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Analysis Finds India’s Carbon Market Targets Too Weak for Industry
India’s carbon market targets for nine industries are too modest to drive major emissions cuts, according to an analysis by Climate Risk Horizons reported by Mongabay India. The targets, notified between October…
The Story in Brief
India’s carbon market targets for nine industries are too modest to drive major emissions cuts, according to an analysis by Climate Risk Horizons reported by Mongabay India. The targets, notified between October 2025 and January 2026, let companies earn credits by exceeding reductions in emissions intensity.
The analysis says 255 steel and iron companies need to cut emissions intensity by 6% by 2026-27, while cement firms face average cuts of 1.89% in 2025-26 and 3.22% the following year. Aluminium targets are higher, at 2.3% and 5.8%. Low credit prices and weak penalties could make buying credits cheaper than adopting cleaner technology. Researchers want tougher targets, stronger pricing safeguards, wider coverage and an independent regulator.
The Indian Opinion
The loudest claims will come from both sides: that any carbon market is either a green breakthrough or a licence to pollute. Neither follows from these figures. A 6% steel reduction, or less than 2% for cement initially, can be met through efficiency without changing coal-heavy production. Yet higher targets must account for costs and technology, not punish firms symbolically. The real test is whether future rules shift investment towards cleaner plants, rather than simply increase credit trading.
Source: india.mongabay.com
This story was synthesised by AI from the source linked above.
