India is moving towards finalising carbon deals with Japan, Singapore, and South Korea. As the country is moving towards higher amounts of carbon dioxide, the country has become the third highest carbon dioxide emitter in the world. Having the aim to become Carbon Neutral by 2047, the country is looking to finalise the bilateral agreement with Japan by early 2025. Moving further to complete its pact with South Korea and Singapore by March 2026. Let us have a look at the deals below.
The country will primarily utilize these investments to fund projects aimed at mitigating pollution, which will help in generating carbon credits. These countries are India’s primary targets, with plans to explore future deals with Germany and Sweden. These credits are used by countries to meet their climate targets. Discussions are ongoing regarding a bilateral carbon credit agreement between Japan and India; however, no specific timeline for the agreement has been established yet.
If we talk about Singapore, the country is in discussions with India for a bilateral Implementation agreement. While South Korea has already confirmed the discussions. However, what does this joint carbon-crediting mechanism refer to that India has proposed in its talks with other nations?
Under this mechanism, the nations that are in joint carbon-crediting mechanism agreement will be partnering to support each other. The partner nations will be providing help with the finance and technology to set up the projects. In return, India will be splitting the credits generated from the project. However, the splits will vary according to developments.
Among various types of activities, there will be 13 activities where the government will be focusing these bilateral carbon trading. It will include green hydrogen, sustainable aviation fuel and high-voltage direct current electricity transmission as the top 3 priorities. This split system and agreement will help India to use the latest technologies from the developed and advanced countries. It will also benefit the partnering nations with the splitting of the credits.
The countries like South Korea, Singapore, and Japan will be the initial partners of India in this mission to reduce carbon dioxide levels in the country. It is a positive step towards sustainability. Being the most populated country, it is the right time to initiate this step and involve in projects that mitigate pollution. Stay tuned for more information on our website.