Tokyo Stock Exchange starts carbon credit trading to cut emissions

Japan, other Asian countries face EU pressure to embrace carbon pricing

20231011 Carbon Credit

The TSE has signed up 188 entities to trade "J credits" earned through activities that cut emissions, such as using renewable energy or managing forests. © Kyodo

SAYUMI TAKE, Nikkei staff writer

TOKYO -- The Tokyo Stock Exchange on Wednesday began trading of government-certified carbon emissions credits as more Asian countries employ market mechanisms to meet national climate goals.

The TSE has signed up 188 companies, financial institutions and local governments to trade so-called J credits earned through domestic activities that cut emissions, such as using renewable energy or managing forests. Trades, in units that begin with one ton of carbon dioxide, are to be executed twice a day, with results posted on the TSE website every business day.

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