Officials said the draft framework is the first step in a longer process of identifying sustainable projects and phasing out others.
Some supporters of the policy say the EU and South Africa have created taxonomies that help make green activities visible and unlock large-scale capital, while critics say it amounts to “greenwashing”. Covering up seemingly unfriendly activity with buzz and PR.
The EU also places green investment disclosure obligations on financial companies, pension funds, companies and financial market participants.
One of the officials said India is not yet planning to make such disclosure mandatory for companies, but would consider it a best practice.
India needs $10 trillion to $15 trillion in investment to achieve net-zero carbon emissions by 2070 in alignment with its Nationally Determined Contribution (NDC) commitments to the United Nations Framework Convention on Climate Change (UNFCCC) .