There will be regulations governing the exchange of carbon credits abroad

The Ministry of Natural Resources and Environment is presiding over the development of a Government Decree on the management of carbon credit exchange activities abroad. This draft Decree will provide for allowing partner countries to use purchased carbon credits to contribute to the partner country's NDC...

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At a working session with Erex Corporation (Japan) on gas emission reduction activities, the JCM mechanism and carbon credit exchange content on January 13, 2025, Minister of Natural Resources and Environment Do Duc Duy emphasized that Vietnam currently attaches special importance to the issue of green development, circular economic development and aims to achieve net zero emissions by 2050, focusing on the development of science and technology. , conversion digital, green transformation.

Vietnam wishes to be a pioneer in developing low carbon emission technologies, especially cooperation programs between Vietnam and Japan in this field will be a model in cooperation and development for other countries study.

Regarding the JCM Mechanism, Minister Do Duc Duy informed: at the 9th meeting of the Joint Committee between Vietnam and Japan taking place in October 2024, Vietnam proposed that the two countries continue to exchange exchange, negotiate, and move towards signing an international treaty on cooperation in implementing the JCM (Joint Crediting Mechanism). This treaty will ensure compliance with the provisions of the Paris Agreement and the greenhouse gas emissions reduction target in the Nationally Determined Contributions (NDC).

Currently, Japanese agencies are conducting consultations on the proposal to sign international treaties, and hope to receive an early response from the Japanese side to continue implementing negotiation and signing procedures. According to the Minister, after the international treaty is signed, there will be a legal basis to implement cooperative activities within the framework of the JCM Mechanism.

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However, he also suggested that before the international treaty is signed, the JCM Joint Committee between Vietnam and Japan will need to agree on how to divide carbon credits for a number of pilot projects, in order to addresses the concerns of businesses like Erex.

Regarding the proposed credit division ratio of Erex Company, the Minister requested the Department of Climate Change to continue to research and report to the Minister as well as the Joint Committee for consideration at the Committee's meeting in the near future. 

Currently, the Ministry of Natural Resources and Environment is presiding over the development of a Government Decree on the management of carbon credit exchange activities abroad. This draft Decree will provide for allowing partner countries to use purchased carbon credits to contribute to the partner country's NDC.

The Minister also proposed that the Japanese Government, Japanese partners and Erex Company continue to support Vietnam in implementing activities to respond to climate change, especially projects to reduce gas emissions. greenhouse.

The implementation of carbon credit exchange activities and the results of reducing greenhouse gas emissions not only create motivation to promote the emission reduction process, but also need to ensure harmony of interests of all parties, while contributing in implementing national goals on reducing greenhouse gas emissions according to the NDCs of Vietnam and Japan, the Minister stated.

Sharing at the meeting, Mr. Honna Hitoshi, President and General Director of Erex discussed the Group's efforts in the field of investment in reducing greenhouse gas emissions, especially in implementing power projects. biomass and generate special carbon credits under the JCM Mechanism. In addition, the Group is also interested in carbon credit exchange and wants to have information exchange from the Ministry of Natural Resources and Environment.

Source: vneconomy.vn