New Delhi: Prime Minister Narendra Modi, while addressing the COP28 summit in Dubai on Friday, launched the Green Credit Initiative focused on creating carbon sinks through people’s participation.
Addressing the high-level segment for heads of states and governments during the UN climate conference in Dubai, PM Modi highlighted that India contributes less than 4 per cent to global carbon emissions, and is one among only a few countries in the world on track to achieve its Nationally Determined Contributions targets — the national plans to limit global warming to 1.5 degrees Celsius, the guardrail to avoid worsening of climate change impacts, reported PTI.
The prime minister has been championing the Lifestyle for Environment (LiFE movement), urging countries to adopt planet-friendly living practices and move away from deeply consumerist behaviours.
He cited a study by the International Energy Agency, saying this approach can reduce carbon emissions by 2 billion tonnes.
What Is Green Credit Initiative?
Introduced by the Ministry of Environment and Climate Change on October 13, 2023, the Green Credit Program is an initiative that aims to incentivise voluntary environmental actions across diverse sectors by various stakeholders and promote a sustainable lifestyle known as 'LiFE' (Lifestyle for Environment).
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, reported PTI.
Green credits generated through such actions can be traded on a domestic market platform.
In its initial phase, the Green Credit Program will give priority to two essential activities: water conservation and afforestation.
What Is Carbon Credit Trading Scheme?
Under the government’s Green Credit Programme (GCP), environment actions will also receive carbon credits under the Carbon Credit Trading Scheme if it leads to the reduction or removal of carbon emissions.
“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.
What Is Carbon Sink?
A carbon sink is anything that removes carbon dioxide from the atmosphere - for example, plants, the ocean, and soil. These sinks form an important part of the natural carbon cycle.
How Will Green Credits Work?
As per the scheme, individuals or entities seeking green credits must submit an application for registration to the Indian Council of Forestry Research and Education (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.