Well, this may be true for a few companies in the emerging markets, but businesses and industries in the global north (US, UK et al) are willingly avoiding infrastructural changes. And why is that? Here comes the Kwai river bridge. For polluting companies, 
interestingly, it is cheaper to buy carbon credits than to invest in environment protecting and technologically advanced machinery or in related innovation. Think about the hilarious situation. While as near as in July 2008, a unit of carbon credit was trading at above €33, currently, the same unit is languishing at €16. That basically means that companies belonging to developed economies, that have huge amounts of spare cash (more so as they refused to invest all along in greener technology) can buy even surplus carbon credits in the currently underpriced market for future indiscretions. Such companies might have the audacity to become bigger polluters in the future (based on the bank that they are creating of purchased carbon credits) or might have the temerity to even sell these surplus credits, once their per unit price appreciates, to book magnanimous profits.
It is but apparent that the enormous amounts generated by the so-termed Kyoto style trading has benefited the biggest industrial polluters the most, both in the past (when carbon credits purchase was just basically a licence to forego green investments) and in the future (when they’ll easily be able to forecast how much bigger their emission can be). But having said that, the fact is that all this gives no reason why India should not benefit from such an easily available source of foreign exchange.
India Inc. is apparently sitting on a goldmine. And why India is falling behind China in numbers is not because the companies have opened their eyes to the pitfalls in the carbon trading market. It is simply because of the general lack of awareness that India Inc. has been somehow losing on the opportunities to monetize carbon credits. For starters, ask yourself. If you’re a top manager in any company, do you even have an idea where exactly to register to start carbon trading? Do you even know how, say, non-manufacturing entities can also register and earn millions in carbon trading? If your answers are close to being negative, don’t be surprised, as a majority of India’s CEOs fail to pass muster and the test too. KPMG confirms in their November 2007 report (Climate Change: Is India Inc. Prepared?) that only a measly 21% of top CEOs in India had taken steps to mark out their ‘carbon footprint’.
Despite all this, estimates still put the Indian carbon trading market to reach $100 billion by 2010. It is surprising to note that power generating, transmitting and distributing companies, fertiliser companies (National Fertilisers, GNFC et al), cement, steel and textiles industries have not actively pursued the multibillion bonanza, even though the awareness is there. Agrees Ashutosh Pandey, Founder and Head of Carbon Advisory Business at Emergent Ventures, as he shares his thoughts with 4Ps B&M, “CDM awareness level in a few industries such as steel, cement, oil & gas, paper, sugar, renewable energy is very good,” at the same time accepting that “still, a lot needs to be done in SME and government sector; areas that need more coverage include energy efficiency (supply & demand), electricity distribution system revamping, agriculture, plantations, transportation and residential sector.” Despite our open letter to Ratan Tata beseeching him for writing the recent letter to powers that be, it is seriously rare to find companies like the Tata group that have appointed top firms like E&Y and McKinsey & Co. to measure their current carbon footprint and extrapolate the futuristic carbon footprints for the group entities (Tata Steel, Tata Motors, Tata Power, Tata Power and TCS).
Likewise, other companies could and should take a leaf out of the success stories of even ‘enterprises’ like Tirumala Temple, Muni Seva Ashram, Sai Baba Temple in Shirdi, which have been making revenues unbelievably from carbon credits. On the other hand, companies such as Reliance Industries, Tamil Nadu Newsprint, SRF, Bharat Forge, JCT, Philips Carbon Black, Oswal Woolen and Usha Martin, which have certified emission approvals from the UNFCCC, can certainly be more innovative in reducing emission and increasing their earnings from the credits earned. There is a price for everything, the same holds true for carbon emissions where the market is becoming more liquid – in the Indian context, this calls for the policymakers to set more aggressive reduction targets; and the companies on their part need to play along, profitably so.
interestingly, it is cheaper to buy carbon credits than to invest in environment protecting and technologically advanced machinery or in related innovation. Think about the hilarious situation. While as near as in July 2008, a unit of carbon credit was trading at above €33, currently, the same unit is languishing at €16. That basically means that companies belonging to developed economies, that have huge amounts of spare cash (more so as they refused to invest all along in greener technology) can buy even surplus carbon credits in the currently underpriced market for future indiscretions. Such companies might have the audacity to become bigger polluters in the future (based on the bank that they are creating of purchased carbon credits) or might have the temerity to even sell these surplus credits, once their per unit price appreciates, to book magnanimous profits.It is but apparent that the enormous amounts generated by the so-termed Kyoto style trading has benefited the biggest industrial polluters the most, both in the past (when carbon credits purchase was just basically a licence to forego green investments) and in the future (when they’ll easily be able to forecast how much bigger their emission can be). But having said that, the fact is that all this gives no reason why India should not benefit from such an easily available source of foreign exchange.
India Inc. is apparently sitting on a goldmine. And why India is falling behind China in numbers is not because the companies have opened their eyes to the pitfalls in the carbon trading market. It is simply because of the general lack of awareness that India Inc. has been somehow losing on the opportunities to monetize carbon credits. For starters, ask yourself. If you’re a top manager in any company, do you even have an idea where exactly to register to start carbon trading? Do you even know how, say, non-manufacturing entities can also register and earn millions in carbon trading? If your answers are close to being negative, don’t be surprised, as a majority of India’s CEOs fail to pass muster and the test too. KPMG confirms in their November 2007 report (Climate Change: Is India Inc. Prepared?) that only a measly 21% of top CEOs in India had taken steps to mark out their ‘carbon footprint’.
Despite all this, estimates still put the Indian carbon trading market to reach $100 billion by 2010. It is surprising to note that power generating, transmitting and distributing companies, fertiliser companies (National Fertilisers, GNFC et al), cement, steel and textiles industries have not actively pursued the multibillion bonanza, even though the awareness is there. Agrees Ashutosh Pandey, Founder and Head of Carbon Advisory Business at Emergent Ventures, as he shares his thoughts with 4Ps B&M, “CDM awareness level in a few industries such as steel, cement, oil & gas, paper, sugar, renewable energy is very good,” at the same time accepting that “still, a lot needs to be done in SME and government sector; areas that need more coverage include energy efficiency (supply & demand), electricity distribution system revamping, agriculture, plantations, transportation and residential sector.” Despite our open letter to Ratan Tata beseeching him for writing the recent letter to powers that be, it is seriously rare to find companies like the Tata group that have appointed top firms like E&Y and McKinsey & Co. to measure their current carbon footprint and extrapolate the futuristic carbon footprints for the group entities (Tata Steel, Tata Motors, Tata Power, Tata Power and TCS).
Likewise, other companies could and should take a leaf out of the success stories of even ‘enterprises’ like Tirumala Temple, Muni Seva Ashram, Sai Baba Temple in Shirdi, which have been making revenues unbelievably from carbon credits. On the other hand, companies such as Reliance Industries, Tamil Nadu Newsprint, SRF, Bharat Forge, JCT, Philips Carbon Black, Oswal Woolen and Usha Martin, which have certified emission approvals from the UNFCCC, can certainly be more innovative in reducing emission and increasing their earnings from the credits earned. There is a price for everything, the same holds true for carbon emissions where the market is becoming more liquid – in the Indian context, this calls for the policymakers to set more aggressive reduction targets; and the companies on their part need to play along, profitably so.
Read these article :-
ZEE BUSINESS BEST B SCHOOL SURVEY
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
Top Articles on IIPM:-
'This is one of Big B's best performances'
IIPM to come up at Rajarhat
IIPM awards four Bengali novelists
IIPM makes business education truly global-Education-The Times of ...
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
IIPM ranked No. 1 B-school in India- Zee Business Survey ...
IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
IIPM ranked ahead of IIMs
