UN climate body registers ONGC project

UN Framework Convention on Climate Change has registered Oil and Natural Gas Corporation Ltd's flare gas recovery project at its Uran plant as a clean development mechanism project under the Kyoto Protocol, data from the regulator said.

The project will reduce about 97,740 tn carbon dioxide-equivalent greenhouse gas annually for 10 years, ending December 13, 2017.

Once approved, these projects will help companies earn additional revenue by selling carbon credits generated by the units. At 11:57AM, the company's shares were at Rs 1,230 on the National Stock Exchange, down 1.52 per cent from Monday.

With this, the total number of Indian projects registered with the UN is 299, the highest in the world. Of the total 873 projects that have been registered from 49 developing countries, 33.94 per cent are from India.

Developed countries are bound by Kyoto Protocol to cut greenhouse gas emissions between 2008 and 2012 by a collective average of at least 5 per cent below their 1990 levels.

One way to cut emissions is by buying certified emission reductions, or carbon credits, which are generated by clean development mechanism projects that reduce greenhouse gas emissions.

A project becomes eligible to sell one credit if it reduces 1 tn of its greenhouse gas emission.

By 2012, India's average annual greenhouse gas reductions are pegged at 28.16 million credits, or about 15.07 per cent of global total annual reduction average of 186.91 million.