COP28 Climate Summit: Modi Launches 'Green Credit' Plans PM Modi explained the key features of the 'Green Credit' system as a fully digital and tradable instrument for environmental sustainability
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At the COP28 climate summit in Dubai, PM Modi launched the "Green Credit" initiative and requested all countries to work together to cut global emissions. He also mentioned that India's emissions are very low compared to other nations whose population is much less. "India's population is 17 per cent of the global population, but in global carbon emissions India is only at 4 per cent. We are moving fast in achieving the NDC targets. In fact, we reached our non-fossil fuel targets nine years before the deadline," PM Modi said, referring to the Nationally Determined Contribution (NDC), a climate action plan to cut emissions and adapt to climate impacts.
PM Modi detailed the key features of the 'Green Credit' system, envisioning it as a fully digital and tradable instrument for environmental sustainability. He stressed the importance of launching the 'Green Credit Portal,' working to shape global demand for future policies. The 'Green Credit Initiative' has garnered international support, with leaders expressing enthusiasm and commitment to the cause.
A draft Green Credit Program was announced in June this year. According to a press release by the Press Information Bureau (PIB) in October, GCP is Green Credit Program (GCP ) is an innovative market-based mechanism designed to incentivize voluntary environmental actions across diverse sectors, by various stakeholders like individuals, communities, private sector industries, and companies. This programme will cover eight types of activities. Tree plantation which is meant to promote activities for increasing the green cover across the country. Water management is meant to promote water conservation, water harvesting, and water use efficiency or water savings, including treatment and reuse of wastewater. Sustainable agriculture is meant to promote natural and regenerative agricultural practices and land restoration to improve productivity, soil health, and nutritional value of food produced. Waste management is meant to promote circularity, sustainable and improved practices for waste management, including collection, segregation, and environmentally sound management. Air pollution reduction is meant to promote measures for reducing air pollution and other pollution abatement activities. And mangrove conservation and restoration, which is meant to promote measures for conservation and restoration of mangroves.
The GCP's governance framework is supported by an inter-ministerial Steering Committee and The Indian Council of Forestry Research and Education (ICFRE) serves as the GCP Administrator, responsible for program implementation, management, monitoring, and operation.
In its initial phase, the GCP focuses on two key activities: water conservation and afforestation. Draft methodologies for awarding Green Credits have been developed and will be notified for stakeholder consultation. These methodologies set benchmarks for each activity/process, to ensure environmental impact and fungibility across sectors. A user-friendly digital platform will streamline the processes for registration of projects, its verification, and issuance of Green Credits. The Green Credit Registry and trading platform, being developed by ICFRE along with experts, would facilitate the registration and thereafter, the buying and selling of Green Credits.
To obtain Green Credits, individuals and entities must register their activities.