Why in News?
India signed a first-of-its-kind Memorandum of Cooperation with Japan on the Joint Crediting Mechanism (JCM) to promote low-carbon technologies, enable carbon credit trading under Paris Agreement’s Article 6.2, and support India’s sustainable development and NDC commitments.
Description:
- Initiated by: Japan.
- Legal Basis: Article 6.2 of Paris Agreement (bilateral/multilateral cooperation on carbon markets).
- Purpose: To promote low-carbon technologies and allow sharing of emission reduction credits between India & Japan.
Objectives:
- Facilitate transfer of advanced clean energy technologies from Japan → India.
- Enable carbon credit generation in India, which can be partly claimed by Japan towards its Nationally Determined Contributions (NDCs).
- Support India’s decarbonization pathway in hard-to-abate sectors.
- Promote technology transfer, financing, and infrastructure development.
Key Features:
- Investment: Japan invests in India’s clean technologies.
- Technology Transfer: India gains access to advanced, high-cost decarbonization tech.
- Carbon Credits: Jointly certified & tracked via registry system and managed by bilateral joint committee.
- Benefit Sharing:
- Japan → Uses credits to meet NDC targets.
- India → Gains tech, infrastructure, and financing.
Sectors Covered (14 priority areas): Renewable energy with storage solutions., Solar thermal power plants., Green hydrogen production., Sustainable Aviation Fuel (SAF).,Energy efficiency in industries., Waste-to-energy projects., Smart grid & transmission modernization., Industrial decarbonization (steel, cement, chemicals).,E-mobility & battery storage., Carbon capture, utilization & storage (CCUS).,Water management & energy-efficient desalination., Agriculture-based low-carbon practices., Methane reduction in waste/agriculture. Advanced building materials for green infrastructure.
Significance:
- For India: Access to finance, high-end technology, and faster decarbonization of energy-intensive sectors.
- For Japan: Achieves part of its NDC commitments cost-effectively.
- For Global Climate Action: Strengthens Article 6 market mechanism under Paris Agreement.
- Strategic Angle: Enhances India–Japan strategic partnership in climate, technology, and sustainable development.
La Excellence IAS Academy, the best IAS coaching in Hyderabad, known for delivering quality content and conceptual clarity for UPSC 2025 preparation.
FOLLOW US ON:
◉ YouTube : https://www.youtube.com/@CivilsPrepTeam
◉ Facebook: https://www.facebook.com/LaExcellenceIAS
◉ Instagram: https://www.instagram.com/laexcellenceiasacademy/
GET IN TOUCH:
Contact us at info@laex.in, https://laex.in/contact-us/
or Call us @ +91 9052 29 2929, +91 9052 99 2929, +91 9154 24 2140
OUR BRANCHES:
Head Office: H No: 1-10-225A, Beside AEVA Fertility Center, Ashok Nagar Extension, VV Giri Nagar, Ashok Nagar, Hyderabad, 500020
Madhapur: Flat no: 301, survey no 58-60, Guttala begumpet Madhapur metro pillar: 1524, Rangareddy Hyderabad, Telangana 500081
Bangalore: Plot No: 99, 2nd floor, 80 Feet Road, Beside Poorvika Mobiles, Chandra Layout, Attiguppe, Near Vijaya Nagara, Bengaluru, 560040
