| (9) Research on Policies and Measures
					      to Address Global Warming 
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					| With a view to exploring policies and measures to achieve the Kyoto
					  target for Japan as well as to contributing to future international negotiations,
					  we have conducted a captioned research on the following: 
 
					    (Commissioned by METI / Industrial Science and Technology
				  Policy and Environment Bureau)
					      | 1)  | International negotiations focusing on the COP and
				        COP/MOP; |  
					      | 2)  | The European Union Greenhouse Gas Emission Trading Scheme (EU-ETS); |  
					      | 3)  | The U.S. climate change policies. |  | 
				
					|  | 
				
                  | (10) Research on International
                        Trends over Global Warming 
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					| The Fourth Assessment Report of the Intergovernmental Panel on Climate
					  Change (IPCC AR4) is slated for completion in 2007. The Working Group
					  III is now preparing a second order draft of the AR4 based on the input
					  by the initial expert review and the third Lead Author meeting in China.
					  To support activities of the Japanese authors and experts, the IPCC internal
					  liaison group for the Working Group I, II and III and the liaison group
					  for the Working Group III were established. (Commissioned by New Energy and Industrial Technology Development
				  Organization)
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					|  | 
				
				  | (11) Research for Promoting Kyoto Mechanisms 
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					| To utilize Kyoto mechanisms, business infrastructures including financial
					  accounting system should be established in relation to the treatment of
					  emission credits. As it requires careful consideration for a wide range
					  of issues such as tax practices relating to accounting and numerous project
					  types of emission reductions activities, we have set up a research committee
					  under the chairmanship of Prof. Yukiharu Kurokawa (Keio University) to
					  study potential accounting issues derived from business investment to
					  reduce carbon emissions. To that end, we have examined specific cases
					  based on the report of the Accounting Standard Board of Japan (ASBJ) for
					  Practitioners, a guideline on the interpretation of international financial
					  reporting. (Commissioned by New Energy and Industrial Technology Development Organization)
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				  | (12) Research on International Consensus-Building
				    Process to Prevent Global Warming | 
				
					| A research committee was set up under the chairmanship of Prof. Mitsutsune
					  Yamaguchi to explore a post-Kyoto international regime beyond 2012 that
					  involves developing countries. This year we have delved into the present
					  and future of innovative technology development to contribute to the study
					  of the future regime. (Commissioned by New Energy and Industrial Technology Development
				  Organization)
 
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