Home / Business and Economy / Profits Over Planet? India Eyes Green Business.
Profits Over Planet? India Eyes Green Business.
29 Apr
Summary
- Climate solutions must be profitable to ensure industry participation.
- EU's carbon border tax and deforestation rules raise trade barrier concerns.
- Consumer demand for low-carbon products drives corporate green initiatives.
Commerce and Industry Minister Piyush Goyal asserted that climate solutions must demonstrate profitability to foster greater industry involvement in the green transition. He highlighted that consumer preferences for low-carbon products are increasingly influencing corporate strategies, with business viability assessed through metrics like EBITDA.
Goyal also raised concerns regarding European Union regulations, specifically the Carbon Border Adjustment Mechanism (CBAM) and the European Union Deforestation Regulation (EUDR). He noted that these measures, intended to reduce carbon leakage and promote sustainable sourcing, are viewed by India as potential trade barriers.
Speaking at a dialogue in New Delhi, Goyal referenced India's constructive role at the Paris COP21. India facilitated consensus among nations, ensuring flexibility for countries to set their own climate targets as part of global climate action efforts.
