India’s Ministry of Power has notified the release of Carbon Credit Trading Scheme on June 28, 2023. The scheme defines each respective roles of institutions for the implementation of Indian carbon credit trading scheme. Obligated entities who meet their greenhouse gases emission targets will be rewarded with carbon credits certificates (CCC). Those who fail to do so can meet shortfall by purchasing carbon credits certificates. This scheme has come into force since its publication on the gazette.
Below are the respective duties of each institutions.
Governance: National Steering Committee for Indian Carbon Market
Established upon the formation of Indian carbon market. The committee will comprise representatives from the Ministry of Environment, Forest and Climate Change, Ministry of Power, Ministry of Finance, Ministry of New and Renewable Energy, Bureau of Energy Efficiency, and many other ministries and agencies.
- Monitor the functions of Indian carbon market
- Recommend to Bureau of Energy Efficiency, for the formulation of rules and procedures of carbon market, greenhouse gases emission targets, guidelines regarding trading of carbon credit certificates outside India, etc.
- Determine the criteria for issuance of CCC and its validity, floor and forbearance price, requirement and format for submissions and other related compliance mechanisms
Administrate: Bureau of Energy Efficiency (BEE)
- Identify sectors and potential for reduction of greenhouse gases emissions
- Develop compliance trajectory and targets for entities
- Issue CCC
- Conduct studies of setting CCC obtaining standards for each sectors
Registry: The Grid Controller of India
Maintain database of registration of entities dealing with CCC
Maintain records of CCC transactions
Regulator: Central Electricity Regulatory Commission
- Regulate matters relating to trading of CCC
- Regulate frequency of CCC trading
- Provide market oversight and take necessary preventive actions to prevent fraud or mistrust
Download this scheme at: