In Tokyo, one of the world’s leading cities, steps have been taken down a path towards sustainability. Local awareness of the city’s carbon emissions led to regional action, as the city committed to specific emissions targets under a cap-and-trade system. This regional system saw rapid success and has been able to provide global environmental benefits. However, this success was only possible because of the city’s intentional stakeholder engagement, the system’s straightforward guidelines, and consumer and industry buy-in. While decreasing negative externalities, the city was able to increase awareness and prescience of environmental issues as well as regional consensus and cooperation. As a result, Tokyo’s emissions trading system serves as a model for sustainability as we look towards the future.

References: Nishida and Hua, IETA Report, Centre for Public Impact, ICAP Report