Key Facts and Data Points

  • Adopting Authority: Ministry of Environment, Forest and Climate Change (MoEFCC)
  • Partner Country: Japan
  • Mechanism: Joint Crediting Mechanism (JCM)
  • Legal Framework: Article 6.2 of the Paris Agreement
  • India's Net Zero Target: 2070

Background and Context

The Joint Crediting Mechanism represents a bilateral carbon market initiative launched by Japan to foster international climate cooperation. Under this mechanism, both countries collaborate on greenhouse gas emission reduction and carbon removal projects in partner countries.

Working of the JCM

  • Projects deployed under the JCM generate verified carbon credits
  • These credits are shared between India and Japan
  • The shared credits help both nations fulfill their respective Nationally Determined Contributions (NDCs)
  • The mechanism facilitates technology transfer of Japanese decarbonization technologies

Significance for India

Climate Finance and Viability Gap Funding

  • Secures essential climate finance for India
  • Provides viability gap funding for cost-intensive climate infrastructure
  • Supports India's long-term goal of reaching Net Zero by 2070

Advanced Technology Transfer

  • Localized deployment of high-end Japanese decarbonization technologies
  • Sectors covered:
  • Heavy industry
  • Energy efficiency
  • Renewable energy sectors

Environmental Integrity Protocols

Third-Party Validation and Verification (V&V)

  • The Rules of Implementation mandate strict third-party validation and verification
  • Ensures authenticity of emission reduction claims

Double Counting Prevention

  • Synchronized national registries established
  • Actively prevents double counting of emission reductions
  • Maintains environmental integrity of carbon credits

Article 6.2 of the Paris Agreement

Article 6.2 allows countries to voluntarily cooperate to achieve their climate targets through the transfer of Internationally Transferred Mitigation Outcomes (ITMOs). This provides the legal framework for the JCM's operation.

Related Constitutional/Legal Provisions

  • Paris Agreement (2015): International commitment on climate action
  • Article 6.2: Framework for bilateral carbon market mechanisms
  • Nationally Determined Contributions (NDCs): National climate pledges under the Paris Agreement