In this exercise, you will explore one of the success stories of innovative governance instruments: the Tokyo cap-and-trade scheme. This initiative of the city of Tokyo is perceived as a success by the cities C40 network C40. However, why is this program a success in Tokyo? And do you expect this program to have similar effects in other cities?

Instruction (time estimation 45 minutes)

Step 1: explore the Tokyo cap-and-trade mechanism
First read the description of this project. You can find a short summery written by C40 here and the summery written by ICLEI here. Than watch the following video, in which Jeroen van der Heijden shows how you can make a critical assessment of  this success story.
(click on the image to start the video)

Step 2: Assess the Tokyo cap-and-trade mechanism
After watching the movie clip, how do you now see the example of Tokyo cap-and-trade system? In your view, is it a success story of city governance?

• Feedback (click here)
  After watching the video you are probably more critical on the Tokyo cap-and-trade system success. The nationwide temporary power reduction was an important external factor that explains it emission reduction success. So more factors than only city governance instruments play a role.

Step 3: reflect on the lessons you take from this example
Write down which lessons you drawn from this example for the assessment of climate governance.

• Feedback (click here)
  One of the lessons that you can draw from this example is the difficulty of assigning the cause of change to only one factor. In your analysis you should keep an open mind to multiple explanations.