Disagreements and uncertainty in the Paris agreement over the continuation of selling carbon credits lands the Indian investments in dilemma.
The fate of the billions of Indian carbon credits hangs in the balance as the negotiations in Madrid at COP25 this month, ended in no agreement. India gave its consent to the Paris agreement on climate change in the month of November. Being the fourth largest contributor to the global carbon emissions, India has ardently taken major steps with sustainable approach towards the ecological global health.
According to the Indian representatives to the UN, the country’s commercial sector has a large stake in carbon credits with increasing investments in the low-carbon technologies and alternative resources. But, the failure in presenting any final draft by the UN counterparts at the Paris agreement meet in Madrid has worried the private sectors of countries like India, Australia, Brazil and Japan.
With the mounting concerns of rapid climate change becoming a clinging reality, what the new deal will bring onto the table is yet to be predicted. If the investments under the Kyoto protocol are not taken into consideration while drafting the new agreement, then India stands at the risk of losing billions of C-credits. While all eyes are on the next updates of the Paris agreement, the recent reports on global climate suggest that the earth will become three degrees warmer if the current emission levels are not controlled expeditiously.
