Tokyo Cap-and-Trade Program continues to cut GHG emissions through energy efficiency measures

After its 7th year in operation, the Tokyo Cap-and-Trade Program—a first-of-its-kind, city-level emissions trading program in the world—continues to achieve greenhouse gas (GHG) emission reductions through aggressive energy efficiency measures taken by participating large-scale facilities.

In the fiscal year 2016 (FY2016), large-scale facilities participating in the Tokyo Cap-and-Trade Program reduced GHG emissions by 26% compared to base year emissions, according to the Tokyo Metropolitan Government (TMG)’s announcement on 21 February 2018. A total of 120,000 tonnes of CO2e emissions was reduced compared to FY2015.

The reduction was achieved in spite of the increase in total floor area of participating facilities, indicating that facilities were able to decrease emissions per unit of floor area.

How were these results achieved? Based on the reports submitted by the participating facilities, aggressive energy efficiency measures made this possible. In particular, high-efficiency equipment, including LED lights and heating systems, was installed the most and contributed significantly to the reduction achievements.

Thanks to the Program, the CO2 emissions of participating facilities are significantly less compared to the national average in the business sector.

In the meantime, there is still room for further emission reductions. Participating facilities are planning and projecting another 150,000 tonnes of CO2e reduced between FY2017 and FY2019 simply by taking new energy efficiency measures. In addition, TMG introduced a new mechanism in the second compliance period (FY2015-FY2019) that allows facilities to count the procurement of electricity and heating from low-carbon emission sources, such as renewable energy, towards their emission reductions. Only 17 and 123 of the 1,200 facilities participating in the Program took advantage of this mechanism for low-carbon electricity and heating respectively in FY2016.

So far, approximately 80% of the participating facilities have achieved the second compliance period’s compliance factors, and TMG hopes to continue encouraging emission reductions and support all facilities in meeting their reduction obligations.

Click here for more information on the Tokyo Cap-and-Trade Program.

ENG | ES | FR | PT | KR | JP | CN