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J-Credit is a system wherein the Japanese government certifies amounts of CO2 and other greenhouse effect gases reduced/absorbed through the introduction of energy-saving equipment, forest management and other initiatives.
The domestic credit (CDM) system and the offset credit (J-VER) system were constructively combined to create the J-Credit scheme. Credits created under this scheme are available for achieving various goals such as in low-carbon society action plans, or for carbon offsetting.
Domestic Credit (CDM) Scheme:
A scheme which can be utilized to certify amounts of greenhouse effect gas emission reduced by small to medium-sized companies, etc. through the provision of technologies/funds by large companies as provided in the Kyoto Protocol Target Achievement Plan (revised by the Cabinet on March 28, 2008) to achieve goals in self-action plans, emissions trading trial schemes, etc. Not only are small to middle-sized companies covered, but the scheme extensively deals with emissions reduction in forestry (forest biomass), the civilian sector (operations, households, etc.), the transportation sector, etc.
Offset Credits (J-VER) Scheme:
A scheme introduced by the Ministry of Environment in 2008. Carbon offset is a phrase by which to collectively refer to concepts or activities that considers an entity to have succeeded in reducing CO2 emissions when the amount of CO2 it emits is offset by the amount of CO2 absorbed through forestation, forest protection activities, etc.
On the other hand, organizations that own forests and other CO2 absorption sources can obtain activity funds (credits) to maintain/secure absorption amounts by selling absorption amounts through their own activities.
At HCM, we have been working to develop more efficient and electric-motor driven systems, aiming to produce more energy-saving and environmentally friendly construction machinery and industrial vehicles as one of our developmental goals.
For electric hydraulic excavators, in particular, we have developed more than 14 models to date since 1971 when we first entered the market.
HCM and Hitachi, Ltd. jointly considered the possibility of utilizing domestic credits to promote further contributions to global warming prevention by replacing traditional vehicles with electric-motor driven models. Then in December 2010, we successfully applied and registered for the emission reduction methodology “Update to Electric Construction Machinery/Industrial Vehicles (methodology number EN-S-021)” with the certification committee.
This is the first of our emission reduction methodologies involving electric-motor driven construction machinery.
This methodology is designed for emission reduction activities to reduce amounts of fossil fuel use, etc. by replacing traditional construction machinery and industrial vehicles with more efficient hybrid models.
HCM delivered the ZX200-3 electric hydraulic excavator to Ishizaka Sangyo Kabushiki CO., LTD (hereafter Ishizaka Sangyo), and launched an emission reduction project with them that uses electric-motor driven hydraulic excavators under the domestic credit scheme.
This emission reduction project is the first reduction project that uses construction machinery, and was officially approved by the domestic credit certification board (currently known as the J-Credit scheme certification board) in March 2011.