India's Carbon Credit Trading Scheme is moving from framework design toward implementation. The compliance mechanism now covers 490 obligated entities in energy-intensive sectors, with notified Greenhouse Gas Emission Intensity targets. For these businesses, carbon reporting is no longer a year-end exercise. The scheme measures emissions per unit of output, so a company that grows production faster than its emissions can improve its intensity score even as total emissions rise. To prepare, companies need a reliable emissions baseline, a clear view of what drives emission intensity, and a realistic plan for reduction opportunities. Strong measurement, reporting and verification practices are essential because annual verification is part of the framework. Entities that beat their GEI targets can earn Carbon Credit Certificates, while those that fall short may need to buy and surrender CCCs. Companies not covered by the compliance mechanism can also participate through the offset mechanism for eligible emission reduction projects.
