Greenhouse Emissions Reduction and CBAM Compliance — Real or Ideal Gases?
← All Articles (Index) Greenhouse Emissions Reduction and CBAM Compliance — Real or Ideal Gases? In thermodynamics, an ideal gas is the simplified model; a real gas is what you actually get once intermolecular forces and finite volume intrude. India's emissions-reduction and CBAM-compliance story has the same split — a $20.7 billion exposure that is very real, and a trade-agreement response that, on the evidence so far, is still mostly ideal. The last piece in this series closed with an open thread. India's Carbon Credit Trading Scheme (CCTS) had, by January 2026, brought 490 entities across six sectors under compliance obligations — Aluminium, Cement, Chlor-Alkali and Pulp & Paper from the October 2025 rollout; Petroleum Refineries, Petrochemicals, Textiles and Secondary Aluminium from January 2026. Two more sectors sit on CCTS's designated list without notified Greenhouse Gas Emission Intensity (GEI) targets: Fertiliser and Iron & Steel. That piece flagged...