“The carbon market is expected to become the world’s biggest commodity market and looking to be a trillion- dollar industry very soon.”
~ New York Times
MEANING & CONCEPT
Carbon Credit is a general term for tradeable certificate or permit to emit one tonne of carbon or carbon equivalent. The concept of carbon credit helps in putting a cap on countries/ legal entities to emit carbon within a particular limit.
Let’s say that a developed country is allowed to emit only 100 tonnes of carbon, however they require 200 tonnes of carbon emission and the same cannot be reduced. There are few ways by which they can achieve their goal:
i. Adopt a new technology to reduce CO2 emission; or,
ii. Improve existing technology to reduce CO2 emission; or,
iii. Tie up with a developing country.
Now let’s say, a developing country is permitted to emit 1000 tonnes of carbon, but they have emitted only 900 tonnes and are left with 100 tonnes, unused. This means that the developing country has gained 100 carbon credits for saving 100 tonnes of carbon emission. In such cases, these 100 carbon credits can be traded with a developed country who is in requirement of additional tonnes of carbon emission in exchange of money or technology or both, to save more carbon emission. This process is called as Credit Carbon Trading.
Currently, India and China are the biggest sellers of carbon credit whereas countries in Europe are the biggest buyers. The concept of Carbon Credit Trading is set out in Article 17 of the Kyoto Protocol.
According to leading Scientists, Carbon Dioxide, Methane, Nitrous Oxide and Chlorofluorocarbons are the biggest contributors to climate change. To address this problem, on 11th December 1997, representatives from more than 160 countries, met at Kyoto, Japan to discuss the issue of climate change and global warming and to take appropriate steps accordingly. In the meeting, the participating countries pledged to reduce emissions of Green House Gases (‘GHGs’) and hence the Kyoto Protocol was adopted, which later came into force on 16th February 2005. The Kyoto Protocol (‘KP’) are the rules to the United National Framework Convention on Climate Change (‘UNFCCC’) to control the concern regarding climate change and global warming. The Kyoto Protocol puts a cap on the Member Countries for carbon emission i.e. number of tonnes of carbon. Today, 184 countries have ratified this protocol to achieve the target of reducing climate change.
The KP established three mechanisms, based on the market size and wants, thereby creating a Carbon Market, allowing for flexibility in terms of the methods countries could use to meet their gas reduction commitments. Such mechanisms are:
i. Clean Development Mechanism (CDM): This mechanism encourages the developed countries to invest in emission reduction projects in developing countries that contribute to the developing countries’ sustainable development. Under this mechanism, the Country acquire certified emission reductions from projects in non-Annex I parties from 2000 and onwards. The Annex I Parties buy and non-Annex I parties sell the carbon credits under this mechanism.
ii. Joint Implementation (JI): This mechanism encourages the developed countries to carry out emission reduction projects in other developed countries. The participants in such mechanism can be Annex I Parties and legal entities authorized by Parties.
iii. International Emission Trading/ Carbon Trading (ET): It is a flexibility mechanism of the Kyoto Protocol that allows the trade of assigned amount units among Annex B Countries.
Note: Carbon Sinks: Compensating for emissions by increasing the number of a country’s carbon sinks. Carbon sinks are forests, which take up CO2 from the atmosphere. Countries are allowed to create carbon sinks on suitable sites of their own territory.
Emission cap for developed countries which are parties to the Kyoto Protocol are expressed as permitted emission limit or “assigned amounts”, over the 2008- 2012 commitment period. These “assigned amounts” are denominated in terms of “tonnes” of CO2 emissions or CO2 equivalent emissions, also known as the “Kyoto Units”. To track the location of Kyoto Units, it is mandatory for the concerned project to be registered under the Kyoto Protocol.
National Registries are implemented by Governments of 38 Annex B Parties having such accounts within which units are held (i) in the name of the Government, or (ii) in the name of the legal entities authorized by the Government to hold and trade units.
CDM Registries are implemented by the UNFCCC Secretariat (under the authority of CDM Executive Board) for (i) issuing CDM Credits and (ii) distributing them to national registries. Only the CDM Project participants can hold accounts in the CDM Registry.
PROCESS OF REGISTRATION
A. Process of Registration when following the CDM/ ET Mechanism
First, the Project Design Document is submitted to the National CDM Authority to seek their validation; (ii) After the National CDM Authority’s validation is achieved the project has to be registered in the host country; (iii) Then the Project Design Document has to be submitted to the UNFCCC for their review and validation; (iv) The UNFCCC will make the Project Design Document public to receive the public comments and reaction on the project; (v) Based on public’s reaction to the project, the decision on project validation shall be taken; (vi) Project validation will be made by a third party auditor (Designated Operational Entity); (vii) This Designated Operation Entity forwards the Project Designed Document to the Executive Board of the UNFCCC for registration; (viii) Once registered, the project shall be ready for operationalization; (ix) Thereafter, the project will have to be monitored by the host country; (x) A second Designated Operational Entity shall verify the emission reductions; (xi) A formal request for issuance of certificate along with the verification report will have to be made; (xii) and finally, Emission Reduction Certificate is issued to the legal entity/ country who submitted their project.
Process of Registration when following the JI Mechanism
After the completion of the registration process, parties may wish to involve in carbon credit trading, a process is followed by the Registries (provided under Figure 5), that tracks the location of Kyoto Units for surveillance purposes.
The eligibility criteria for Annex I Parties to act as a buyer or a seller in trading of carbon credits are given under Article 5 and Article 7 of the Kyoto Protocol. Annx I Parties under the Kyoto Protocol must provide information in their national communication under the KP to demonstrate that their use of the mechanism is supplemental to domestic action to achieve their targets. This information is assessed by the facilitative branch of the Compliance Committee.
Eligibility Criteria for A nnex II & Non- Annex I Parties (i.e. Annex I not included) is provided under Article 12 of the Kyoto Protocol, which are also reflected in Section F of the Modalities & Procedures for CDM under ‘Decision 3/ CMP1’. These are also known as CDM Eligibility requirements.
Eligibility Criteria for JI Mechanism is provided under Section D of the Guidelines for implementation of Article 6 of the Kyoto Protocol reflected in ‘Decision 9/ CMP.1’.
Eligibility Criteria for ET Mechanism is provided in the Modalities, Guidelines and Rules for emissions trading Article 17 of the Kyoto Protocol, reflected under ‘Decision 11/ CMP.1’.
After careful consideration, it is observed that (I), (II), (III) and (IV) have the same eligibility criteria (i.e. the requirements that a party must fulfil while registering itself as a Party to the Kyoto Protocol). The said eligibility criteria is summarized hereunder:
According to the ‘Decision 3/ CMP1’, the ‘Decision 9/ CMP.1’ and the ‘Decision 11/ CMP.1’: (i) the concerned party must be a party to the KP and must have ratified the same; (ii) pursuant to Article 3.7 and Article 3.8. of the KP, the assigned amount must be calculated in terms of tonnes of CO2 emission; (iii) that in accordance with Article 5.1, the party must have in place a national system for estimating anthropogenic emissions by sources and anthropogenic removals by sinks of all GHGs which are not controlled by the Montreal Protocol; (iv) that in accordance with Article 7.4 of the KP, it must have in place a national registry to record and track the creation and movement of ERUs, CERs, AAUs and RMUs; (v) that in accordance with Article 5.2 and Article 7.1, the most recent required inventory must be submitted on annual basis, including the national inventory report and the common reporting format. For the first commitment period, the quality assessment needed for the purpose of determining eligibility to use the mechanisms shall be limited to the parts of the inventory pertaining to emissions of greenhouse gases from sources/sector categories from Annex A to the Kyoto Protocol and the submission of the annual inventory on sinks; (vi) that in accordance with Article 7.1, it must submit the supplementary information on assigned amount.
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PM Modi, Rahul Gandhi wish Manmohan Singh on his 90th birthday
Prime Minister Narendra Modi on Monday sent Dr. Manmohan Singh his birthday wishes on his 90th birthday, wishing him a long and healthy life.
“Birthday greetings to former PM Dr Manmohan Singh Ji. Praying for his long and healthy life,” tweeted PM Modi.
Rahul Gandhi, the leader of the Congress, sent Dr. Singh birthday greetings as well.
Wishing one of India’s finest statesmen, Dr Manmohan Singh ji a very happy birthday. His humility, dedication and contribution to India’s development, have few parallels. He is an inspiration to me, and to crores of other Indians. I pray for his good health and happiness,” tweeted the Wayanad MP.
Before the partition, Singh was born on September 26, 1932, in the Punjabi village of Gah. He studied at Oxford, Cambridge, and Punjab University.
Today marks the 90th birthday of Dr. Singh, who served as prime minister for two consecutive terms (from 2004 to 2014). He is a well-known economist who is credited with enacting significant reforms in the 1990s.
Mallikarjun Kharge, Ajay Maken to meet Sonia Gandhi today over Rajasthan crisis
Mallikarjun Kharge and Ajay Maken, two Congress observers who were in Rajasthan on Sunday to attend the legislature party meeting at the home of the chief minister Ashok Gehlot, are anticipated to meet Sonia Gandhi on Monday afternoon.
With Gehlot expected to run for presidential polls next month, the state is currently dealing with a new crisis. Numerous Gehlot’s supporters resigned on Sunday and handed them to Assembly Speaker CP Joshi as a result of Sachin Pilot’s name being mentioned. The resignation is reportedly from more than 80 MLAs.
The MLAs made clear to the observers their demands, emphasising that the next chief minister should be chosen after October 19, once the party’s presidential elections are over, that the Gehlot successor should be chosen from among the roughly 102 MLAs who supported the party during the 2020 crisis, and that Ashok Gehlot should be kept informed throughout the decision-making process. They were reminding the party of Sachin Pilot’s uprising against Gehlot when he visited to Haryana by bringing up the 2020 dilemma. Later, after guarantees from the senior management, he returned.
Ajay Maken said: “We came for the CLP meeting fixed by the CM at a time and date of his choice. Very strange that MLAs didn’t come for that. We also wanted to follow the procedure of speaking to individual MLAs about what they want so that they can speak freely.”
The condition that no announcement – on the chief minister – should be made before October 19 seems to be conflict of interest as resolution authorises the Congress president to take the decision, and by October 19, Ashok Gehlot would have been the Congress president,” he further said.
Partnerships, technology and behaviour change key for agriculture growth, said Union Agriculture Minister
India has the potential to become “aatmnirbhar” in agriculture and also meet the food requirement of the world, said Narendra Singh Tomar, Union Minister of Agriculture & Farmers Welfare.
Speaking during the session, Food for All: From Farm to Fork, during the 3rd edition of LEADS 2022—— a global thought leadership initiative of the industry chamber FICCI, the minister said the country is steadfastly moving ahead in the direction. However, everyone must work together for the goal. “We would like to collaborate. I use this opportunity to invite the international community to join hands with us for the benefit of coming generations,” he said.
He noted that country’s agri exports had crossed the milestone of ₹4 lakh crores. “We are working to increase it further,” he said.
Minister Tomar said that the government is constantly working to make the country “aatmnirbhar”. As a result, Indian agriculture recorded a robust growth of 3.9% despite the pandemic. In addition, the minister reiterated that the government aims to make Indian agriculture internationally competitive by aiding the small farmers in the country. He alluded to several government programmes to reduce farming-related challenges. “Due to increase in investment in basic infrastructures like irrigation system, storage, warehousing, and cold storage, the Indian agriculture is expected to record robust growth in the coming years,” he added.
On occasion, H.E. Mr Damien O’Connor, Hon’ble Minister for Trade & Export Growth; Agriculture; Biosecurity; Land Information & Rural Communities, New Zealand, alluded to the challenge emanating from climate change. “agricultural emissions from livestock are a real challenge for New Zealand and food systems around the world. It contributes 35% to the global greenhouse gas emissions and 48% to New Zealand’s emission profile.”
He also alluded to Global Research Alliance and encouraged Indian parliamentarians “to look at investigating partnering up with a Global Research Alliance” to gather global technologies “in a way that is not seeking to maximise commercial benefit but to maximise the climate change benefit from this collaboration.”
Sanjiv Mehta, President, FICCI and CEO & Managing Director, Hindustan Unilever Limited (HUL), said achieving food and nutrition security is a multifaceted challenge. “Food systems can play a big role in protecting food security and nutrition if careful attention is paid to targeting the poor, reducing inequalities, including gender inequality and incorporating nutrition goals and actions were relevant.”
Dr Anish Shah, Vice President, FICCI and Managing Director and CEO, Mahindra & Mahindra, said the world will have 10 billion people by 2050. “Today, we do not have enough food to provide for everyone, so we have to do a number of things to feed everyone.” He pointed to three themes that can help address the challenge. The first is partnerships to reduce carbon footprint and improve productivity. Second, adopting technology to transform agriculture and thirdly, inducing behaviour change.
Sunny Verghese, Co-Founder and Group CEO, Olam International, said, the biggest priority is to help decarbonise.
Digital Agriculture Mission to digitalise the farmer: Manoj Ahuja, Secretary, Agriculture
Contextual and correct information to anybody associated with agriculture has the potential to unlock a lot of value, said Manoj Ahuja, Secretary, Union Ministry of Agriculture & Farmers Welfare, at the Release Ceremony of the FICCI compendium on “Enhancing Farmers’ Income”.
In this regard, Ahuja alluded to the Digital Agriculture Mission, which essentially tries to digitalise the farmer in terms of identity, linking up the farmers’ land and geo-referencing it, and crops grown. “These are some of the basic things we are trying to put in the agristack,” he said. “We have made some headway; hopefully, next year, we should show substantial results,” he added.
Ahuja said, “I’m seeing the benefits information contextualised to the various partners in the agricultural ecosystem can bring”.
On occasion, Samuel Praveen Kumar, Joint Secretary, Union Ministry of Agriculture & Farmers Welfare, spoke on backstopping agriculture startups that are coming up with innovative technologies and solutions to enhance farm incomes. In this regard, Mr Kumar alluded to the three C’s— convergence, capacity building, and collectives like (FPOs and cooperatives) as the vital elements.
Elaborating on convergence, Kumar said, “if the government can package the schemes in such a manner that you give more benefits, in a unified manner to the businesses or startups, I think they will be able to sustain their business.” Similarly, on capacity building, he noted, “when we talk about capacity building for farmers or extension workers, it’s not like that. It is for everybody in the ecosystem.” Mr Kumar also alluded to developing climate-resistant crops, reducing carbon footprints using technology, and developing infrastructure.
Elaborating on the compendium, TR Kesavan, Chairman, FICCI National Agriculture Committee & Group President, TAFE, noted the need to document the best practices and give them to people so that “people can touch, feel, do and understand the practices.” He added, “small and marginal farmers are going to be one of the greatest strengths of the country. Some of the case studies in the compendium tell how they are changing.”
The FICCI compendium of guidelines presents select case studies, and successful projects and interventions rolled out by various organisations in achieving higher crop connectivity, resource use efficiency, cropping intensity and diversification towards high-value agriculture.
Supreme Court: An Order Is In Given Factual Circumstances; Judgement Lays Down Principles Of Law
The Supreme Court in the case Akil Valibhai Piplodwala observed and has issued a notice on a petition filed by a man seeking a direction that he should not be deported to Pakistan until his claim to be an Indian citizen is decided as per Section 9(2) of the Citizenship Act, 1955.
The bench comprising of Justice Surya Kant and the Justice J. B. Pardiwala observed and has also issued status quo in the matter. Thus, the notice on the plea has been issued to the District Superintendent of Police (Godhra), State of Gujarat and the Ministry of Home Affairs, Union of India.
According to the plea, the was born at Godhra, Gujarat in 1962 and had completed his education in India. The petitioner moved to Pakistan in 1976 but in 1983 he returned to India and got married at Godhra to an Indian woman on 2nd March 1984 and had three children from the wedlock. Thus, the petitioner again went away and finally returned to India in 1991 after obtaining all the requisite permits including a residential permit and continued to reside in India with his family.
However, out of fear of getting deported, the petitioner moved a regular civil suit before the Court of Civil Judge praying to declare him a citizen of India under Section5(1)(C) of the Indian Citizenship Act, 1955 since he was married to an Indian citizen. It is also prayed by him to restrict authorities from deporting him till his application under Section 9(2) of the Act is decided by the Union of India. In 1999, it was held by the Civil Judge that the Court did not have jurisdiction to decide the citizenship of the Petitioner. However, the decree was allowed by the Civil Judge partly to direct that he should not be deported back until his application under the Citizenship Act is decided.
Further, after the period of 4 years, the Union of India preferred a delayed appeal under Section 96 of CrPC against the order of the Civil Judge before the Principal District Judge. On 12.07.2022, the District Judge set aside the decree passed by the Civil Judge.
The petitioner being aggrieved by the order of the District Judge, moved the High Court of Gujarat. On 02.08.2022, the High Court dismissed his appeal holding that no substantial question of law arose.
Senior Advocate IH Sayed, appearing for the petitioner submitted that the High Court disregarded the fact that the Petitioner has been rendered vulnerable to deportation and if he is not protected till his application is adjudicated upon it would be violation of the procedure established by the principle of law.
The present petition was filed through Advocate Taruna Singh Gohil.
Delhi HC Asks Centre: What Is The Procedure For Undertrial Foreign Nationals’ Visa Renewal?
The Delhi High Court in the case Uchenne v. State observed and has directed the Centre to place on record the necessary steps and procedures required to be followed by foreign nationals, who are in the jail as undertrials, for renewal of their visas.
The bench comprising of Justice Jasmeet Singh observed while dealing with a plea filed by a foreign national seeking bail in an NDPS case, said there are many foreign nationals lodged in the national capital’s prisons, whose visa applications have not been processed.
The court stated that he i.e., the Central Govt Counsel shall also place on record necessary steps and procedures so that foreign nationals who are in jail as undertrial know the procedure for renewal of their visas. The Uchenne, accused had moved the High Court last year wherein seeking regular bail in an FIR registered under Section 21 of the Narcotic Drugs and Psychotropic Substances Act, 1985. Thus, after the completion of investigation, charge-sheet was filed under Section 21 of the NDPS Act as well as Section 14 of the Foreigners Act.
It was observed that Section 21 of the NDPS Act states punishment for contravention in relation to manufactured drugs and preparation, Section 14 of Foreigners Act provides various penalties under the statute, in case of violation of any of the provisions.
The Additional Public Prosecutor on March 30, told the court that before proceeding with the bail matter, accused’s visa needs to be re-validated. The Advocate J.S. Kushwaha appearing for the foreign national submitted before the Court that although his passport was renewed, he is required to be taken to the Foreign Regional Registration Office (FRRO) for visa renewal on April 29.
Accordingly, it has been directed by the court to Uchenne to complete all procedural formalities and ordered that he be taken to the FRRO in accordance with law and established procedures.
On August 2, over three months, Uchenne’s counsel apprised the Court that despite earlier orders, his visa was neither renewed nor any reasons were given regarding the delay or rejection. Also, the court was informed that Uchenne had applied for visa on January 28, in 2019.
However, during the recent hearing on September 19, it was sought by the Centre’s counsel seeking further time to get instructions in writing from FRRO before the next date of hearing.
Accordingly, the court listed the matter for hearing next on October 10.
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