
India First Pollution Market in Surat Cuts Emissions Saves Money Study
A groundbreaking study has revealed that Surat Gujarat, home to the world’s first market for trading particulate matter emissions, has successfully reduced industrial pollution and saved businesses money. Published in the Quarterly Journal of Economics (May 2025 edition) the study highlights how this innovative Emissions Trading Scheme (ETS) achieved both environmental and economic wins.
The ETS, which began as a pilot project over five years ago, is the first of its kind globally to target particulate pollution a major health hazard in India. The programme was a joint effort by the Gujarat Pollution Control Board and the Energy Policy Institute at the University of Chicago.
Using real-time monitoring systems, 318 large coal-using industrial plants in Surat were brought under a cap-a...