Kochi Water Metro to monetise clean energy via carbon credits

Kochi: In a major stride within the nation’s eco-friendly public transport sector, Kochi Water Metro has initiated a carbon credit validation process. The mechanism scientifically evaluates and converts into financial gains the reduction in atmospheric pollution and greenhouse gas emissions achieved through its boat services. Bengaluru-based agency Kosher Climate has been selected to execute this project.

The initiative is executed under a revenue-sharing model, incurring zero financial liability for Kochi Water Metro.

Earning through credits

Under the agreement, Kochi Water Metro will receive 71 per cent of the revenue generated from selling carbon credits in the market. The agency will bear all costs related to carbon credit certification, approvals and technical studies. Water Metro operates entirely on eco-friendly, electric-powered boats.

Experts estimate that as environmental regulations tighten in the future, the value of carbon credits will surge, potentially yielding substantial financial rewards.

Understanding carbon credit validation

Carbon credit validation is the scientific process of verifying whether emission-reduction projects genuinely lower carbon output. Authorised agencies regularly assess and certify the exact amount of carbon dioxide prevented from entering the atmosphere through the project. The organisation is then awarded carbon credits corresponding to the amount of emissions avoided, which can subsequently be monetised on carbon exchange platforms.