Frequently asked questions

CCTS is India's Carbon Credit Trading Scheme, notified on 28 June 2023, which sets up the Indian Carbon Market. It has a compliance mechanism with emission intensity targets for large industries and a voluntary offset mechanism for projects by other entities.

As of October 2026, targets are notified for aluminium, cement, chlor-alkali, pulp and paper, petroleum refineries, petrochemicals, textiles and secondary aluminium, covering 490 obligated entities. BEE lists iron and steel and fertiliser among sectors planned to join, with a draft amendment for iron and steel.

A Carbon Credit Certificate is the unit of the Indian Carbon Market and equals one tonne of CO2 equivalent reduced, removed or avoided. BEE issues CCCs with Central Government approval, and Grid-India records them in the registry.

The Grid Controller of India (Grid-India) is the registry, while BEE is the administrator and CERC regulates trading. The registry registers entities, keeps CCC accounts and records transactions.

Possibly, through the offset mechanism, if the company has a project that fits an approved methodology and passes validation and verification by an accredited agency. It involves costs and monitoring, and credits or income are never guaranteed.

PAT set energy efficiency targets and traded energy saving certificates, while CCTS sets greenhouse gas emission intensity targets and trades Carbon Credit Certificates. BEE states that PAT will gradually transition into the CCTS compliance mechanism.

Carbon Credit Certificates are traded on power exchanges under the CERC Carbon Credit Certificates Regulations, 2026, unless CERC permits another mode. There are separate compliance and offset market segments, and compliance trades happen within a floor and forbearance price.

No, the CCTS target is an emission intensity target in tCO2e per unit of equivalent product, not a cap on total emissions. A plant can increase output, but it must lower the emissions for each unit it produces.