The Kyoto Protocol and Asia's Challenge

ABSTRACT

With Russia's ratification of the Kyoto Protocol on February 16th, 2005, the pact officially came into effect and Japan formally took on its international obligation to reduce its greenhouse gas emissions from 2008 through 2012 to an average of 6% below its 1990 level. It is predicted, however, that Japan will come nowhere near its reduction goals if its efforts are limited to the implementation of domestic projects. If it is going to fulfill its obligations, Japan must work with other regions through 'Kyoto Mechanisms' such as Clean Development Mechanisms (CDM), Joint Implementation (JI), and emissions trading. JI will be effective with developed nations in Central and Eastern Europe while CDMs will be most appropriate for cooperation with developing countries like China and the other ASEAN nations.

Because the ratification of the protocol will necessitate the implementation of CDMs, it will work to encourage deeper relations between Japan and the other Asian countries. In implementing CDM's, it will be important for Japan, as for the other countries involved, to maintain a strategy that aims for maximal profit. If the Japanese government along with Japanese corporations hew to the obligations of the Kyoto Protocol and work together to reduce emissions both domestically and abroad, for the first time, we will see an unified Asia wide effort against global warming. Finally, it will be necessary for Japanese corporations to initiate some important changes in their behavior, changes that will ultimately result in the reformation of the corporate structure itself. It is clear that a problem now exists that will eventually necessitate a change in the framework of government roles and responsibilities as well.