India’s net zero target and the rapidly evolving climate finance ecosystem presents a significant opportunity for financial institutions to lead the transition towards a low-carbon economy. A critical enabler of this transition is the ability to measure and disclose greenhouse gas (GHG) emissions associated with financial activities, particularly Scope 3 Category 15 emissions, which often constitute the largest share of a financial institution’s total emissions.
Recognising this urgent need, the Partnership for Carbon Accounting Financials (PCAF) and the Confederation of Indian Industry – Centre of Excellence for Sustainable Development (CII-CESD) have entered into a strategic partnership to strengthen the capacity of financial institutions in India to measure and disclose emissions associated with financial activities. Through this collaboration, PCAF and CII-CESD will jointly:
This collaboration marks a significant step as demand grows for transparent and locally relevant guidance on Scope 3 Category 15 emissions. PCAF signatories and accredited partners receive access to the PCAF Academy and PCAF Database to further build capabilities and provide them with the relevant emissions factors to consistently measure and disclose emissions related to financial activities. Aligning PCAF’s globally recognised methodologies and resources with CII-CESD’s domain expertise as well as its role as the largest industry body in India, will strengthen institutional readiness, improve data quality, and expand India-specific emissions factor coverage across the financial sector, thereby supporting more consistent and transparent emissions accounting.
"Getting emissions accounting right is one of the most important, and most underestimated challenges facing India's financial sector today. By combining PCAF's globally recognised methodologies with CII-CESD's credibility and reach across India's industry ecosystem, we can help financial institutions build the internal capability they need to measure and disclose their emissions associated with financial activities with greater confidence and consistency".
Prajna Khanna PCAF, Board Member
“The partnership between PCAF and CII-CESD will create structured pathways for learning and raise awareness among professionals across India’s financial sector. The Centre has been working for more than two decades in this area and building capacity on emissions is a big concern. Together, we aim to address key gaps in the understanding of carbon accounting and support the financial sector in strengthening its readiness to engage effectively with the evolving climate finance ecosystem”.
Seema Arora, CII-CESD, Deputy Director General
CII-CESD is the ecosystem creator for sustainable development in India. As a 20-year-old industry-led institution within CII, the Centre drives sustainable, environmental, inclusive and climate-friendly transformation among stakeholders through research, data-driven digital tools, frameworks, collaborative initiatives and capacity development.
PCAF is a global initiative of financial institutions committed to measuring and disclosing the greenhouse gas (GHG) emissions associated with financial activities. More than 750 financial institutions collaborate to improve GHG methodologies for the industry, forming a community focused on shared knowledge and action.
