Surath, Gujarat, India: The program, initially introduced in Surat, has successfully lowered industrial pollution while supporting economic growth.

Gujarat, a state in western India, has been recognized as a finalist for the Earthshot Prize 2025 for its innovative emissions trading initiative. This program enables industries to expand while simultaneously cutting down air pollution.

Developed by the Gujarat Pollution Control Board (GPCB), this is the first-ever system globally to trade particulate emissions. The program establishes a cap on total industrial pollution and distributes emission allowances to factories, which can then buy or sell any surplus permits. This market-driven approach is designed to reduce pollution more effectively than conventional regulatory measures.