Trading on Japan’s first carbon-credit exchange started Wednesday, as the nation looks to put a price on emissions to help zero them out by 2050.

The market is being run by the Tokyo Stock Exchange, and participants can trade so-called J-Credits, a locally issued unit certified by the government that is awarded to projects that reduce emissions and can be used by companies or institutions wishing to offset their own pollution. There will be credits from six categories, such as renewable energy and agriculture.

Carbon credits have faced criticism because of the problem of proving that projects make additional reductions that wouldn’t have occurred without them. They have also stirred a debate about how much companies should be trying to shrink their carbon footprints before they offset what they deem to be unavoidable emissions.

Japan’s move comes as governments across Asia attempt to price pollution, though the region’s carbon markets have so far fallen short of delivering any meaningful impact, unlike more developed ones such as the European Union’s. Japan aims to cut greenhouse gas emissions by 46% from 2013 levels by 2030 and plans “full-scale” emissions trading by 2026, although details haven’t yet been released.

“One of the biggest merits of having a market is having price transparency,” said Miyuki Kan, director of derivatives department at Daiwa Securities, which participated in the trading at the market’s open. “Market functions will likely improve as more buying and selling take place in the future.”

Other Asian nations are also launching markets or enhancing existing platforms. Most recently, Indonesia began a carbon emissions trading market last month.

Read More: Indonesia Launches Carbon Credit Trading Under Net Zero Push

Wednesday’s market open follows a demonstration last year and there were 188 registered participants by last month. The TSE will accept orders in the morning and afternoon, with prices placed at 11:30 a.m. and 3 p.m. local time. J-Credits have typically been traded bilaterally.

“Through carbon credit trading, carbon emissions reduction can be priced, thereby improving the predictability of decarbonization investment and encouraging companies to implement them,” Trade Minister Yasutoshi Nishimura said Wednesday at the market opening ceremony.

Author: Shoko Oda, Takashi Umekawa and Heesu Lee