Japan plans market for environmental electricity credits
The market will enable power companies as well as households with solar panels to buy and sell environmental values linked to electricity generation using such non-fossil resources, Jiji reports.
The move comes as power suppliers will be required to keep the ratio of electricity generated with renewable sources or nuclear power at 44 percent or more of their total supply, starting in the fiscal year that begins in April 2031.
Power suppliers struggling to achieve the target will be able to fill the gap if they purchase environmental values in the new market.
The new market will also give households additional revenue if they sell environmental values created with electricity generation using their solar panels.
The Ministry of Economy, Trade and Industry plans to form the market at the Japan Electric Power Exchange, the country’s sole electricity wholesale market, as early as 2018. ■