Why in the news?

  • The Union Minister for Environment, Forests and Climate Change took part in the 11th Joint Crediting Mechanism Partner committee meeting in Brazil.

Joint Crediting Mechanism (JCM)

  • What is it?: The Joint Crediting Mechanism (JCM) is a bilateral initiative launched to facilitate greenhouse gas emission reductions through the transfer and diffusion of advanced low-carbon technologies in partner developing countries.
  • Launch: Launched by Japan in 2013
  • Key Features:
    • It operates under Article 6 of the Paris Agreement, allowing mutual recognition and avoidance of double counting of emission reduction credits between partner countries such as India and Japan.
    • Projects involve the deployment of decarbonizing technologies, products, systems, or infrastructure in developing nations to reduce greenhouse gas emissions below a baseline level.
    • A Joint Committee comprising representatives from both countries governs the approval of methodologies, project registration, credit issuance, and monitoring.
    • Emission reduction credits generated are split between Japan and the partner country and credited to their respective registries for use towards their emission targets.
    • The mechanism supports technology transfer, financing, and capacity building to enable sustainable development.
    • As of 2025, Japan has bilateral agreements with over 30 countries, including India which has set up a National Designated Authority to oversee JCM projects.
  • India and JCM:
    • India is a partner of JCM with Japan.
    • Priority sectors in India include renewable energy with storage, sustainable aviation fuels, green hydrogen, green ammonia, biogas, steel, cement, and chemicals.
    • The Bureau of Energy Efficiency is developing an Indian Carbon Market portal with a dedicated module for JCM projects to enhance transparency and project facilitation.
    • India promotes the JCM as a model climate partnership that combines bilateral cooperation with multilateral climate goals, advocating its expansion globally for equitable and impactful climate action.

Source: PIB