Publication: Tokyo's Emissions Trading System: A Review of its Operation since 2010
Date
2013-06
ISSN
Published
2013-06
Author(s)
World Bank
Abstract
This note reviews the operations and
experience of Tokyo's emissions trading system since
its launch in 2010 and follows on from an earlier issue of
directions in urban development that described the design
and development process of the system. In January 2013, the
Tokyo Metropolitan Government (TMG) announced that
FY2011-the second full year of Emissions Trading System
(ETS) operation from April 2011 to March 2012-saw a 23
percent reduction in the emissions from participating
facilities covered by the ETS, compared with the base year.
Total emissions from these facilities in FY2011 were 7.22
million tons of CO2, which was some 2.16 million tons less
than the base year. Notably, 93 percent of these facilities
achieved reductions in excess of their obligations for the
first compliance period in FY2011. This surpassed the first
year performance recorded in FY2010, where emissions were 13
percent below the base year, with 64 percent of facilities
achieving reductions in excess of obligations for the first
compliance period. Under Tokyo's ETS, facilities that
reduce emissions below the target may sell the excess
reductions as credits. Conversely, if actual emissions
reductions fall short of the target, they may purchase
credits to make up the difference. Apart from excess
emissions reductions, eligible credits include offsets from
small and medium sized facilities, large facilities outside
Tokyo, renewable energy credits, and credits from Saitama
prefectures ETS. TMG has provided a framework for long-term
goal setting by indicating the estimated emissions
reductions that would be required in the second compliance period.
Citation
“World Bank. 2013. Tokyo's Emissions Trading System: A Review of its Operation since 2010. Directions in Urban Development;. © World Bank, Washington, DC. http://hdl.handle.net/10986/25486 License: CC BY 3.0 IGO.”