As per updated NDC (Nationally Determined Contribution), India has an enhanced target to reduce emission intensity of its GDP by 45 percent by 2030 from 2005 level, and achieve about 50 percent cumulative electric power installed capacity from non-fossil fuel-based energy resources by 2030, says Minister of State for Environment, Forest and Climate Change, Ashwini Kumar Choubey in a written reply in the Lok Sabha.

To address and combat climate change, as well as to provide a roadmap to achieve net zero by 2070, India submitted its updated NDC on 26th August 2022 with enhanced commitments.

India has also submitted its Long-Term Low Carbon Development Strategy on 14th November 2022 under the Paris Agreement to the United Nations Framework Convention on Climate Change (UNFCCC).

In its first meeting held on 24th March 2021, AIPA had deliberated on a carbon trading scheme for the energy sector, by enhancing the scope of existing energy savings trading mechanisms. In this regard, the Government has notified the Energy Conservation (Amendment) Act, 2022 on 19thDecember 2022. It includes provisions for putting in place a domestic carbon market.

Further, the Government has also notified the National Designated Authority for the Implementation of Article 6 of the Paris Agreement (NDAIAPA) on 30th May, 2022 to develop processes and frameworks under Article 6 of the Paris Agreement for international carbon trading in India. The NDAIAPA has identified certain activities for trading of carbon credits under cooperative approaches under the Paris Agreement however, no administrative infrastructure for monitoring of carbon emissions has been created in partnership with the World Bank.