Offset Your Carbon Footprint With Carbon Trading

Carbon Trading: A mere financial or virtual transaction that can help big MNCs to achieve their Carbon Emission Reduction Targets and ultimately their company’s Sustainability Goals

How does carbon pricing work?

Every convention and policy on climate change has a single underlying objective –GHGs (Greenhouse Gases) reduction. There are three ways to reduce GHG emissions.

The first option includes putting a cap or a limit on the amount of carbon dioxide and other GHGs that a company can emit, while the second option is to tax a company for their carbon dioxide emissions. The second method would work if alternative and cleaner forms of energy cost less than the tax paid for carbon emissions.

The final alternative is a trading scheme where we have a carbon market. In this case, you put a cap on the total carbon emissions of a region. Hence companies can buy or sell their carbon rights. This is an effective scheme to make companies within a region more responsible and collectively take ownership to reduce emissions. This can be implemented in the form of mandatory trading of permits or voluntary offerings to gain carbon points. Whatever way it is, the idea to cap and trade is the most effective way to reduce emissions and focus on greener forms of energy.

Making the right choices

Climate change and carbon emission is an international issue, and all the countries together can bring a sustainable change. In this regard, the GCC was formed by the Gulf Organization for Research and Development in Qatar. This council issues carbon permits and devices ways to mitigate the emissions occurring from industrial and commercial operations. This is in line with the sustainable development goals (SDG) of the United Nations. The carbon permits come in the form of approved carbon credits (ACC) and a single ACC stands for one metric ton of GHG emissions avoided from being released into the environment.

What’s next?

Carbon emissions in India continue to grow, courtesy development and industrial progress. In India, there are schemes coming down from the state governments, central, as well as international bodies. Now is the time when these carbon schemes should not be used as a mere tool or a marketing gimmick but rather as a collaborative and comprehensive effort to reduce the overall emissions of GHGs and reduce the negative impact on the environment.

Companies with the ambitious RE (Renewable Energy) goals and global or national Climate commitments, need to introduce themselves to Carbon Trading. It is the answer to internal company policy constraints posed to adopt other RE power supply options like Captive Solar/Non-Solar RE Power procurement due to captive user shareholding involvement in the arrangement. On the reality grounds, procurement of ACCs (Approved Carbon Credits) is the extra cost for any company along with the existing power mix cost but also the easiest and quickest way to achieve its Sustainability Goals.

Altilium being the RE market watchdog has seen and faced the in-ground regulatory challenges to implement other OA (Open Access) RE power procurement solutions in few states of India even when the companies were up for the solution. In such a peculiar case, companies have got a back-up option to gaze at opportunities like VPPAs (Virtual Power Purchase Agreements), ACCs, etc.

At Altilium we cater to organisations which have set the targets to reduce their absolute GHG emission with the set timeline through our customisable, well-researched, insightful, implementable energy cost optimisation solutions rather than “one-size fits all” advisory.

With overall team experience of 45 years in the Indian power sector, our array of services includes bespoke Electricity Regulatory Advisory, Energy Portfolio Management, Renewable Energy offtake & trade, open access services, Renewable Energy Projects management, to name a few. Being one of the leading CERC (Central Electricity Regulatory Commission) approved power trading companies in India, Altilium is managing a trade volume of over 15 MUs (million units) of Renewable Energy every month for its clients PAN India, as on date.
Let’s explore together! Get in touch with us today to receive best-in-class technical project development and strategically beneficial services. Let’s start the discussion to monetize carbon and environmental attributes responsibly and effectively.

Connect with us at hello@altilium.co.in