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1 6% 25% by % by2050

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3 LDP DPJ

4 Low Carbon Green Growth and Development

5 Green New Deal 20 Apr 2009 Minister for MoE Tetsuo SAITO Action Plan for the Creation of a Low-Carbon Society 29 Jul 2008 Cabinet Decision

6 Statement by Prime Minister Yukio Hatoyama at the United Nations Summit on Climate Change (New York, 22 September 2009) 2.Reduction targets Based on the discussion i in the Intergovernmental t Panel on Climate Change (IPCC), I believe that the developed countries need to take the lead in emissions reduction efforts. It is my view that Japan should positively commit itself to setting a long-term reduction target. For its midterm goal, Japan will aim to reduce its emissions by 25% by 2020, if compared to the 1990 level, consistent with what the science calls for in order to halt global warming. However, Japan s efforts alone cannot halt climate change, even if it sets an ambitious reduction target. It is imperative to establish a fair and effective international framework in which all major economies participate. The commitment t of Japan to the world is premised on agreement on ambitious targets by all the major economies.

7 Statement by Prime Minister Yukio Hatoyama at the United Nations Summit on Climate Change (New York, 22 September 2009) 3. Support for developing countries Japan deems the following four principles essential in assisting developing countries: First, the developed countries, including Japan, must contribute through substantial, new and additional public and private financing. Second, we must develop rules that will facilitate international recognition of developing countries' emissions reductions, in particular those achieved through financial assistance, in a measurable, reportable and verifiable manner.

8 Statement by Prime Minister Yukio Hatoyama at the United Nations Summit on Climate Change (New York, 22 September 2009) 3. Support for developing countries Third, on assistance to developing countries, consideration shoto innovative mechanisms to be implemented in a predictable manner. And an international system should be established under the auspices of the UN climate change regime. This system should facilitate one-stop provision of information on and matching of available bilateral and multilateral financing, while securing transparency and effective utilization of assistance.uld be given Fourth, Japan proposes to establish a framework to promote the transfer of low-carbon technologies which ensures the protection of intellectual property rights.

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10 Copenhagen Accord

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14 Framework Law for Global Warming Countermeasures 12 Mar 2010 Cabinet Decision New Growth Strategy t 30 Dec 2009 Cabinet Decision Road Map forward 2020/2050 under process

15 Draft Framework Law for Global Warming Countermeasures (Cabinet Decision on 12 March 2010) Need for Framework law Prime Minister Yukio HATOYAMA declared in September 2009 that all available policy tools would be mobilized aimed at cutting the emissions of greenhouse gases by 25% by 2020 below the 1990 levels. To achieve this reduction target, all policies need to be systematically clarified. To advance international negotiation for the establishment of a new post-2012 framework, it is important that basic directions for global warming countermeasures in Japan be clearly stated in the form of legislation. Outline of the Draft Purpose To promote global warming countermeasures while encouraging economic growth, ensuring employment opportunities and securing stable supply of energy and thus to contribute to global environment conservation and to the assurance of wholesome and cultured living for both present and future generations Basic principles The principles prescribed as global warming countermeasures include: Creation of a society which enables greenhouse gases reduction through the establishment of new lifestyles, while realizing the sustained economic growth Active implementation of countermeasures under international cooperation building on our knowledge, technology and experience Development of industry and ensuring employment opportunities which contribute to global warming mitigation Coordination with energy policies and securing stable energy supply Seeking the understanding of merits and effects of countermeasures on economic activities and people s life Mid and long-term targets Greenhouse gases reduction target in 2020; Premised on the establishment of a fair and effective internationali framework and on agreement for ambitious i targets, achieving i a 25% reduction compared to the 1990 levels by 2020; Greenhouse gases reduction target in 2050; achieving an 80% reduction by 2050 compared to the 1990 levels Renewable energy supply target in 2020; 10% of the primary energy supply 15

16 Draft Framework Law for Global Warming Countermeasures (Cabinet Decision on 12 March 2010) Need for Framework law Prime Minister Yukio HATOYAMA declared in September 2009 that all available policy tools would be mobilized aimed at cutting the emissions of greenhouse gases by 25% by 2020 below the 1990 levels. To achieve this reduction target, all policies need to be systematically clarified. To advance international negotiation for the establishment of a new post-2012 framework, it is important that basic directions for global warming countermeasures in Japan be clearly stated in the form of legislation. Outline of the Draft Purpose Greenhouse To promote globalgases warming countermeasures reduction whiletarget encouragingin economic 2020; growth, Premised ensuring employment on the opportunities and securing stable supply of energy and thus to contribute to global environment conservation and to the assurance wholesome and cultured living for both present and future generations establishment of a fair and effective international framework and on agreement for ambitious targets, achieving a 25% reduction The principles prescribed as global warming countermeasures include: Creation of a society which enables greenhouse gases reduction through the establishment of new compared to the 1990 levels by 2020; Greenhouse gases lifestyles, while realizing the sustained economic growth reduction Active implementation of countermeasures under international i cooperation building our knowledge, technologytarget and experience in 2050; achieving an 80% reduction by 2050 Development of industry and ensuring employment opportunities which contribute to global warming compared mitigation to the 1990 levels Basic principles Coordination with energy policies and securing stable energy supply Seeking the understanding of merits and effects of countermeasures on economic activities and people s life Mid and long-term targets Greenhouse gases reduction target in 2020; Premised on the establishment of a fair and effective internationali framework and on agreement for ambitious i targets, achieving i a 25% reduction compared to the 1990 levels by 2020; Greenhouse gases reduction target in 2050; achieving an 80% reduction by 2050 compared to the 1990 levels Renewable energy supply target in 2020; 10% of the primary energy supply 16

17 25% reduction of CO2 emission must NOT give a bad effect to the Japan s economy and it s future growth. 25% reduction of CO2 emission should contribute to creation of new environment-related markets and new environment sector jobs.

18 Framework Law for Global Warming Countermeasures 12 Mar 2010 Cabinet Decision New Growth Strategy t 30 Dec 2009 Cabinet Decision Road Map forward 2020/2050 under process

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23 Framework Law for Global Warming Countermeasures 12 Mar 2010 Cabinet Decision New Growth Strategy t 30 Dec 2009 Cabinet Decision Road Map forward 2020/2050 development process in MoE

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28 Framework Law 25% reduction of CO2 emission must NOT give a bad effect to the Japan s economy and it s future growth. +Basic Master Plan + Action Plan Road Map forward 25% reduction of CO2 emission should contribute to creation of new environment-related t markets and new environment sector jobs. 2020/2050 +World Leading Technology +Comprehensive Policy Package +Growth from Green Innovation New Growth Strategy +Growth from Green

29 Challenges Coordination inside the Gov t / with industrial stakeholders? Balanced + realistic roadmap? Decision Making Process? Schedule?

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31 Basic plan Draw up a plan for the comprehensive and planned promotion of global warming countermeasures, including - Basic strategy for global warming countermeasures - Emissions reduction target and absorption target for greenhouse gases - Estimates of greenhouse gases emissions in 2030 and Global warming countermeasures taken by the government in a comprehensive and planned manner Basic measures <Concrete global warming countermeasures of significant importance> Create a domestic emissions trading system ( A final legislative plan is to be completed toward one year after the entry into force of this law) Consider taxation for global warming countermeasures as from FY 2011, and greening of the overall tax system from the point of promotion of global warming countermeasures Expand the feed-in-tariff system for renewable energy (from excess amount to total amount) and promotion of its use <Daily Life> Promote energy conservation in equipment, buildings, etc. Promote voluntary efforts Promote education and learning Promote the dissemination i of information regarding greenhouse gases emissions i <International Cooperation> Secure international collaboration and promote international cooperation

32 Basic measures (continued) <Local Development> Promote the creation of a local society with accumulation of urban functions and etc. Reduce emissions from traffic through proper use of automobiles and etc. Maintain and strengthen absorption capacity of greenhouse gases through forest and wooded-area conservation, tree plantation and etc. Necessary measures for local governments <Manufacturing> Promote innovative technological development Promote energy conservation in equipment, buildings, etc. Promote the shift to energy sources which are less carbon intensive and more efficient use of fossil fuels Create new enterprises that contribute to global warming mitigation <Measures for Nuclear Energy> Promote measures for nuclear energy use while ensuring its safety and with people s understanding and trust <Adaptation to Climate Change> Promote measures to adapt to climate change in a planned manner through assessment of global warming and its effects 32

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35 Framework Law 25% reduction of CO2 emission must NOT give a bad effect to the Japan s economy and it s future growth. +Basic Master Plan + Action Plan Road dmap 25% reduction of CO2 emission should contribute to creation of new environment-related t markets and new environment sector jobs. New Growth Strategy forward 2020/2050 +World Leading Technology +Comprehensive Policy Package +Growth from Green Innovation