Insights into the 2025 Local Government Carbon Credit Market Analysis Report

Overview of the 2025 Local Government Carbon Credit Market Analysis Report

On May 2025, FIY Corporation released its comprehensive analysis report titled "2025 Local Government Carbon Credit Market Analysis". This report aims to provide businesses engaged in decarbonization strategies with insights into the rapidly evolving local government carbon credit landscape.

Background of the Report

As companies accelerate their transitions towards carbon neutrality, there’s been a notable surge in interest towards the J-Credits created by local governments. However, these credits, primarily traded bilaterally, present challenges such as ambiguous pricing and unpredictable inventory fluidity. This report addresses these challenging factors by visualizing the current market state through six months of proprietary observational data. The insights offer crucial support for businesses' procurement strategies and local governments' sales tactics.

Key Topics in the 2025 Second Half Carbon Credit Market

1. Formation of Reference Prices for Forest Absorption Credits

Recent data indicates that major supplying municipalities in Hokkaido, Niigata, and Nagasaki have converged on a pricing range of ¥10,000 to ¥11,000 per ton of CO2. This new standard essentially sets a benchmark for budgeting among purchasing companies.

2. Polarization of Premium and Bulk Credits

While Iwate Prefecture has introduced a high-value credit priced at ¥16,500 per ton, infused with community contribution narratives and promotional support, more affordable credits from renewable sources, such as Miyagi Prefecture priced at ¥6,466 per ton, illustrate a clear division in the market. This division enables tailored credit usage based on specific needs.

3. Visibility of Inventory Consumption

Contradicting the common belief that municipal credits are hard to sell, the report discovered a notable reduction of around 20% in inventory across several major cases. This trend indicates a growing demand for procurement among businesses as they approach fiscal year-end and respond to CDP inquiry timelines.

Main Contents of the Report

- Executive Summary: Highlights and critical implications of data observed over the six-month period.
- Regional Supply Trends: In-depth analysis of supply characteristics across different local governments.
- Price Trend Analysis: Examination of pricing fluctuations and implications for businesses.
- Stock Changes and Liquidity Observations: Detailed metrics on inventory variations and market liquidity.

For those interested in an in-depth understanding, the full report (PDF) can be downloaded for free through the following link: Download Report.

Moreover, we offer the raw data driving this analysis (monthly observational data in Excel format), encompassing details like municipality names, project descriptions, sales volumes, unit prices, and URLs. This verges on precise competitive comparisons and market research opportunities. Access the original data purchase page here: Purchase Data.

About CaboCre

CaboCre serves as a dedicated media platform providing the latest updates and practical examples concerning carbon credits, guiding businesses and corporate entities navigating their decarbonization journeys. Visit our website for more information: CaboCre.

About FIY Corporation

FIY Corporation, named with the outlook "Future Is Yours", is committed to aiding companies in achieving their aspirations and societal visions, fostering growth throughout this journey. We operate under the principle of prioritizing the happiness of our immediate community, from customers and partners to family. Our primary services include marketing and DX support, development of decarbonization business sectors (media, environmental value creation), and workforce educational initiatives.