New Delhi, Jan 13 (UNI) Delhi government on Tuesday gave its nod to implementing the Carbon Credit Monetization Framework through the Department of Environment, Forests & Wildlife, as part of efforts to transform the city’s green projects into revenue-generating assets for pollution control and sustainability, subject to Cabinet approval.
An official said that each verified reduction of one metric tonne of CO2 equivalent from Delhi’s climate initiatives will yield a tradable carbon credit, sellable in voluntary or compliance markets worldwide.
”This no-financial-liability model leverages existing green efforts across departments, Transport (EV policy and CNG, electric buses), Power (solarisation and energy efficiency), Forests (tree plantation and green cover), Delhi Jal Board (water reuse and wastewater efficiency), and Urban Development (waste management and legacy waste biomining), to unlock untapped economic value while advancing ecological goals,” the official added.
Delhi Environment Minister Manjinder Singh Sirsa said this framework allows us to quantify these achievements, certify them under global standards like VERRA, Gold Standard, and the Indian Carbon Market, and monetize them transparently.
The Department of Environment, Forests & Wildlife, will serve as the nodal agency to oversee rollout: To institutionalize a robust system to identify, validate, and register emission-reduction projects from diverse sectors. Develop a credible Monitoring, Reporting, and Verification (MRV) mechanism to ensure data integrity and international auditability.
Also to enable seamless issuance and trading of credits via approved platforms, maximizing value realization. Strengthen departmental capacities for long-term carbon market engagement. Establish Delhi as a climate finance leader, directly contributing to national goals.
The official said by engaging expert agencies on a success-fee basis, where payment depends solely on realized revenues, the government incurs zero upfront costs. Up to three expert agencies will be empanelled for wider participation and scalability of carbon credit projects.
The process of deploying such agencies will commence shortly, covering end-to-end activities like project assessment, documentation, validation, registration, credit issuance, trading strategies, and capacity building. Revenue utilization for pollution prevention, climate adaptation, and environmental management will be managed through a dedicated mechanism.
The proposal has garnered support from key departments including Finance, Planning, Law, Power, Forests, Urban Development, and Health, following detailed consultations. Finance Department endorsed the revenue-sharing model, emphasizing no fiscal burden and compliance with GFR and procurement norms. Forests Department advocated for comprehensive carbon stock assessments aligned with national programs like Green Credits.
The official claimed that Indore Municipal Corporation earned Rs 50 lakh by selling credits from compost plants, biomethanation, and solar under Verified Carbon Standard (VCS), Meghalaya’s MegCare program paid farmers EUR 40 per tonne- the highest in India- for agroforestry across 22,000 hectares, Arunachal Pradesh’s 3 MW hydro project secured 16,326 tonnes of credits, targeting 97,783 by 2028.
According to the official, these successes validate Delhi’s path, promising substantial returns on sustainability investments.
