Carbon credits imperative for climate positive plans: EKI Energy Services

EKI Energy Services on Monday welcomed the government's stance on carbon credits and said that carbon credits and its trade is an imperative for climate positive plans.

Union Minister for New and Renewable Energy R K Singh on October 6, said that the government is taking measures to make India a market for carbon credit which will be utilised to meet the country's NDC goals.

India has submitted its updated Nationally Determined Contribution (NDC) under the Paris Agreement to the UN Framework Convention on Climate Change, emphasising that it is a step forward towards its long-term goal of reaching net zero by 2070.

"We are happy to hear that this matter finally has greater clarity by the Minister himself. Carbon credits and its trade is an imperative and integral part of any climate positive plans given its capabilities to control GHG (greenhouse gas) emissions," said Manish Dabkara, CMD & CEO of EKI Energy Services Ltd.

This clarification will enable the entire industry ecosystem to continue its efforts towards strengthening the country's domestic market with a steady supply of credits that will further accelerate India's journey to a carbon neutral future and pave the way for the market to unlock new potentials and unleash a new era of environmental activism in India, the Indore-based company said.

Carbon credits are earned by reduction of greenhouse gas emission in the atmosphere through climate-friendly projects, and can be used by governments, industries or private individuals to compensate for generating emissions elsewhere.

According to the updated NDC, India now stands committed to reducing the emissions intensity of its GDP by 45 per cent by 2030, from the 2005 level, and achieving about 50 per cent cumulative electric power installed capacity from non-fossil fuel-based energy resources by 2030.