We have expanded the list of climate policies we assess company engagement with to incorporate land-use related policy, referring to legislative or regulatory measures to enhance and protect ecosystems and land where carbon is being stored. Assessments under this category are currently underweighted in terms of their contribution to the overall company metrics. This weighting will be progressively increased over the next 6 months.
We adjusted the terminology used to describe the queries running down the left-hand side of our scoring matrix and added additional explanatory text to the info-boxes. This has no impact on the scores and methodology. It has been done following user feedback to improve clarity.
Climate Lobbying Overview: Japan Foreign Trade Council (JFTC) appears to have limited engagement on climate and energy policy in Japan. It has mixed positions in its top-line messaging on climate change, appearing to support the Paris Agreement while emphasizing a need to focus on other countries. It has also stated support for co-firing of various energy sources into coal thermal power to reduce greenhouse gas emissions, which does not align with IPCC guidelines.
Top-line Messaging on Climate Policy: JFTC appears to have mixed positions in its top-line messaging on climate change. In a press conference in April 2021,then-chairman of JFTC, Kobayashi, supported Japan’s 2050 carbon neutrality target and requested for government-led policies to achieve carbon neutrality. During a press conference in November 2021, the chairman showed mixed support for the Paris Agreement– while welcoming the outcome of COP26 and that countries agreed on a goal to limit the temperature increase to 1.5℃, the chairman emphasized the maintenance of industrial competitiveness and energy security in Japan. In a JFTC’s Environment Action Progress Report published in March 2021, JFTC appeared to support greenhouse gas reductions, however, it stated that other countries should pursue reductions, arguing that there is limited room for GHG reductions in Japan.
Engagement with Climate-Related Regulations: JFTC appears to have limited engagement with climate-related regulations. During a press conference held in April 2021, the chairman of JFTC welcomed the increased ambition of national greenhouse gas reduction targets at the Climate Change Summit in the US. Moreover, in a policy proposal submitted to the government in March 2022, JFTC expressed support for the Joint Credit Mechanisms, but did not specify a position on a regulatory emissions trading system. In a press conference in February 2022, the chairman of JFTC acknowledged the border carbon adjustment tax in Europe, but did not specify a position on the introduction of such policies in Japan.
Positioning on Energy Transition: JFTC appears to take negative positions on the energy transition. In an NHK article published in May 2022, the chairman emphasized the importance of Japan’s energy security in maintaining Japanese interests in fossil fuel projects in Russia. In a policy proposal submitted to the Japanese government including the Ministry of Economy, Trade and Industry and Ministry of Environment in March 2022, while advocating for government regulation on various renewable energies and CCS/CCUS, JFTC also emphasized the effectiveness of mixing ammonia and hydrogen with coal thermal power, which does not align with IPCC guidelines. Moreover, in a Mainichi news article published in September 2021, the chairman supported utilizing nuclear power plants, but without expressing a clear position on the energy mix as a whole.
InfluenceMap collects and assesses evidence of corporate climate policy engagement on a weekly basis, depending on the availability of information from each specific data source (for more information see our methodology). While this analysis flows through to the company’s scores each week, the summary above is updated periodically. This summary was last updated in Q4 2022.