• Tokyo Metropolitan Government backs BeZero Carbon’s Japan launch through its Green Finance Subsidy Programme
• Expansion brings independent, project-level carbon ratings into Japan’s compliance-driven carbon market
• Move supports growing corporate and policy demand for high-integrity carbon credits in Asia

The Tokyo Metropolitan Government has selected BeZero Carbon as part of its push to position the city as a global hub for green finance, accelerating the development of credible carbon markets in one of the world’s most policy-driven climate economies.

The London-based carbon ratings agency will establish BeZero Carbon K.K. in Tokyo, supported by the government’s Green Finance Subsidy Programme. The initiative is designed to attract leading international sustainability firms and strengthen market infrastructure as Japan integrates carbon pricing and credit mechanisms into its broader decarbonisation strategy.

BeZero was one of seven firms selected from 68 applicants across 22 countries. The competitive process reflects intensifying global interest in Japan’s emerging carbon market, which is increasingly shaped by national climate targets and regulatory frameworks.

Independent Ratings Enter A Compliance-Driven Market

Japan’s carbon ecosystem is shifting toward greater standardisation and accountability, with policymakers and corporates placing growing emphasis on credit quality. BeZero’s entry introduces independent, project-level ratings into a market where credibility has become central to both compliance and voluntary activity.

The BeZero Carbon Rating evaluates whether a carbon credit avoids or removes one tonne of CO2 equivalent. These assessments are already integrated into Tokyo’s carbon credit marketplace, which supports small and medium-sized enterprises in reducing emissions.

The expansion signals a broader shift in Asia toward third-party validation tools that can reduce risk for buyers and improve transparency across carbon markets. For investors and corporates, independent ratings are increasingly viewed as essential for navigating concerns around credit integrity, additionality, and long-term impact.

Strategic Expansion Builds On Asia Momentum

The Tokyo launch builds on BeZero’s wider Asia-Pacific strategy. In 2025, Finn O’Muircheartaigh, General Manager of APAC, relocated to Singapore to lead regional growth. The company has since deepened its engagement with Japanese stakeholders across both public and private sectors.

BeZero counts several Japanese institutions among its investors, including Hitachi Ventures, Japan Airlines, and Translink Innovation Fund. It has also played a convening role in the market, hosting the Tokyo Carbon Credit Conference alongside Mitsubishi, Japan Airlines, and South Pole.

This combination of capital backing and ecosystem engagement positions the firm to operate at the intersection of finance, policy, and corporate decarbonisation efforts in Japan.

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Policy Alignment And Corporate Demand Converge

Japan’s climate strategy increasingly relies on carbon credits as a flexible mechanism to meet emissions targets while supporting innovation and transition pathways. The government’s support for BeZero reflects a recognition that market credibility will determine the effectiveness of these tools.

For corporates, the expansion offers access to more rigorous risk assessment frameworks as scrutiny of carbon claims intensifies globally. Investors, meanwhile, are under pressure to demonstrate that climate-linked assets deliver measurable and verifiable outcomes.

Tommy Ricketts, Co-founder and CEO of BeZero Carbon, said: “We are proud to be establishing a presence in Tokyo to deepen our work in the region’s carbon markets. I first had the idea to start BeZero whilst on a trip to Japan, so this is an exciting next step in our growth. We are fortunate to count Hitachi Ventures and Japan Airlines and Translink Innovation Fund as investors, and continue our work with the Tokyo Metropolitan Government and other leading companies. With carbon credits a strategic priority for Japan, we are looking forward to playing our part in this critical region by providing independent ratings and risk tools.”

What This Means For Global Carbon Markets

BeZero’s expansion into Japan highlights a critical inflection point for carbon markets in Asia. As governments move from voluntary frameworks toward compliance systems, the demand for trusted, standardised data is accelerating.

Tokyo’s strategy suggests that leading financial centres will compete not only on capital flows but on the integrity of their climate infrastructure. Independent ratings, once a niche service, are becoming foundational to how carbon markets function at scale.

For global executives and investors, the message is clear. Market access in Asia will increasingly depend on alignment with local policy priorities and the ability to demonstrate high-quality climate outcomes. Japan’s approach offers a model where governance, finance, and ESG accountability converge to shape the next phase of carbon market development.

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