Japan CO2 emissions credits trade at avge $10.6/T

TOKYO, Sept 12 (Reuters) - Carbon dioxide (CO2) emission credits traded in Japan at an average of 1,212 yen ($10.61) per tonne in the 17 months ended Aug. 31, the Environment Ministry said.

A total of 31 Japanese companies, including Hitachi Ltd (6501.T), participate in the voluntary CO2 reduction targets and they buy and sell the credits to attain their goals.

Those companies receive government subsidy when they make energy-saving investments but would have to return the grant if they fail to keep their targets.

This was the first time Japan has announced detailed prices of these trades.

A total of 24 trades worth 82,624 tonnes of credits were conducted during the period. Of these, 13 trades worth 17,987 tonnes of credits were conducted via the ministry's Internet-based trading service.

Of the trades conducted via the ministry's Web site, the highest price was done at 2,500 yen per tonne and the lowest at 900 yen per tonne, the ministry said.

Helped in part by the trades, the 31 Japanese firms have together reduced CO2 emissions by 29 percent in the year ended in March from the fiscal 2002-2004 levels, exceeding their original targets of a 21 percent cut, the ministry said. ($1=114.17 Yen)