Hartree Partners and Tokyo Gas announce strategic partnership to co-develop nature-based projects aimed at JCM inclusion
Tokyo, 22 March, 2024: Global energy and commodities firm Hartree Partners Singapore Pte, Ltd (“Hartree”) and leading Japanese Utilities firm, Tokyo Gas Co., Ltd (“Tokyo Gas”) today announces a strategic partnership to co-develop nature-based projects, focused mainly within Asia.
In accordance with the binding agreement, Hartree’s carbon market arm, Vertree Partners (“Vertree”), will support Tokyo Gas jointly partnering in project investment as it looks to generate a stable supply of high-quality carbon credits, as part of its wider climate strategy, and in alignment with Japan’s Joint Crediting Mechanism (JCM).
A wholly owned subsidiary of Hartree, Vertree is focused on decarbonisation and environmental markets. Through its carbon market and project execution expertise, due diligence and experienced on-the-ground partners, Vertree will work with Tokyo Gas through all stages of project development to ensure the delivery of high-integrity carbon projects with valuable social and environmental co-benefits.
This strategic carbon market investment will build on the existing “Compass 2030” vision adopted by Tokyo Gas management which targets net zero emissions from all of its business activities, including those of its customers. In 2019 Tokyo Gas became the first company in Japan to procure “carbon neutral LNG” (CNL) in its efforts to reduce its climate impacts and support environmental conservation projects.
As part of the agreement, the organization will prioritise future investments in developing countries in Asia. Projects will be focused on gaining eligibility from Japan’s Joint Crediting Mechanism (JCM), which aims to contribute to global greenhouse gas (GHG) emissions reduction through investment in decarbonizing technologies and infrastructure in developing countries.
Nature-based projects such as this are essential to directing finance towards the protection and/or restoration of natural carbon sinks. If properly designed and delivered, investment in such solutions can play an important enabling role in addressing hard-to-abate emissions while delivering important social and environmental co-benefits.
Vertree is delighted to be supporting Tokyo Gas to finance project development in Asia. We see this investment as a positive signal to the market that climate finance has an important role to play in the urgent global transition. We are committed only to the implementation of projects which meet the highest standards of integrity and look forward to realising the positive environmental and social impacts of this partnership.
About Tokyo Gas Group
Tokyo Gas Co., Ltd. is the largest city gas supplier in Japan and a Japanese integrated energy company with diverse businesses spanning electricity generation, energy retailing, engineering solutions, upstream LNG, and real estate development. As part of our group’s management vision “Compass 2030,” we have been taking action to realize a decarbonized society by tackling the challenge of achieving “Net-Zero CO2.” As an infrastructure provider for the Tokyo metropolitan area, we support our customers’ decarbonization efforts by promoting the sophisticated use of LNG as well as carbon credit. Tokyo Gas will lead the transition to a decarbonized society by achieving both stable energy supply and decarbonization.
About Hartree Partners LP
Hartree Partners, LP is a leading global energy and commodities firm with an international reputation for integrity developed over decades. Our expertise enables us to capitalize on the transition from fossil fuels to a low carbon economy. Hartree’s global breadth and reach provide a competitive presence in all major commodity markets, enriched by the firm’s employees who add deep insight, expertise and innovative thinking. More information concerning Hartree can be found at www.hartreepartners.com
About Vertree Partners
Vertree Partners enables leading companies and institutions to invest in both nature and innovative climate technologies to reach their decarbonisation goals. Founded in 2020, Vertree is focused on driving positive environmental and social impact, and providing its customers access to existing and future supply of high-integrity environmental commodities. It does this through directly financing quality emissions reductions and removals projects; partnering with renowned project developers; investing in innovative organisations and technology-based solutions; and providing its expertise in voluntary and compliance markets, trading, market analytics and risk management. Vertree is wholly owned by Hartree Partners.
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