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Carbon Credits from Efficient Railways

EKI Energy Services Ltd. (EKI) has made a deal to provide consultancy service contracts for the carbon credits project of Kochi Metro Rail Limited (KMRL). 

Indian-based EKI Energy is one of the world’s largest carbon credits developers and suppliers. It is India’s biggest carbon asset management firm that operates in the space of climate change, carbon credit, and sustainability solutions across the globe.

The energy company provides strategic solutions to help entities achieve their climate goals. It has traded 100+ million carbon offsets to date while handling over 200 voluntary carbon projects. The major carbon credit projects EKI supports include the use of renewables as well as plenty of energy efficiency projects.

KMRL is a Joint Venture Company of the Indian government and the government of Kerala. The contract has been inked against a tender won by EKI. The Kochi metro project is the first in the country that connects rail, road, and water transport facilities.

The Metro Project and Carbon Credits

The goal of the deal is to boost the environmental aspect of the metro project by certifying its GHG emission reductions. EKI will then monetize the impact in the form of carbon credits

By signing the agreement with KMRL, the energy company is responsible for the validation, registration, verification, issuance, and trading of carbon credits that KMRL project generates. 

In addition, as part of the contract, EKI is responsible for managing the projects eligible for carbon credits. These include verification to ensure they meet the guidelines set by the international carbon credit mechanisms. 

Through EKI’s assistance, KMRL will earn extra income from monetizing carbon reductions with carbon credits. The metro rail developer can then use the credits to support its other developmental projects. 

Currently, KMRL operates 24 stations and has been serving as an urban spine along which Kochi city has developed. It’s also the first metro rail system in India to use the Communication Based Train Control (CBTC) signaling system, which reduces human intervention to a minimum.

Mr. Loknath Behera, Managing Director of KMRL said:

“I am personally happy that at least we have formally started our carbon crediting activities in association with EKI. It will not only help us in earning additional revenue but also give the optics to KMRL as a responsible sustainable transport provider.”

In response, EKI’s Chairman Mr. Manish Dabkara remarked:

“We are excited about our partnership with Kochi Metro Rail Ltd. and would like to thank KMRL for selecting us as their preferred partner. This win will enhance our leadership in Government sector projects as an expert in climate change solutions both nationally as well as globally.”

The partnership will benefit EKI by bolstering its network of customers internationally. EKI will develop carbon credits from the modal shift metro rail transport project of KMRL. It will help the metro project earn more through carbon credits in the international carbon market. 

Last year, EKI announced its goal to produce 1 billion carbon credits by 2027. This is alongside its aim to be net zero by 2030 under a campaign “Steering the Planet to Net-Zero”.

EKI said that community upliftment is its core focus area. But it also focuses on providing nature-based solutions (NBS) for businesses to help them reduce and offset their emissions. The company’s climate commitments will help India fast-track its journey to net zero.

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