IEX Forays into Carbon Market; Forms Wholly Owned Subsidiary ICX

With an aim to explore business opportunities in the voluntary carbon market, India’s energy market platform Indian Energy Exchange (IEX) has incorporated a wholly-owned subsidiary called International Carbon Exchange Pvt Ltd (ICX).
 
ICX would enable participants to buy and sell voluntary carbon credits at competitive prices via its transparent and reliable platform and facilitate the reduction of global GHG emissions by 45 per cent by 2030 to get on track to limit global warming to 1.5 degrees Celsius.
 
Additionally, it would also facilitate corporates to meet their climate commitment goals. The platform would provide a robust market signal for attracting further investments in sustainable projects and help corporates to allocate Capex towards energy transition in the most optimum manner.
 
Commenting on the subsidiary formation, SN Goel, Chairman & Managing Director, IEX, said, “It gives me immense pleasure to announce the incorporation of our wholly-owned subsidiary, International Carbon Exchange, which will be India’s first voluntary Carbon Exchange platform. This is aligned to our vision of architecting next-generation solutions for sustainable energy to ensure competitive, transparent and reliable access. With our earlier diversification initiative, Indian Gas Exchange, transforming the Gas market in the country, we continue to sustainably transition India’s energy market through efficient and asset-light businesses. Establishing a transparent and reliable carbon trading platform is an important step towards achieving global as well as national sustainability aspirations.”
 
Meanwhile, this initiative is yet another effort by IEX to harness technology and innovation to facilitate the nation’s energy transition towards carbon neutrality. Earlier this month, IEX became India’s first carbon-neutral Power Exchange, using market-based tradable instruments to offset its carbon emissions.