THEBUSINESSBYTES
BUREAU
NEW
DELHI, OCTOBER 5, 2026
India and Japan have
taken a significant step towards operationalising their bilateral carbon market
cooperation with the launch of an Operational Manual for the India-Japan Joint
Crediting Mechanism (JCM), aimed at accelerating deployment of advanced
low-carbon technologies and mobilising climate finance.
Japanese Ambassador
to India Keiichi Ono and then Secretary in the Ministry of Environment, Forest
and Climate Change Tanmay Kumar jointly launched the manual in New Delhi on September
30, marking a key milestone in implementation of the JCM under Article 6.2 of
the Paris Agreement.
The India-Japan JCM
seeks to promote technology cooperation, facilitate climate finance and support
high-integrity emission reductions and removals in India, while contributing to
sustainable development and strengthening transparency and confidence in
international carbon markets.
The launch follows
the signing of the Memorandum of Cooperation between the two countries on
August 7, 2025, and the subsequent adoption of the Rule of Implementation on
June 8, 2026.
With the operational
manual now in place, bilateral cooperation is moving from institutional
groundwork to implementation, providing project developers and other
stakeholders with a clear and transparent framework for undertaking JCM
activities.
The manual lays down
comprehensive procedures covering the complete project cycle, beginning with
submission of a Project Idea Note and extending through project development,
assessment, credit issuance and authorisation of JCM credits.
The mechanism is expected to create a structured pathway for India and Japan to deepen cooperation on low-carbon technologies and channel investments towards projects that deliver measurable climate benefits.
By establishing detailed and transparent operating procedures, the JCM is also expected to reinforce the credibility and integrity of bilateral carbon-market cooperation and support the countries' broader climate and sustainable development objectives.