The Indian government has released a list of projects that are qualified to earn carbon offsets and sell them in foreign carbon markets. A total of 13 activities have been identified as potential carbon offset producers throughout the country, according to a press statement published by the Ministry of Environment, Forests, and Climate Change.
The activities were announced by the National Designated Authority for Paris Agreement Implementation (NDAIAPA).
Offshore wind power, green hydrogen, renewable energy storage, energy efficiency, sustainable aviation fuel, solar thermal energy, biogas, green ammonia, and carbon capture, utilization, and storage are some of the technologies that may be used to generate offsets that can be traded across jurisdictions.
The NDAIAPA has approved these activities for a period of three years.
India has enacted a bill to develop a national carbon market. Later this year, a voluntary carbon market might be created. It will be gradually expanded and made required to encompass all major energy- and emission-intensive businesses.
The plan Perform Achieve Trade (PAT) would be converted into a carbon market. The PAT plan was started in July 2012 and works on a cap-and-trade framework but for energy efficiency. According to the Indian government, PAT exceeded its objectives and lowered energy usage by 5.3% compared to the target of 4.1% during its first operating period, which lasted from 2012 to 2015.
Some significant Indian corporations have stated carbon-reduction objectives and may have some experience engaging in a carbon market. Companies already part of the PAT scheme would certainly be familiar with the general framework.
Reference- IEA website, PIB Release, Economic Times, Mercom India