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Belgian Government terminates ERPA entered with Yash Papers

19 Nov 2014 Evaluate

Yash Papers has received a reference letter from Belgian Government whereby the latter has terminated the Emission Reduction Purchase Agreement (ERPA) on the pretext that the carbon credits have not been delivered to them. The company is however not in agreement with the same and shall be disputing the matter.

The company had earlier entered into an ERPA with the Belgian Government for sale of Carbon Credits generated / to be generated from the power plant during the year 2007 to 2012. A sum of Rs 15.47 crore has been disclosed under the head other current assets, being income recognized from generation of CER’s for the period from April, 2007 to December, 2012 based on the Emission Reduction Purchase Agreement (ERPA) with Belgian State for sale of CERs (Certified Emission Reductions) from the 6 MW Cogeneration Power Plant Project registered as CDM (Clean Development Mechanism) with UNFCCC (The United Nations Framework Convention on Climate Change)

Yash Papers (located in Faizabad, India) is synonymous with machine-glazed varieties of paper. Their brand revolves around the manufacture of the best wrapping grades of papers in India. The Company manufactures wrapping tissues in both brown and white varieties.

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