Popularise emission trading for effective energy solutions

Written by Commodities Bureau | New Delhi, Mar 28 | Updated: Mar 30 2008, 04:54am hrs
Energy derivatives can provide a low cost energy alternatives and popularising emission trading can go a long way in providing sustainable and effective energy solutions to a fast developing and energy-starved economy like India, says H L Bajaj, technical member, Appellate Tribunal for Electricity, at a conference on energy derivatives and emission trading organised by the Confederation of Indian Industry (CII) along with the British High Commission here on Friday.

He said that draft report "Development of Energy Derivative Market in India" prepared by the CII with the support of the British High Commission, was very timely and would go a long way towards creating awareness about these issues.

"The energy market in India is already responding to the need to find energy derivatives and India is making great contributions," said Daniel Shephard, first secretary, energy and sustainable development, British High Commission, in New Delhi.

Globally, the United Kingdom's commitment was to work towards broader, deeper carbon markets where India can make best use of the opportunities, he said and added that the deeper engagement between the UK and India was towards providing cheaper, low-carbon energy alternatives.

The energy sector was vital for the economic reliability and growth of the country, said Mahendra Kumar, chief executive, Reliance Energy Trading Ltd.

The DEDMI report, which was aimed at evolving a consensus among stakeholders on key issues on energy trading and derivatives market in order to enable organised development of energy markets in India, formed a consensus among stakeholders and work with regulators, said V Raghuraman, principal advisor and chief coordinator - energy, environment and natural resources, CII.