Balrampur in carbon trading pact

After becoming the first Indian sugar company to attract FDI, Balrampur Chini Mills (BMC), is set to become the first Indian corporate to engage in carbon trading.

It has informed that it has acquired a MoU with IFC Washington, for selling carbon credits.

Earlier, the company got the clearance from the union government to reduce 120 million tonnes of certified emission reductions by 2012. After receiving the government's approval, this project is still waiting for UNFCC's approval for trade in carbon credit.

According to company officials, it has already submitted a methodology for a power plant to the United Nations Framework Convention on Climate Change (UNFCC) for final approval. UNFCC sought further clarifications which too was resubmitted.

The company is now expecting approval from UNFCC very soon. The power project for which it has sought permission for carbon credit is a bagasse project. It will used the bagasse generated from sugar for generating power in Balarampur and Haidergarh.