Govt brings 4 more sectors under GHG emissions cut regime

NEW DELHI: Three months after bringing four traditionally high-emission sectors such as aluminium, cement, chlor-alkali and pulp & paper into targeted greenhouse gas (GHG) emissions intensity reduction regime, Centre has included four more sectors -- petroleum refinery, petrochemicals, textiles and secondary aluminium - in its ambit to help meet specific reduction targets by 2026-27 compared to a 2023-24 baseline.The rules, notified by the environment ministry for the purpose last week, make it mandatory for as many as 208 industrial units spread across the country to reduce GHG emissions per unit of product (emission intensity), beginning 2025-26.These industrial units will be liable to pay a penalty for non-compliance. The rules -- called the Greenhouse Gases Emission Intensity Target (Amendment) Rules -- have been notified under the compliance mechanism of the Carbon Credit Trading Scheme, 2023.Among the 208 industrial units are 173 textile units across sub-sectors such as spinning, processing, fibre and composite; 21 petroleum refineries; 11 petrochemical units; and three secondary aluminium units.Public-sector enterprises ONGC, Bharat Petroleum, Hindustan Petroleum, Indian Oil and Numaligarh Refineries and large private-sector groups such as Reliance Industries have been covered under petroleum refinery and petrochemicals sectors.

The Greenhouse Gases Emission Intensity (GEI) targets (in tonnes of carbon dioxide equivalent) for the year 2025-26 have been calculated on a pro-rata basis for the remaining months of the current financial year. The overall reduction till 2026-27 will be in the range of 3-7% compared to 2023-24 levels.In case an industrial unit fails to comply with the GEI target or fails to submit carbon credit certificates equivalent to the shortfall for compliance, Central Pollution Control Board (CPCB) will impose ‘environmental compensation’ (penalty) for the shortfall.The penalty will be twice the average price at which carbon credit certificate is traded during the trading cycle of that compliance year. It’ll have to be paid within 90 days of the date of the imposition order.The GEI targets are in sync with India’s ‘net zero’ emission goal of 2070 and will help meet its Nationally Determined Contribution (NDC) — climate action target — through the reduction, removal or avoidance of GHG emissions.