Reforms Key for Carbon Credit Trading

Target-based incentives will breathe life into the carbon credit market in India, said Praveer Sinha, MD and CEO, Tata Power

- Nehal Chaliawala

Tata Power, one of India's largest renewable power generators, has not participated in the nascent International Renewable Energy Certificates (IRECs) market—considered an alternative to carbon credits—citing a lack of buyers.

Praveer Sinha, Tata Power's managing director and chief executive officer, said policy intervention—in terms of target-based incentives and disincentives—is a must to breathe life into the IREC and carbon credit market in India.

"Today, there are no buyers," Sinha said. "In India, there is no regulation incentivizing or penalizing heavy polluters for emissions. Without that, carbon credits will not take off."