India is set to begin formal trading in its domestic carbon market within the next few months. The system will initially impose compliance obligations on approximately 490 entities across seven energy-intensive sectors, including steel, cement, and petrochemicals, covering over 700 million tonnes of CO2e. Beyond compliance, the market is opening pathways for voluntary offsets. This includes new methodologies for tracking embodied carbon in end-of-life vehicles, aiming to bring millions of undocumented scrapped vehicles into a formal carbon accounting framework to close Scope 3 emissions gaps.
