Carbon Intensity

  • 08 Mar 2025

What is Carbon Intensity?

Carbon intensity refers to the amount of carbon dioxide (CO?) emitted per unit of output in a particular sector or economy. It integrates environmental accountability into performance metrics across industries and nations.

  • Sectoral Carbon Intensity: For example, in the steel sector, it is measured as tonnes of steel produced per tonne of CO? emitted.
  • National Carbon Intensity: At the country level, it is calculated by dividing GDP per capita by CO? emissions, offering insights into how efficiently a nation grows economically while managing emissions.

Why is Carbon Intensity Important?

  • It allows for the tracking of emissions relative to economic or production output, highlighting whether growth is becoming cleaner over time.
  • It enables comparison across sectors and geographies by normalizing emissions data.

Relevance for India and Global Commitments:

  • Under the Paris Agreement (2015), India has committed to reducing the emissions intensity of its GDP by 45% by 2030 from 2005 levels.
  • Monitoring carbon intensity helps India evaluate progress toward this Nationally Determined Contribution (NDC) goal while ensuring sustainable development.

Global Context:

  • China recently reported a 3.4% reduction in carbon intensity in 2024, although it fell short of its 3.9% target.
  • Such data underscores the challenge of balancing economic growth with climate responsibility, especially for large emitters.