1. Background

In order to effectively address climate change mitigation issue, it is necessary to achieve low-carbon growth all around the world by mobilising technology, market, and finance adequately. Recognising this necessity, the government of Japan has proposed the Joint Crediting Mechanism (JCM) as a means to facilitate the diffusion of leading low-carbon technologies, systems, and so forth in developing countries.

 

Basic concept of the JCM

Figure 1. The JCM scheme between Japan and host country


Figure 2. Project Cycle of the JCM and the CDM


JCM Methodologies

27 Methodologies in 10 countries are approved as JCM methodologies by each Joint Committee respectively (as of November 2016).
Country No. Methodology Title
Mongolia MN_AM001 Installation of energy-saving transmission lines in the Mongolian Grid
Mongolia MN_AM002 Replacement and Installation of High Efficiency Heat Only Boiler (HOB) for Hot Water Supply Systems
Mongolia MN_AM003 Installation of Solar PV System
Bangladesh BD_AM001 Energy Saving by Introduction of High Efficiency Centrifugal Chiller
Kenya KE_AM001 Electrification of communities using Micro hydropower generation
Ethiopia ET_AM001 Electrification of communities using Micro hydropower generation
Maldives MV_AM001 Displacement of Grid and Captive Genset Electricity by Solar PV System
Viet Nam VN_AM001 Transportation energy efficiency activities by installing digital tachograph systems
Viet Nam VN_AM002 Introduction of Room Air Conditioners Equipped with Inverters
Viet Nam VN_AM003 Improving the energy efficiency of commercial buildings by utilization of high efficiency equipment
Viet Nam VN_AM004 Anaerobic digestion of organic waste for biogas utilization within wholesale markets
Viet Nam VN_AM005 Installation of energy efficient transformers in a power distribution grid
Viet Nam VN_AM006 Introduction of air conditioning system equipped with inverters
Indonesia ID_AM001 Power Generation by Waste Heat Recovery in Cement Industry
Indonesia ID_AM002 Energy Saving by Introduction of High Efficiency Centrifugal Chiller
Indonesia ID_AM003 Installation of Energy-efficient Refrigerators Using Natural Refrigerant at Food Industry Cold Storage and Frozen Food Processing Plant
Indonesia ID_AM004 Installation of Inverter-Type Air Conditioning System for Cooling for Grocery Store
Indonesia ID_AM005 Installation of LED Lighting for Grocery Store
Indonesia ID_AM006 GHG emission reductions through optimization of refinery plant operation in Indonesia
Indonesia ID_AM007 GHG emission reductions through optimization of boiler operation in Indonesia
Indonesia ID_AM008 Installation of a separate type fridge-freezer showcase by using natural refrigerant for grocery store to reduce air conditioning load inside the store
Indonesia ID_AM009 Replacement of conventional burners with regenerative burners for aluminum holding furnaces
Indonesia ID_AM010 Introducing double-bundle modular electric heat pumps to a new building
Palau PW_AM001 Displacement of Grid and Captive Genset Electricity by a Small-scale Solar PV System
Cambodia KH_AM001 Installation of LED street lighting system with wireless network control
Thailand TH_AM001 Installation of Solar PV System
Thailand TH_AM002 Energy Saving by Introduction of Multi-stage Oil-Free Air Compressor

JCM Projects

   
Country Registration No. Project Title Methodology No.
Mongolia MN001 Installation of high-efficiency Heat Only Boilers in 118th School of Ulaanbaatar City Project MN_AM002_Ver1.0
Mongolia MN002 Centralization of heat supply system by installation of high-efficiency Heat Only Boilers in Bornuur soum Project MN_AM002_Ver1.0
Indonesia ID001 Energy Saving for Air-Conditioning and Process Cooling by Introducing High-efficiency Centrifugal Chiller ID_AM002_Ver1.0
Indonesia ID002 Project of Introducing High Efficiency Refrigerator to a Food Industry Cold Storage in Indonesia ID_AM003_Ver1.0
Indonesia ID003 Project of Introducing High Efficiency Refrigerator to a Frozen Food Processing Plant in Indonesia ID_AM003_Ver1.0
Indonesia ID004 Energy Saving for Air-Conditioning at Textile Factory by Introducing High-efficiency Centrifugal Chiller in Karawang, West Java ID_AM002_Ver1.0
Indonesia ID005 Energy Saving for Air-Conditioning at Textile Factory by Introducing High-efficiency Centrifugal Chiller in Batang, Central Java (Phase 2) ID_AM002_Ver1.0
Indonesia ID006 Installation of Inverter-type Air Conditioning System, LED Lighting and Separate Type Fridge Freezer Showcase to Grocery Stores in Republic of Indonesia ID_AM005_Ver1.0
Palau PW001 Small scale solar power plants for commercial facilities in island states PW_AM001_Ver1.0
Palau PW002 Small scale solar power plants for Schools in Island States PW_AM001_Ver1.0
Palau PW003 Small scale solar power plants for commercial facilities in island states II PW_AM001_Ver1.0
Viet Nam VN001 Eco-Driving by Utilizing Digital Tacograph System VN_AM001_Ver1.0
Viet Nam VN002 Promotion of green hospitals by improving efficiency / environment in national hospitals in Vietnam VN_AM002_Ver1.0
Viet Nam VN003 Low carbon hotel project in Vietnam: Improving the energy efficiency of commercial buildings by utilization of high efficiency equipment VN_AM003_Ver1.0
Viet Nam VN004 Introduction of amorphous high efficiency transformers in power distribution systems in the southern part of Viet Nam VN_AM005_Ver1.0


2.JCM Financing Programme and Feasibility Studies

1.JCM Model Projects

This scheme was launched in 2013. The scope of the financing includes facilities, equipment, and vehicles which reduce CO2 from fossil fuel combustion as well as construction cost for installing those facilities. Through the programme, MOEJ financially supports part of the initial cost (up to half), on the premise of seeking to deliver at least half of the issued JCM credits to the government of Japan. The budget for projects starting from FY 2016 is 6.7 billion JPY (approx. USD 56 million) in total by FY2018.

2.JCM REDD+ Model Project

This scheme was launched in 2015. The purpose of the scheme is to implement activities for REDD+ and use them for contributing to achieve Japan’s emission reduction target through the JCM. The budget for FY2016 is 80 million Japanese Yen (Approx. USD 6.7 million). At least half of JCM credits issued are expected to be delivered to the government of Japan except for the amount which is allocated to the partner country based on its legislation.

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