5. What is a "credit" for carbon neutrality?

Introducing information about carbon neutrality in a column! What is the difference between "compliance credits" and "voluntary credits"?

One area of focus for companies aiming for carbon neutrality is "carbon credits," isn't it? These credits can be broadly divided into two types: "compliance credits" (such as J-Credits) and "voluntary credits." First, "voluntary credits" are utilized for companies' voluntary initiatives and are generated from projects around the world, such as forest conservation and the introduction of renewable energy. They are issued based on international standards and are effective for enhancing brand value and engaging in transactions with global companies. On the other hand, if reliability within Japan is a priority, then "compliance credits" are the way to go. This system is operated by the Japanese government and converts the reduction or absorption of CO₂ through renewable energy and energy conservation into credits. The optimal method varies depending on the size, industry, and business content of the company. It is important to carefully consider the company's objectives and circumstances to formulate the most suitable "carbon neutrality strategy." At Mirai-F, we offer two types of credits: "compliance credits" that can be used for reporting CO₂ reduction amounts and emissions under the Climate Change Act, and "voluntary credits" for voluntary greenhouse gas initiatives. We provide proposals to help our customers achieve energy decarbonization.

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