PCAF Japan Releases 2026 Annual Report Showcasing Accelerated Progress
Tokyo, Japan — PCAF Japan has published its Japan Report 2026, marking a year of accelerated progress as participating financial institutions move beyond measurement toward more consistent, transparent, and decision‑useful disclosure of emissions associated with financial activities.
The report documents how the PCAF Japan coalition is strengthening emissions accounting practices through deeper Scope 3 coverage, expanded methodological application, and increased transparency around data and assumptions—reflecting a maturing approach to portfolio-level metrics across Japan’s financial sector.
Highlights from the Japan Report 2026 include:
Broader and more robust portfolio disclosure: Signatories continue to expand the scope, quality, and consistency of portfolio emissions disclosure, including wider inclusion of Scope 3 categories across asset classes.
Stronger application of PCAF methodologies: Signatories are applying approaches aligned with their portfolio structures, with notable progress in emerging areas such as facilitated emissions, insurance-associated emissions, and sovereign bond accounting.
Greater transparency through Data Quality Scores: Increased use of Data Quality Scores is enabling clearer communication of data coverage, limitations, and methodological choices, supporting more comparable reporting.
Advances in avoided emissions discussions: A dedicated subcommittee convened practitioners to explore emerging approaches to measuring avoided emissions and the potential role of results in portfolio management.
High levels of signatory engagement: PCAF Japan’s second in‑person general meeting brought together approximately 50 practitioners from 18 signatory institutions, reinforcing peer exchange and shared learning.
Practical disclosure examples from participating institutions: A dedicated annex provides real-world examples of reported disclosures, offering hands-on insights to support implementation across the coalition.
Together, these developments underscore a shift toward disclosures that are not only more comprehensive, but also more decision-useful for internal management processes, risk assessment, and external transparency.
Looking ahead, the coalition’s 2026 Work Plan builds on this foundation through continued work on capacity building, deep dive in avoided emissions, strengthened collaboration with stakeholders, and ongoing close coordination with PCAF Global via enhanced Japan outreach activities.
“PCAF Japan is moving beyond measurement toward more consistent and decision-useful disclosure. This year’s report reflects progress among our signatories in expanding Scope 3 coverage, improving data quality for greater transparency, and broadening methodological application. Looking ahead to FY2026, we will continue to deepen our collaborative efforts and support practical implementation across all signatories, while driving an enhanced Japan outreach initiative to actively share Japanese signatory perspectives with the global community.” — Keiko Tanabe, Chair of PCAF Japan Coalition and Operating Officer and General Manager of Sustainability Planning Department, Mizuho Financial Group, Inc.
