India Sets Ambitious Emission Goals: Legal Targets for Industrial Giants

The Indian government has officially announced the Greenhouse Gases Emission Intensity Target Rules, 2025, setting the country's first legally enforceable emission reduction requirements for high-carbon industries. The move aims to cut emissions levels across key sectors, including aluminium, cement, pulp and paper, and chlor-alkali.

Each of the 282 industrial units targeted must lower greenhouse gas emissions per unit of output from a 2023-24 baseline starting in the 2025-26 period. This initiative builds upon the Energy Conservation (Amendment) Act, 2022, and aims to expand India's domestic carbon market and energy efficiency framework.

Successful compliance earns facilities carbon credits, while non-compliance results in penalties equal to twice the average trading price of carbon credits. Industry players like Vedanta and UltraTech are among the first in line to meet these mandates.

(With inputs from agencies.)