Japan Exchange Group Celebrates First Year of Carbon Credit Market

The Japan Exchange Group (JPX) commemorates the one-year anniversary of the Carbon Credit Market at the Tokyo Stock Exchange (TSE). Since its inception, the market has shown consistent growth in terms of participant numbers and trading volume. As of October 10, 2024, there are 297 registered participants, with a cumulative trading volume of 521,704t-CO2, averaging 2,129t-CO2 per day.

The Carbon Credit Market initially focused on trading J-credits. Following its launch, TSE made enhancements by revising trading categories and implementing a market-maker scheme to boost market liquidity. Japan Exchange Group, Inc. reaffirms its commitment to advancing carbon neutrality in Japan through the effective operation of the Carbon Credit Market.

RYUZAKI Takatsugu, Director-General of the GX Policy Group at the Ministry of Economy, Trade, and Industry, commended TSE on reaching this milestone. The Ministry has been actively involved in developing an emissions trading system and promoting J-credit trading. Establishing a mechanism for trading environmental values and ensuring transparency in carbon pricing are crucial for expanding GX investment towards achieving carbon neutrality by 2050. The Ministry looks forward to the continued growth of the TSE Carbon Credit Market as a vital infrastructure in this endeavor.

President and CEO of Tokyo Stock Exchange, Inc., IWANAGA Moriyuki, expressed gratitude to all market participants for their collaboration in running the Carbon Credit Market. He highlighted the upcoming introduction of “GX Credits” trading during the Trial Phase of the GX-ETS in November. As the GX-ETS progresses into its full-scale operation phase by 2026, the market’s role in determining carbon prices will become increasingly significant, attracting more attention. Tokyo Stock Exchange commits to partnering with METI and other stakeholders to support the “Pro-Growth Carbon Pricing Concept.”

Looking ahead, the Carbon Credit Market’s website provides detailed information on market specifications and serves as a resource for interested parties. For inquiries, the Carbon Credit Market Office at Tokyo Stock Exchange, Inc. can be contacted via phone at +81-(0)3-3666-0141 or email at carbon_info@jpx.co.jp.

In conclusion, the first anniversary of the Carbon Credit Market signifies a significant step towards fostering sustainability and combating climate change in Japan. The collaborative efforts of industry players and regulatory bodies are instrumental in driving the market’s progress and shaping a greener future for the nation.