Carbon Credits open window of opportunities - Neha Pahuja

http://machinist.in/index.php?option=com_content&task=view&id=1653&Itemid=2 Written by Viswanath

Saturday, 20 September 2008

Jaipur: CII organised a Workshop on Carbon Credits yesterday "Showing the historical emission of carbon from the period 1850 " 2000, US leads with 30%, the EU-25 with 27.2%, China with 7.3% and India accounts for only 2%. Thus in the multilateral negotiations on climate change, India strongly advocates equity", said Mr Jaimni Uberoi, Convenor CII Panel on Infrastructure at Workshop on Carbon Credits organised by CII in Jaipur today. “Carbon Credits open window of opportunities”, said Ms Neha Pahuja, Consultant " Carbon Advisory Business at Emergent Ventures, India. Ms Pahuja emphasised on the vital importance of the subject as it entails fiscal incentives for the project proponents and also fulfils the societal responsibility of clean development. Ms Pahuja informed that Carbon credits are the key component of national and international emissions trading schemes. They provide a way to reduce greenhouse effect emissions on an industrial scale by capping total annual emissions and letting the market assign a monetary value to any shortfall through trading. Credits can be exchanged between businesses or bought and sold in international markets at the prevailing market price. Credits can be used to finance carbon reduction schemes between trading partners and around the world. Carbon credits as a concept was discussed and formalized in the Kyoto Protocol. In December 1997, the Third Conference of Parties (COP) to the United Nations Framework Convention on Climate Change (UNFCCC) adopted the Kyoto Protocol. The protocol requires developed countries and developing to limit their Greenhouse Gas (GHG) emissions to individual targets. The areas covered under the workshop were Introduction to Climate Change and its effects; Global Measures and Mechanisms to Combat Climate Change; Concept of Clean Development Mechanism; Life Cycle of a CDM project; Eligibility Criteria for a CDM project and components of a CDM project; Industry-wise opportunities in CDM; Carbon Trading and Market and Voluntary Carbon Market. The workshop generated awareness about the Clean Development Mechanism (Carbon Credits) and enabled the participants to identify the in house projects with the potential to generate Carbon Credits. Earlier speaking at the Workshop, Mr Dinakar Murthy Krishna, Vice President & Plant Head, Bosch Ltd, Jaipur emphasised on the need to align growth of businesses with environment and pointed towards the importance of concept of carbon credits in this regard. Mr Jaimni Uberoi, Convenor, CII Panel on Infrastructure welcomed the participants and reaffirmed CII's commitment on sustainable clean development. Mr Uberoi informed that last year global carbon credit trading was estimated at $5 billion, with India's contribution at around $1 billion. India is one of the countries that have 'credits' for emitting less carbon. India and China have surplus credit to offer to countries that have a deficit. India has generated some 30 million carbon credits and has roughly another 140 million to push into the world market. Waste disposal units, plantation companies, chemical plants and municipal corporations can sell the carbon credits and make money. Around 50 participants from various organisations viz Vaishali Metals Pvt Ltd; Hindustan Zinc Ltd; Mahindra World City (Jaipur) Pvt Ltd; Jaipur Rugs Company Pvt Ltd; Mayur Uniquoters Ltd; Rajendra Exim Pvt Ltd; Birla Cement Works; Bosch Ltd; Sangam India Ltd; PDCOR Limited; National Engineering Industries Ltd; Jagjanani Textile Ltd; Bajrang Wire Products (I) Pvt Ltd; Associated Soapstone Dist. Co Pvt Ltd; Shree Cement Ltd; Unipatch Rubber Limited; Autolite (India) Ltd; Enercon India Ltd; Samtel Glass Ltd; Uma Polymers Ltd; Alcobex Metals Ltd; etc were benefitted from the programme.