050 lays out action plans to achieve carbon neutrality by 2050. The plan includes a focus on reducing supply chain greenhouse gas (GHG) emissions and contributing to the reduction of GHG emissions in society with goals influenced by the Japanese government's 2030 targets for reducing GHG emissions. Furthermore, the Kyuden Group is contributing to the reduction of emissions through the promotion of electrification in the non-electrified sectors, as well as implementing a variety of other initiatives such as the development of #RenewableEnergy locally and globally and CO2 absorption through adequate forest management. See the link in the comments for details about our Carbon Neutral Vision 2050 plan. #electricity

It is happening, *the First Ever Carbon Credits Deal Under Article 6.2!* Switzerland and Thailand have achieved a groundbreaking milestone by completing the first-ever transfer of Article 6.2 carbon credits, signaling a major step in emissions reductions under the Paris Agreement. Under Article 6.2, countries can use emission reductions for their domestic targets or sell them to others, contributing to their Nationally Determined Contributions (NDCs). Here is the detail: ⛰ The Swiss-based KliK Foundation secured 1,916 Internationally Transferable Mitigation Outcomes (ITMOs) from Thailand's Energy Absolute for the Bangkok E-Bus Program. 🤝 The collaborative effort includes Switzerland fulfilling its compensation obligation under the Swiss CO2Act, utilizing the ITMOs towards its Paris Agreement targets. 🔄 Thailand commits to adjusting its greenhouse gas inventory by the transferred mitigation outcomes to avoid double counting. 💡 The KliK Foundation pioneers carbon offset transactions, with plans to buy up to 1.5 million metric tons of CO2 emissions through 2030 from Energy Absolute. This aligns with Switzerland's climate targets to offset 40 million metric tons of CO2 abroad by 2030. 🥅 The market's potential to boom in the future is highlighted by Energy Absolute's innovative approach of generating credits through a fleet of 4,000 electric buses in Bangkok. 🚀 This landmark deal, guided by the Paris Agreement, not only sets the stage for a flourishing carbon market but also underscores the challenges and opportunities in navigating uncharted territory. As climate negotiators finalize rules for offsets, the pioneering role of Switzerland and Thailand's regulators and companies may shape the future of this nascent market. Let's stay tuned for more pioneering moves in the global fight against climate change! 🌐🍃 We are curious to know your thoughts below and tell us what progress you expect in the future ⬇ Head over to www.fairatmos.com and stay tuned to hear more updates. #ClimateAction #CarbonMarkets #ParisAgreement #SustainabilityLeadership