TSE, TOCOM to Equally Own Emission Trading JV

Tokyo, Feb. 20 (Jiji Press)--The Tokyo Stock Exchange and the Tokyo Commodity Exchange (TOCOM) will equally own a joint venture to prepare for the launch of Japan's first greenhouse gas emission credit market, it was learned Saturday.

The preparatory firm will be created on April 1 with a capital of
10 million yen. The two exchanges are expected to announce details of the
evenly owned company shortly, informed sources told Jiji Press.
According to the sources, the new company will be set up within the
TSE. The two exchanges will hold further discussions to decide the size of
the planned emission credit exchange, ownership ratios and members of the
exchange's top management.
Last October, the TSE and TOCOM announced their plan to jointly set
up the preparatory firm around spring. The two parties have since been
discussing details of the planned firm.
So far, European countries have established emission exchanges,
where emission credits are traded among participants on which the allowable
emission amounts have already been set by authorities.
TSE President Atsushi Saito has said the envisioned emission credit
market is projected to start operations in 2011 or 2012.