Assessing the demand for carbon credits from the most polluting and hard-to-abate sectors in India

Carbon pricing has emerged as a highly effective tool in the pursuit of reducing greenhouse gas emissions. Empirical evidence underscores its capacity to incentivize gradual reductions in emissions. Given the imperative for Indian industries to embrace decarbonization, this research delves into the potential of carbon markets to drive this transition. The study's focal point is to unravel emission intensity trajectories within the Indian industrial landscape and project the demand for carbon credits emanating from the most challenging and highly polluting sectors.Employing a blend of qualitative and quantitative methodologies, this study introduces methodological innovations in the existing literature. Statistical modelling is at the core, encompassing factors such as technological feasibility, policy frameworks, and voluntary industry benchmarks aimed at realizing net-zero emissions. This study's distinctive contribution lies in its holistic approach to investigating Indian industry decarbonization through market mechanisms. The extensive case corpus analysis holds substantial significance by furnishing practical reference cases for Indian industries and policymakers navigating this transformative journey.