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Japan Offers Subsidies for Carbon Offset Projects
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Japan Offers Subsidies for Carbon Offset Projects

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The Japanese Government has selected 15 Japanese firms including Toshiba, Tokyo Electric Power and Mitsubishi, to carry out feasibility studies for pollution-cutting projects to earn carbon credits overseas.

The government will provide about JPY500m ($6m) for research into projects aimed at exporting low-carbon technology to developing countries according to Bloomberg, citing the country’s trade ministry.

Aiming to reach its 2020 emission targets of reducing emissions by 25%, Japan will seek bilateral agreements to earn carbon credits according to trade ministry director of global environmental affairs Keisuke Murakami.

Nine countries are targeted, four of which have reached basic agreement with Japan on offset schemes – India, Indonesia, the Philippines and Vietnam. Negotiations are to proceed with China, Peru, Laos, Myanmar and Thailand.

Toshiba and Mitsubishi are planning work on geothermal plants in the Philippines and in Indonesia. Nippon Steel has proposed adding energy-conservation technology at a steel plant in India.

Marubeni and Minneapolis-based Cargill, a food and agriculture company, will develop renewable energy, forestry, and biomass projects in developing countries to generate carbon offset credits.

Tokyo Electric is considering building a coal-fired power plant in Indonesia.











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