TSE Cash Markets

Based on the knowledge and market operation experience gained from the “Technical Demonstration Project for Carbon Credit Market” commissioned by the Ministry of Economy, Trade and Industry (METI) in FY2022, Tokyo Stock Exchange, Inc. (TSE) is pleased to announce that it plans to establish the Carbon Credit Market and is accepting public comments on establishment of the Carbon Credit Market until June 23rd, 2023.

TSE will start to accept applications for registration as a Carbon Credit Market Participant from July 2023. After TSE conducts a network connectivity test, etc., it plans to open the carbon credit market and begin trading (initially for J-Credits) around October 2023.

In February 2023, the Japanese government announced the introduction of an “emissions trading system” as part of a carbon pricing in its “Basic Policy for the Realization of GX.” Trial trading for GX-ETS is scheduled to begin in FY2023 and full-scale operation in FY2026, so as part of this, there are expectations for a carbon credit market to be created in FY2023.

One of the key focus areas of JPX’s Medium-Term Management Plan 2024 is to “study and work towards the creation of a Japanese carbon credit market”. We will contribute to the development of carbon credit market from a medium to long-term perspective along with the development of emissions trading scheme in Japan.

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