India to set up agency to regulate carbon trade in COP29 follow-up

• The Union government will set up an agency on the lines of National Agriculture Cooperative Marketing Federation of India, or Nafed, to regulate carbon trading.
• It will also be responsible for green initiatives like green bonds.
• This follows the decision by the 29th session of the Conference of the Parties (COP29) to the UN Framework Convention on Climate Change (UNFCCC) to have rules established for a global carbon market.
• The Energy Conservation (Amendment) Bill, 2022, passed by Parliament on 12 December 2022, is an enabling bill for a carbon market in India.
• The agency will govern the carbonizing market and is going to be responsible for green industrial development.
• The government is trying to find the possibility of bringing money in the name of green through an institution.
• Now, the working committee on green finance governs the issue of sovereign green bonds.
• The Energy Conservation Act, 2022 enables the Indian government to establish a domestic carbon market and allows designated agencies to issue carbon credit certificates.

National Agriculture Cooperative Marketing Federation of India

• It was stablished on 2 October 1958 to facilitate trade of agricultural produce and forest resources.
• Headquarters in New Delhi with regional offices in Delhi, Mumbai, Chennai, and Kolkata.
• the act was registered under the Multi State Co-operative Societies Act.
• Nodal agency for price stabilization measures under “Operation Greens” that aims to double farmers’ income by 2022.
• Engaged in procurement of oilseeds, pulses, and copra under the Price Support Scheme (PSS).