Preliminary Selection Result for Financing Programme for JCM Model Projects in FY2022 (1st Selection)
Global Environment Centre Foundation (GEC) as an implementing organization for the Financing Programme for Joint Crediting Mechanism (JCM) Model Projects in FY2022, has been soliciting proposals for the financing programme and is announcing the 1st selection of 16 projects.
Since 2013, Japan has established the JCM with 17 partner countries and over 200 projects have been selected. The JCM’s current 17 partner countries are; Mongolia, Bangladesh, Ethiopia, Kenya, Maldives, Vietnam, Laos, Indonesia, Costa Rica, Palau, Cambodia, Mexico, Saudi Arabia, Chile, Myanmar, Thailand, and the Philippines.
The JCM aims to reduce GHG emissions in developing countries by utilizing advanced decarbonized technologies. Under the JCM scheme, in line with Article 6 of the Paris Agreement, Japan is facilitating diffusion of leading decarbonizing technologies and infrastructure, etc. as well as implementation of mitigation actions in partner countries. The JCM contributes to the achievement of both countries’ NDCs while ensuring the avoidance of double counting through corresponding adjustments.
JCM Model projects of MOE Japan provide financial support of up to 1/2 of the initial investment cost for projects, performing measurement, reporting, and verification (MRV). In addition, this financing support programme is expected to contribute to global decarbonization by disseminating and deploying advanced decarbonized technologies, upon deep understanding of the needs of partner countries.
These JCM activities are in accordance with the “Plan for Global Warming Countermeasures (Cabinet decision in October 2021)*1,” the “MOE Japan Policy for Implementing Article 6 of the Paris Agreement after COP26 (November 2021)*2“, and the “Grand Design and Action Plan for a New Form of Capitalism and Follow-up (Cabinet decision in June 2022)*3.”
Overview of Selected Projects
GEC is accepting project proposals for FY2022 between 6 April 2022 and 30 November 2022. After reviewing proposals and conducting interviews, GEC selected the proposals listed below. GEC will further examine the project contents and provide a notice to the representative participants for the final decision before the proposed projects are implemented.
<Projects Selected in the First Selection>
[Reference 1] Positioning of the JCM in the Plan for Global Warming Countermeasures (Cabinet decision, October 2021) http://www.env.go.jp/earth/ondanka/keikaku/211022.html (Available in Japanese)
The JCM provides advanced decarbonized technologies, products, systems, services, and infrastructure to developing countries, and evaluates Japan’s contribution through the amount of GHG emission reduction and absorption achieved. Japan will develop and implement the JCM in a manner to utilize the outcomes also for achieving its Nationally Determined Contribution (NDC). Through public-private collaboration in the JCM, Japan aims to achieve the cumulative reduction and absorption of GHG emissions of around 100 million t-CO2 by 2030.
[Reference 2] MOE Japan Policy for Implementing Article 6 of the Paris Agreement after COP26 (November 2021) https://www.env.go.jp/annai/kaiken/files/r04/cop26%206jou.pdf (Available in Japanese)
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 Joint Crediting Mechanism (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 3] Grand Design and Action Plan for a New Form of Capitalism and Follow-up (Cabinet decision, June 2022) https://www.cas.go.jp/jp/seisaku/atarashii_sihonsyugi/pdf/fu2022.pdf (Available in Japanese)
For achieving the target of the JCM, accelerating consultations to expand partner countries up to approximately 30 countries worldwide by around 2025 from the current 17 countries.
For further information, please contact:
Attn: Hiroshi TAKAHASHI, Masami ISHIHARA
Financing Programme Group, Tokyo Office Global Environment Centre Foundation (GEC)
4th Floor Hongo Ozeki Bldg., 3-19-4 Hongo Bunkyo-ku, Tokyo 113-0033, Japan