28 May 2002 – Tohoku Electric Power Co. said Monday it has signed a contract with Centennial Coal Co. of Australia to purchase greenhouse-gas emission rights in a package with coal.

The latest deal is the second of its kind for Tohoku Electric, following a similar agreement signed in April with Powercoal Pty Ltd., another Australian coal company.

Centennial Coal sells greenhouse gas emission rights it purchases from an Australian public entity involved in a project to cut greenhouse gas emissions by 25 000 t a year through planting trees on a 1000 m² land plot.

Trading emissions rights is part of three mechanisms introduced under the 1997 Kyoto Protocol, adopted at a global warming conference in Kyoto, aimed at capping greenhouse gas emission by developed countries.