Archive · 30 Jun 2025
India Proposes Carbon Targets for Hundreds of Industries
India is making a new rule to help factories pollute less.
Over 460 factories, like those making steel and oil, will have goals to reduce how much pollution they make.
If they pollute too much, they'll have to buy credits, like paying a fine.
If they pollute less than their goal, they get credits they can sell.
If they don't meet their goal and don't buy credits, they pay a fine.
These rules are part of a bigger plan to make factories cleaner and reduce pollution, and the public can give their opinions on the plan.
India's Environment Ministry proposes legally binding carbon emission targets for over 460 industrial units.
The targets are part of the Carbon Credit Trading Scheme (CCTS) 2023, and aim to curb industrial emissions.
Industries must reduce GHG emissions per unit of output or buy carbon credits to comply.
Failure to meet targets will result in financial penalties under the Environment (Protection) Act, 1986.
The public and industry stakeholders have 60 days to submit comments on the draft.
- Who
- The Ministry of Environment is proposing the rules for industrial units.
- What
- Draft rules propose legally binding carbon targets for over 460 industrial units.
- When
- The targets are for 2025-26 and 2026-27, with the draft published June 30, 2025.
- Where
- India
- Why
- To curb industrial emissions and accelerate decarbonization.
Industry Compliance
Market Incentives
Compliance Mechanisms
Industry Compliance
Industrial units must meet their targets, or buy credits or face penalties
Market Incentives
Industrial units will receive credits if they exceed their targets and can bank unused credits.
- Target Industries
- Aluminium, Iron & Steel, Petroleum Refining, Petrochemicals, Textiles
- Scheme Name
- Greenhouse Gas Emission Intensity Target Rules, 2025
- Compliance Years
- 2025-26 and 2026-27
- Penalty for Non-Compliance
- Financial penalties and legal consequences under the Environment (Protection) Act, 1986
- Public Comment Period
- 60 days from publication
- Baseline Data
- 2023-24
- Penalty Amount
- Twice the average price of a carbon credit