# Japan's GX-ETS: mandatory emissions trading, with a price band of ¥1,700–¥4,300

_Last checked 2026-11-12 · https://asiacarbondesk.com/japan-gx-ets/_

Since April 2026, companies emitting 100,000 tonnes of CO2 or more must hold allowances for their emissions. Allowances are allocated free; credits can cover up to 10%; and a government-set price band limits the cost. The first filing, allocation and surrender all fall in 2027–28.

## Key facts

- Mandatory start: Apr 2026 (FY2026 · after voluntary FY2023–25)
- Coverage threshold: 100,000 t (direct CO2, 3-year average)
- Covered companies: 300–400 (nearly 60% of Japan's GHG emissions)
- FY2026 price band: ¥1,700–4,300 (floor to ceiling, per tCO2)
- Credit use limit: 10% (J-Credits and JCM, of emissions)
- First surrender: 31 Jan 2028 (market opens around autumn FY2027)

## In brief

- Japan's mandatory ETS began in FY2026 (April 2026) and covers companies with direct CO2 emissions of 100,000 t or more — about 300–400 companies, nearly 60% of national greenhouse gas emissions.
- For FY2026 the reference ceiling is ¥4,300 and the adjustment floor ¥1,700 per tonne; from FY2027 both rise by 3% plus expected price inflation each year. A shortfall left unsurrendered costs the ceiling price × 1.1 (¥4,730 in FY2026).
- Allowances are free: by sector benchmark or by past emissions cut 1.7% a year (0.3% for process emissions). J-Credits and JCM credits may cover up to 10%.
- Because FY2026 is a transition year, filing and allocation move to FY2027, the allowance market opens around autumn 2027, and the first surrender is due 31 January 2028.

## Credit prices from government tenders, 2018–2023 (JPY per tCO2)

| Period | Renewable-power credits | Energy-saving credits |
|---|---|---|
| 2018-01 | 1,716 | 1,148 |
| 2018-04 | 1,724 | 1,395 |
| 2019-01 | 1,830 | 1,602 |
| 2019-04 | 1,801 | 1,506 |
| 2020-01 | 1,851 | 1,473 |
| 2020-06 | 1,887 | — |
| 2021-01 | 2,191 | 1,500 |
| 2021-04 | 2,536 | 1,518 |
| 2022-01 | 2,995 | 1,574 |
| 2022-04 | 3,278 | 1,607 |
| 2023-05 | 3,246 | 1,551 |

## Price band: FY2026 fixed, FY2027 onward rises at least 3% a year

| Period | Ceiling | Floor |
|---|---|---|
| FY2026 | 4,300 | 1,700 |
| FY2027 | 4,429 (calc.) | 1,751 (calc.) |
| FY2028 | 4,562 (calc.) | 1,804 (calc.) |
| FY2029 | 4,699 (calc.) | 1,858 (calc.) |
| FY2030 | 4,840 (calc.) | 1,914 (calc.) |

## Allocation benchmark for coal-fired power, FY2026–FY2030 (kg-CO2 per kWh)

| Period | kg-CO2/kWh |
|---|---|
| FY2026 | 0.8098 |
| FY2027 | 0.8081 |
| FY2028 | 0.8065 |
| FY2029 | 0.7616 |
| FY2030 | 0.7165 |

## From voluntary phase to first surrender

| Date | Event |
|---|---|
| 2023-04 | Voluntary GX-ETS phase 1 begins (FY2023–FY2025). |
| 2023-05-19 | GX Promotion Act promulgated. |
| 2025-06-04 | Amendment making the ETS mandatory promulgated; in force 1 April 2026. |
| 2026-01-05 | Registration of verification bodies opens. |
| 2026-04-01 | Mandatory GX-ETS takes effect. |
| 2026-09-30 | Deadline for first filing and transition plans. |
| 2027 autumn | Allowance trading market expected to open. |
| 2027-09-30 | FY2026 targets filed; allocation follows by end-November (first-year special rule). |
| 2028 | Fossil fuel levy starts (FY2028). |
| 2028-01-31 | First surrender of allowances for FY2026 emissions. |
| 2033 | Paid allocation (auctions) for power generators begins (FY2033). |

## File → allocate → trade → surrender

| Step | What happens |
|---|---|
| File a target | Covered companies report an emissions target and transition plan, verified by a registered body. |
| Receive free allowances | By sector benchmark, or past emissions cut 1.7% a year (0.3% for process emissions). |
| Trade surplus and shortfall | Allowances may be traded between companies; speculative trading is prohibited. |
| Surrender by 31 January | Hold allowances equal to verified emissions; up to 10% may be J-Credits or JCM credits. |
| If still short | Pay a charge: unsurrendered volume × ceiling price × 1.1. |

## Who and what is covered

| Item | Rule |
|---|---|
| Threshold | Direct CO2 emissions of 100,000 t or more, average of the previous 3 fiscal years |
| Gases | CO2 only; Scope 2 and non-CO2 gases excluded |
| Unit | Per company; subsidiaries are separate (joint filing allowed) |
| Companies covered | About 300–400 |
| Share of emissions | Nearly 60% of Japan's GHG emissions |
| Voluntary phase (FY2024) | Over 700 GX League companies, about 60% of emissions |
| Japan's FY2024 emissions | About 994 MtCO2e net (−28.7% vs FY2013) |

## Credits, markets and penalties

| Item | Status |
|---|---|
| Credit limit | 10% of each year's emissions |
| Eligible credits | J-Credits and JCM credits |
| Non-compliance charge | Unsurrendered volume × ceiling × 1.1 (FY2026: ¥4,730 per t, calculated) |
| Fine for false filing | Up to ¥500,000 (Art. 143) |
| Registered J-Credit projects | 1,497 (14.87 MtCO2 certified cumulatively; goal 15 Mt by FY2030) |

## All figures

| Item | Value | Source | Checked |
|---|---|---|---|
| Inclusion threshold | Direct CO2 emissions of 100,000 t or more (average of previous 3 fiscal years) | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets.html) | 2026-11-12 |
| Threshold set by Cabinet Order | 100,000 t (Article 2 of the Enforcement Order) | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505CO0000000379/20260401_507CO0000000412) | 2026-11-12 |
| Covered gas and scope | CO2 only, direct emissions (Scope 1); Scope 2 and non-CO2 gases excluded | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets__leaflet.pdf) | 2026-11-12 |
| Compliance unit | Judged per company; subsidiaries treated as separate entities (joint filing allowed) | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets__leaflet.pdf) | 2026-11-12 |
| Expected number of covered companies | Approx. 300-400 companies | [METI (Industrial Structure Council)](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/006_06_00.pdf) | 2026-11-12 |
| Share of national GHG emissions covered | Nearly 60% of Japan's GHG emissions | [METI (Industrial Structure Council)](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/006_06_00.pdf) | 2026-11-12 |
| GX League voluntary ETS participation (FY2024) | Over 700 companies, about 60% of Japan's emissions | [METI (Industrial Structure Council)](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/006_06_00.pdf) | 2026-11-12 |
| Reference price ceiling, FY2026 | JPY 4,300 per t-CO2 allowance | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/torihikikakaku.pdf) | 2026-11-12 |
| Adjustment reference price (floor), FY2026 | JPY 1,700 per t-CO2 allowance | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/torihikikakaku.pdf) | 2026-11-12 |
| Subcommittee recommendation on FY2026 ceiling | JPY 4,300 per allowance (1 t-CO2) | [METI (Industrial Structure Council)](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/20251219_2.pdf) | 2026-11-12 |
| Subcommittee recommendation on FY2026 floor | JPY 1,700 per allowance (1 t-CO2) | [METI (Industrial Structure Council)](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/20251219_2.pdf) | 2026-11-12 |
| Price escalation rule FY2027-FY2030 | Prior-year price x (1.03 + projected domestic corporate goods price index change) | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/torihikikakaku.pdf) | 2026-11-12 |
| Ceiling mechanism (deemed holding) | When triggered, firms may pay ceiling price per allowance instead of surrendering, limited to shortfall vs. allocation | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| Floor mechanism | GX Promotion Organization may buy allowances when average price falls below the adjustment reference price | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| Proposed ceiling trigger (under discussion) | Proposal: monthly average price above ceiling for 3 consecutive months | [METI](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/009_03_00.pdf) | 2026-11-12 |
| Allocation method | Free allocation by government based on sector guidelines | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets__leaflet.pdf) | 2026-11-12 |
| Grandfathering annual reduction rate (energy-related CO2) | 1.7% per continuous reporting year | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/jisshishishin.pdf) | 2026-11-12 |
| Grandfathering annual reduction rate (process CO2) | 0.3% per continuous reporting year | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/jisshishishin.pdf) | 2026-11-12 |
| Benchmark: coal-fired power, FY2026-FY2030 | 8.098, 8.081, 8.065, 7.616, 7.165 (x10^-4 t-CO2/kWh) | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/jisshishishin.pdf) | 2026-11-12 |
| Benchmark: LNG/city-gas power, FY2026-FY2030 | 3.857, 3.855, 3.853, 4.258, 4.656 (x10^-4 t-CO2/kWh) | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/jisshishishin.pdf) | 2026-11-12 |
| Benchmark: cement (per t clinker), FY2026-FY2030 | 0.8392, 0.8370, 0.8349, 0.8328, 0.8306 t-CO2/t clinker | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/jisshishishin.pdf) | 2026-11-12 |
| Benchmark: paper (pulping & papermaking), FY2026-FY2030 | 1.086, 1.067, 1.048, 1.029, 1.010 | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/jisshishishin.pdf) | 2026-11-12 |
| Offset credit usage cap | 10% of each year's emissions | [METI (Industrial Structure Council)](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/006_06_00.pdf) | 2026-11-12 |
| Credit cap in allocation guideline | Cancelled credits counted up to 0.1 x direct emissions | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/jisshishishin.pdf) | 2026-11-12 |
| Eligible credits | J-Credits and JCM credits | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets__leaflet.pdf) | 2026-11-12 |
| Surrender obligation | Hold allowances equal to verified emissions by 31 January of the following year | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| Non-compliance charge | Unsurrendered volume x reference ceiling price x 1.1 | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| Implied non-compliance charge, FY2026 | JPY 4,730 per t-CO2 (= 4,300 x 1.1) | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/torihikikakaku.pdf) | 2026-11-12 |
| Penalty for failure to file / false filing (Art.143) | Fine of up to JPY 500,000 | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| Speculative trading prohibited | Allowances must not be subject to speculative trading | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| Number of registered verification bodies (listed) | 18 bodies listed on METI page as of 2026-11-04 update (count of listed names) | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets.html) | 2026-11-12 |
| Verification body registration opened | 5 January 2026 | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets.html) | 2026-11-12 |
| Verification fee: target check, 0.1-1 Mt emitters | JPY 3,104,700 | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505CO0000000379/20260401_507CO0000000412) | 2026-11-12 |
| Verification body registration validity | 5 years | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505CO0000000379/20260401_507CO0000000412) | 2026-11-12 |
| Mandatory ETS start | FY2026 (from April 2026) | [METI](https://www.meti.go.jp/press/2024/02/20250225001/20250225001.html) | 2026-11-12 |
| GX Promotion Act amendment promulgated | 4 June 2025 (Act No. 52 of 2025); in force 1 April 2026 | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| GX Promotion Act promulgated | 19 May 2023 (Act No. 32 of 2023) | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| First filing and transition plan deadline | 30 September 2026 | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets__leaflet.pdf) | 2026-11-12 |
| First-year special rule: allocation | FY2026 target filing and allocation take place in FY2027 (filing by 30 Sep 2027, allocation end-Nov) | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets__leaflet.pdf) | 2026-11-12 |
| First surrender date (FY2026 obligations) | 31 January 2028 | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets__leaflet.pdf) | 2026-11-12 |
| Allowance trading market opening | Around autumn FY2027 | [METI](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/010_03_00.pdf) | 2026-11-12 |
| ERMS registry/reporting system | Planned launch around June 2026 | [METI](https://www.meti.go.jp/policy/energy_environment/global_warming/ets__leaflet.pdf) | 2026-11-12 |
| Paid allocation (auction) for power generators | From FY2033 | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| Fossil fuel levy start | From FY2028 | [e-Gov (Digital Agency)](https://laws.e-gov.go.jp/law/505AC0000000032/20260401_507AC0000000052) | 2026-11-12 |
| GX-ETS Phase 1 (voluntary) period | FY2023-FY2025 | [GX League (METI)](https://gx-league.go.jp/aboutgxleague/document/GX-ETSの概要.pdf) | 2026-11-12 |
| Phase 1 NDC-level reduction rates (2013 base) | 27.0% (FY2023), 29.7% (FY2024), 32.4% (FY2025) | [GX League (METI)](https://gx-league.go.jp/aboutgxleague/document/GX-ETSの概要.pdf) | 2026-11-12 |
| Phase 1 trading scope | Domestic direct emissions only (Scope 1) | [GX League (METI)](https://gx-league.go.jp/aboutgxleague/document/GX-ETSの概要.pdf) | 2026-11-12 |
| GX League basic concept endorsements (Feb 2022) | 440 companies | [GX League (METI)](https://gx-league.go.jp/aboutgxleague/document/GXリーグ活動概要～What is the GX League～.pdf) | 2026-11-12 |
| GX League endorsers (as of Feb 2023) | 679 companies, over 40% of Japan's CO2 emissions | [GX League (METI)](https://gx-league.go.jp/aboutgxleague/document/GXリーグ活動概要～What is the GX League～.pdf) | 2026-11-12 |
| GX League wind-down | Activities ended after FY2025 except reporting/settlement of voluntary trading | [GX League (METI)](https://gx-league.go.jp/) | 2026-11-12 |
| J-Credit registered projects (incl. transferred) | 1,497 projects | [J-Credit Scheme Secretariat](https://japancredit.go.jp/data/pdf/credit_002.pdf) | 2026-11-12 |
| J-Credit cumulative certified volume | 14.87 Mt-CO2 (after 69th committee) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/data/pdf/credit_002.pdf) | 2026-11-12 |
| J-Credit 2030 certification target | 15 Mt-CO2 by FY2030 | [J-Credit Scheme Secretariat](https://japancredit.go.jp/data/pdf/credit_002.pdf) | 2026-11-12 |
| Japan GHG net emissions FY2024 | Approx. 994 Mt-CO2e, -28.7% vs FY2013 | [Ministry of the Environment](https://www.env.go.jp/content/000394131.pdf) | 2026-11-12 |
| Japan CO2 emissions FY2024 | Approx. 971 Mt-CO2, -26.0% vs FY2013 | [Ministry of the Environment](https://www.env.go.jp/content/000394131.pdf) | 2026-11-12 |
| Implied emissions covered by GX-ETS | Roughly 600 Mt-CO2e (nearly 60% x ~994 Mt); indicative only | [Ministry of the Environment](https://www.env.go.jp/content/000394131.pdf) | 2026-11-12 |
| JCM partner country pages listed | 32 partner countries listed on JCM site (count) | [Government of Japan (JCM)](https://www.jcm.go.jp/jc/) | 2026-11-12 |
| J-Credit govt tender #4 (2018-01): renewable power avg price | JPY 1,716/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_04.pdf) | 2026-11-12 |
| J-Credit govt tender #5 (2018-04): renewable power avg price | JPY 1,724/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_05.pdf) | 2026-11-12 |
| J-Credit govt tender #6 (2019-01): renewable power avg price | JPY 1,830/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_06.pdf) | 2026-11-12 |
| J-Credit govt tender #7 (2019-04): renewable power avg price | JPY 1,801/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_07.pdf) | 2026-11-12 |
| J-Credit govt tender #8 (2020-01): renewable power avg price | JPY 1,851/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_08.pdf) | 2026-11-12 |
| J-Credit govt tender #9 (2020-06): renewable power avg price | JPY 1,887/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_09.pdf) | 2026-11-12 |
| J-Credit govt tender #10 (2021-01): renewable power avg price | JPY 2,191/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_10.pdf) | 2026-11-12 |
| J-Credit govt tender #11 (2021-04): renewable power avg price | JPY 2,536/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_11.pdf) | 2026-11-12 |
| J-Credit govt tender #12 (2022-01): renewable power avg price | JPY 2,995/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_12.pdf) | 2026-11-12 |
| J-Credit govt tender #13 (2022-04): renewable power avg price | JPY 3,278/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_13.pdf) | 2026-11-12 |
| J-Credit govt tender #14 (2023-05): renewable power avg price | JPY 3,246/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_14.pdf) | 2026-11-12 |
| J-Credit govt tender #4 (2018-01): energy-saving avg price | JPY 1,148/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_04.pdf) | 2026-11-12 |
| J-Credit govt tender #5 (2018-04): energy-saving avg price | JPY 1,395/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_05.pdf) | 2026-11-12 |
| J-Credit govt tender #6 (2019-01): energy-saving avg price | JPY 1,602/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_06.pdf) | 2026-11-12 |
| J-Credit govt tender #7 (2019-04): energy-saving avg price | JPY 1,506/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_07.pdf) | 2026-11-12 |
| J-Credit govt tender #8 (2020-01): energy-saving avg price | JPY 1,473/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_08.pdf) | 2026-11-12 |
| J-Credit govt tender #10 (2021-01): energy-saving avg price | JPY 1,500/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_10.pdf) | 2026-11-12 |
| J-Credit govt tender #11 (2021-04): energy-saving avg price | JPY 1,518/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_11.pdf) | 2026-11-12 |
| J-Credit govt tender #12 (2022-01): energy-saving avg price | JPY 1,574/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_12.pdf) | 2026-11-12 |
| J-Credit govt tender #13 (2022-04): energy-saving avg price | JPY 1,607/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_13.pdf) | 2026-11-12 |
| J-Credit govt tender #14 (2023-05): energy-saving avg price | JPY 1,551/t-CO2 (weighted avg, ex-tax) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_14.pdf) | 2026-11-12 |
| J-Credit govt tender #9 (2020-06): energy-saving | No successful bids | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_09.pdf) | 2026-11-12 |
| J-Credit govt tender #1 (2016-06): avg price | JPY 510/t-CO2 (1,000 t sold) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_01.pdf) | 2026-11-12 |
| J-Credit govt tender #2 (2017-01): avg price | JPY 1,594/t-CO2 (500,000 t sold) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_02.pdf) | 2026-11-12 |
| J-Credit govt tender #3 (2017-04): avg price | JPY 908/t-CO2 (500,000 t sold) | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_03.pdf) | 2026-11-12 |
| J-Credit govt tender #14 (2023-05): renewable volume sold | 256,204 t-CO2 sold vs 330,500 t bid | [J-Credit Scheme Secretariat](https://japancredit.go.jp/tender/data/nyuusatsukekka_14.pdf) | 2026-11-12 |
| Government tender sales ended | Secretariat no longer runs tenders; last (14th) tender May 2023 | [J-Credit Scheme Secretariat (METI/MOE/MAFF)](https://japancredit.go.jp/tender/) | 2026-11-12 |

## FAQ

**When did Japan's mandatory emissions trading start?**

In FY2026, from April 2026. The Act amendment was promulgated on 4 June 2025 and took effect on 1 April 2026, after a voluntary phase in FY2023–FY2025.

**Which companies must take part?**

Companies whose direct CO2 emissions average 100,000 tonnes or more over the previous three fiscal years — about 300–400 companies, nearly 60% of Japan's greenhouse gas emissions. Only direct CO2 (Scope 1) counts.

**What are the price ceiling and floor?**

For FY2026 the reference ceiling is ¥4,300 and the adjustment floor ¥1,700 per tonne of CO2. From FY2027 to FY2030 each year's price is the prior year's price × (1.03 + the projected change in the corporate goods price index).

**What happens if a company is short of allowances?**

It must surrender allowances equal to verified emissions by 31 January of the following year. Any shortfall costs the ceiling price × 1.1, which is ¥4,730 per tonne for FY2026 (a calculated value).

**Can J-Credits be used for compliance?**

Yes. J-Credits and JCM credits may cover up to 10% of a company's emissions each year.

**How are free allowances decided?**

By government sector benchmarks where they exist (for example coal-fired power, LNG power, cement, paper), or by past emissions reduced 1.7% a year for energy-related CO2 and 0.3% for process CO2.

**When does the allowance market open and when is the first surrender?**

The market is expected to open around autumn FY2027. Because FY2026 is a transition year, filing and allocation happen in FY2027 and the first surrender is due 31 January 2028.

**When do auctions start?**

Paid allocation for power generators is set to start in FY2033. A fossil fuel levy on upstream suppliers is set to start in FY2028.

## Not listed yet

- Ceiling and floor for FY2027 onward: formula only, values not yet published.
- The number of companies that actually filed by 30 September 2026: not published in the sources checked.
- The trigger for the ceiling mechanism (a proposal of three months above the ceiling is still under discussion).
- GX推進法改正の法律案概要・要綱など METI /files/ 配下のPDF（例 https://www.meti.go.jp/files/900015393.pdf） — curl は403、内蔵ブラウザでも本文の代わりに空の応答(HTTP 202・チャレンジ画面とみられる)が返り、本文を読めなかった。迂回はしていない。同内容は改正法本文(e-Gov)とニュースリリースで代替確認。
- 内閣官房 GX実行会議資料（cas.go.jp の PDF・index） — curl で PDF の代わりに HTML/404 が返り本文取得できず。
- GX推進機構 排出量取引制度ポータル（ets.gxa.go.jp） — 接続できず（応答なし）。
- 2026年9月30日までに実際に届出をした制度対象者の数 — 公式資料で数値を見つけられなかった（第10回小委資料は割当量の公表方法の議論のみ）。
- 2027年度の上限・下限価格の水準 — 小委で「2027年度の上下限価格の決定」が審議事項に挙がっているのみで、数値は未公表。
- GX-ETS第1フェーズの超過削減枠の取引量・約定価格の推移 — 取引所サイト由来の価格・売買の統計は掲載しない方針。政府(GXリーグ)側の集計資料も見つけられなかった。
- JPXカーボン・クレジット市場の月次・日次の価格推移（時系列） — 取引所サイト由来の価格は掲載しない方針のため収録していない。政府の公表値は見つけられなかった。
- GXリーグ参画企業数の最新値（2025年度） — 参画企業一覧ページは社名の羅列のみで総数の記載なし。英語版中間整理の「700社超（FY2024）」を代わりに収録。