India Energy Week 2025 Day 3 Charts the Future of Global Carbon Markets

Delhi, India – February 13, 2025 – The third day of India Energy Week 2025, held at the Yashobhoomi Convention Centre in Delhi, illuminated the path for the evolution of global carbon markets. Under the provocative theme Channeling the Evolution and Convergence of Global Carbon Markets, the session brought together an illustrious panel of thought leaders, innovators, and policymakers to delve into the complexities and vast potential of carbon trading.

The discourse, guided with by  Paul Hickin, Editor-in-Chief, Carbon Economist, featured the esteemed Indranil Chatterjee, Senior Vice President at ICX, Anuja Tiwari, Senior Partner at AZB & Partners, and Vishwajit Dahanukar, Founder and Director of Envex Technologies Pvt. Ltd. (ACX India). Together, the distinguished panel shed light on measures India must take to establish itself as a central force in the global carbon economy.

Indranil Chatterjee, Senior Vice President at ICX, opened the dialogue with a forward-looking perspective on India’s burgeoning role in the global carbon marketplace. Drawing on the nation’s historical legacy as a dominant supplier across multiple markets, Chatterjee emphasized the monumental steps India is taking to create a robust carbon trading infrastructure. “India has historically been a supply king for all markets, and with a country of our scale, we are undertaking remarkable strides to establish a dynamic and sustainable carbon market,” he asserted. With keen foresight, Chatterjee conveyed that by the close of 2025, India’s compliance market will be fully operational. “By the end of this year, we should have the compliance market in place, and once this is established, within 6 to 12 months, we will begin seeing carbon certificates being issued,” he revealed, signaling an imminent and transformative shift.

Anuja Tiwari, Senior Partner at AZB & Partners, offered a nuanced reflection on India’s early progress in the carbon market, underscoring the necessity for a paradigm shift in how carbon is perceived and traded. While lauding the promising beginnings, Tiwari made a compelling case for the reclassification of carbon from a derivative to a commodity, an essential condition for the flourishing of the market. “We are off to a stellar start with regard to India’s carbon market, but the critical question remains: if we truly wish to trade in carbon, we must cease treating it as a derivative. Carbon must be recognized as a commodity,” Tiwari emphasized. “The Supreme Court has already ruled that carbon is a good, not a service. Until this fundamental shift occurs, the creation of a true marketplace will remain incomplete,” she cautioned.

Vishwajit Dahanukar, Founder and Director of Envex Technologies Pvt. Ltd. (ACX India), presented a compelling exploration of the challenges regulators face in shaping a viable carbon marketplace. He outlined the complexities surrounding carbon pricing and the imperative of robust financial structures to ensure the growth of the market. “For regulators, the challenge lies in determining how to price carbon effectively. The issue of price discovery in the carbon market is profoundly intricate, and securing adequate financing is indispensable for the marketplace to thrive,” Dahanukar explained, emphasizing the need for strategic financial mechanisms to drive sustainability.

As the third day of India Energy Week 2025 drew to a close, the discussions reinforced India’s determination to position itself as a global leader in the transition to a low-carbon future. The event underscored that while the journey is fraught with challenges, it also presents unparalleled opportunities for innovation and growth, with India's proactive steps paving the way for a transformative global carbon market.