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Niche Markets for Economic Revitalisation of Satoyama Forest ...

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the public (<strong>Forest</strong>ry Agency edition, 2005).<br />

A significant resource to sustain cooperative ef<strong>for</strong>ts at<br />

industrial development projects is the many NPOs and<br />

citizens already involved in satoyama conservation.<br />

Ishikawa Prefecture has also adopted a policy to<br />

collaborate and coordinate with citizens to promote<br />

the use <strong>of</strong> wood materials and the development <strong>of</strong><br />

infrastructure such as the a<strong>for</strong>ementioned center <strong>for</strong><br />

distribution and processing. <strong>Forest</strong> supporters and<br />

leaders in satoyama conservation are being trained who<br />

will act as leaders in <strong>for</strong>estry development operations and<br />

satoyama conservation activities with participation by<br />

prefecture citizens. Furthermore, the prefecture decided<br />

to introduce an “Ishikawa <strong>Forest</strong> Environment Tax” from<br />

FY 2007. It will establish a fund based on annual tax<br />

proceeds <strong>of</strong> 360 million yen, which will be used <strong>for</strong> the<br />

thinning <strong>of</strong> neglected artificial <strong>for</strong>ests that are important<br />

to the public; the support <strong>of</strong> volunteer activities to protect<br />

<strong>for</strong>ests (Mainichi Shinbun, 16 December 2006 morning<br />

paper); and the support <strong>of</strong> satoyama conservation<br />

activities (Hokkoku Shinbun, 21 November 2006, morning<br />

paper). <br />

<br />

3.7 Policy on Carbon <strong>Markets</strong><br />

Japan and the Kyoto Protocol:<br />

Under the Kyoto Protocol <strong>of</strong> the United Nations Framework<br />

Convention on Climate Change (UNFCCC) Japan is<br />

required <br />

<br />

to reduce greenhouse gas emissions such as<br />

<br />

carbon dioxide by 6 per cent in 2008–2012 compared with<br />

1990 levels. 45 Total greenhouse <br />

gas emissions in FY 2003<br />

<br />

was 1,339 million tons (in CO 2<br />

equivalent), an increase<br />

<strong>of</strong> 8.3 per cent compared to emissions in the base year<br />

(1990) under the Protocol (Government <strong>of</strong> Japan, 2006).<br />

While, CO 2<br />

emissions per unit <strong>of</strong> GDP decreased by 5.2<br />

per cent since 1990 (IGES, 2006), Japan has a significant<br />

challenge in reducing its emissions to levels stipulated<br />

by the Protocol, which the country ratified in 2002. The<br />

energy sector accounted <strong>for</strong> the most emissions (89.5<br />

per cent), followed by industrial processes (5.6 per cent),<br />

agriculture (2.5 per cent), and waste (2.4 per cent). Japan’s<br />

<br />

marginal cost to achieve the Kyoto target is the highest<br />

among Kyoto signatories, with a median abatement costs<br />

at US$ 300 per ton in carbon (tC) (IGES, 2006), pointing to<br />

the important role <strong>for</strong> <strong>of</strong>fset projects and carbon trading<br />

<strong>for</strong> the country.<br />

In 1997 Japan established the Global Warming Prevention<br />

Headquarters and drafted abatement guidelines under<br />

the “Measures to Prevent Global Warming” in 1998,<br />

which were revised in 2002. Based on a 2004 review <strong>of</strong><br />

those measures and with the entry into <strong>for</strong>ce <strong>of</strong> the Kyoto<br />

Protocol in February 2005, the government initiated the<br />

“Kyoto Target Achievement Plan”, which will be reviewed<br />

in 2007. Under the 2005 plan the government will meet<br />

its 14 per cent Kyoto gap through reductions <strong>of</strong> GHG<br />

emissions (6.5 per cent), through removals in <strong>for</strong>est sinks<br />

(3.9 per cent) and through Kyoto’s flexible mechanisms<br />

(1.6 per cent).<br />

<strong>Forest</strong> Sinks under Japanese Kyoto Target Plan:<br />

Article 3, paragraph 3 <strong>of</strong> the Kyoto Protocol requires<br />

developed <br />

countries like Japan to account <strong>for</strong> the balance<br />

between af<strong>for</strong>estation, re<strong>for</strong>estation and de<strong>for</strong>estation<br />

since 1990. In other words Japan must take account <strong>of</strong><br />

<strong>for</strong>estry activities that increase or decrease <strong>for</strong>est carbon<br />

stocks (or cause other GHG emissions) since the base year<br />

<strong>of</strong> the Protocol. Current data on Japan’s sink removal rate<br />

is not available. The latest data—<strong>for</strong> 1995—shows that<br />

removals in that year in the land–use change and <strong>for</strong>estry<br />

<br />

sector were 96.6 million tons, an increase by 15.2 per cent<br />

from 1990, and a 3.4 per cent enhancement in comparison<br />

<br />

with the previous year (Government <strong>of</strong> Japan, 2006).<br />

<br />

There have been a steady increase in removals by <strong>for</strong>estry<br />

and parks, a decline in emissions from harvested wood,<br />

and and an increase in emissions from <strong>for</strong>estry and<br />

grassland conversion. On balance there has been a steady<br />

increase in sink removals a since 1990. Removals by <strong>for</strong>ests<br />

were the biggest removal category (see Table 3).<br />

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