Climate Policy Engagement Analysis
Climate Policy Engagement Overview: Japan Cement Association (JCA) appears to have limited and negative engagement on climate regulations and policies in Japan. In recent years, it has communicated ambiguous top-line positions on climate change action. However, at a more detailed level, it appears to take negative positions on several specific policy issues. Before 2022, it did not appear to support the energy transition, however in 2022, it appears to support the transitioning the energy mix, while also emphasizing the cost and risks of the energy transition.
Top-line Messaging on Climate Policy: JCA appears to take broadly positive position on climate change action. In March 2022, JCA published a position paper on the “Long-term vision of the cement industry to become carbon neutral” and it suggested it supports the IPCC need for drastic action to achieve climate neutrality. The former chairman of JCA, Ono Naoki also appeared to support decarbonization of the sector led by innovation and ESG investment as stated in his new year greetings in 2020 and 2021.
Engagement with Climate-Related Regulations: JCA appears to have limited engagement with climate-change regulations in Japan. During the Ministry of Energy, Trade and Industry (METI) conference in March 2021, JCA appeared to support energy efficiency and advocated for government to support measures to improve demand response and energy conservation.
Positioning on Energy Transition: JCA’s position towards energy transition appears to improve over the year. As a member of the thermal coal power working group hosted by METI, JCA have attended regular meetings. In its presentation to the group in September 2020, JCA stated that transitioning away from coal would be too costly and risk disrupting the secure supply of electricity needed for the industry. In December 2021, JCA participated in a committee hosted by METI and questioned the feasibility of the transition towards non-fossil energy. In March 2022, during the METI committee, JCA appear to broadly support government intervention to decarbonize the sector. In another METI committee held in October 2022, JCA appear to work towards increase the ratio of non-fossil energy sources.