In Short : Under the Green Credit Program (GCP), carbon emission-reducing practices will earn carbon credits, announced the government. This initiative aims to incentivize businesses and industries to adopt eco-friendly practices, reducing their carbon footprint. By earning carbon credits, organizations can contribute to mitigating climate change while also benefitting financially, thus encouraging the adoption of sustainable technologies and processes. The move signifies India’s commitment to environmental conservation and sustainable development, aligning with global efforts to combat climate change.
In Detail : Any activity generating green credits under the government’s Green Credit Programme (GCP) will also receive carbon credits under the Carbon Credit Trading Scheme if it leads to the reduction or removal of carbon emissions, according to a notification.
The government on Thursday notified rules for the GCP, which aims to incentivise environmentally conscious practices and promote a sustainable lifestyle through a market-based mechanism. Green credits generated through such actions can be traded on a domestic market platform.
According to rules, environment-friendly actions include tree plantation, water management, sustainable agriculture, waste management, air pollution reduction, mangrove conservation and restoration, ecomark label development, and sustainable building and infrastructure.
The rules also specify that green credits generated or procured by industries, companies and other entities to fulfil any legal obligation cannot be traded.
“The Green Credit programme is independent of the carbon credit programme under the Carbon Credit Trading Scheme, 2023, established under the Energy Conservation Act, 2001.
“An environmental activity generating green credit may have climate co-benefits, such as reducing or removing carbon emissions, and an activity generating green credit under the Green Credit programme may also earn carbon credits from the same activity under the said scheme,” the notification read.
The government had notified India’s Carbon Credit Trading Scheme in June under the Energy Conservation Act to develop the country’s first-ever domestic carbon market.
The Indian Council of Forestry Research and Education (ICFRE) is responsible for effectively implementing the Green Credit programme, including its management and operation.
According to the rules, individuals or entities seeking green credits must submit an application for registration to ICFRE through a government-established website.
Upon receiving the application, the administrator will request a designated agency to verify the activity. After verification, the agency will submit a report to ICFRE, following which the applicant will be granted a green credit certificate.
