Pollution tax for polluters? Incentives for green products? And lower property tax for green buildings?
These are some of the ideas mooted at a recent meeting by the Confederation of Indian Industry and industry partners. Can some these ideas find shape in the future as Tamil Nadu seeks to become a green industrial economy?
CII’s Tamil Nadu chapter is working with the Madras School of Economics on a project to help industries reduce greenhouse gas emissions and carbon footprint. CII will also seek the association of the Tamil Nadu Industrial Development Corporation in the project.
Mr N.K. Ranganath, Chairman, CII Tamil Nadu, said: “The biggest generator of green house gas in the State is power generation. Tamil Nadu, being a highly industrialised State, stands number two in vehicle pollution and number four in greenhouse gas intensity in the country. While shortage of power has made our industries innovative and energy efficient, the industry needs to be proactive and not reactive.”
The project will dip into UKFCO’s $10-billion global funding meant primarily for developing nations. “We will also look into international funds for mitigation of climate issues.”
A high-level steering committee comprising senior government officials from power, environment, renewable energy departments will be formed. The committee will identify industries that require priority and come out with findings and recommendations on policies, incentives, taxes and other fiscal instruments, cost-benefit analysis, implementation strategies and monitoring.
The first of the meetings were held on Wednesday between CII and representatives from companies such as Tata Consultancy, Nissan, ABB, Chennai Petrochemicals, Wheels India, and consultants from KPMG and Ernst & Young. Proposals ranged from loading non-green practices with taxes and incentivising green products to differential pricing for government tenders with greater price offered to green products.
CII will hold talks with the State Government next, by March-end. A study on carbon footprint in Tamil Nadu will be released soon.
West Bengal and Odisha have already taken a lead in this and recently came out with several recommendations. The Tamil Nadu project is expected to come out with recommendations by October 2012.
