‘Tax Cuts on Carbon Credit Sales to Benefit Little’
Kolkata: Renewable energy producers say they have nothing to gain from the Budget’s reduction of tax on income from selling carbon credits to 10% from 30%. They say the market for carbon credit is almost non-existent and new projects in India cease to be eligible for carbon credits since 2012.
“Carbon credit is a concept developed by the EU and it applies to countries that form part of the least developed countries list. India ceases to be part of this list since 2012 hence any project set up after 2012 are not eligible for receiving carbon credits,” said Kuldeep Jain, MD of CleanMax Solar. In the Budget, the government said carbon credits were an incentive for companies to cut of the emission of green-house gases. — Debjoy Sengupta