CHENNAI: Indian Institute of Technology (IIT) Madras researchers have proposed environmental laws to improve manufacturing energy efficiency.

The idea is based on a 15-year study conducted in partnership with foreign experts utilising data from 2000 to 2015. The study found that boosting energy efficiency in the manufacturing sector requires a green domestic strategy as well as foreign direct investment.

The report highlighted the use of adopted technology, the link between tax and energy efficiency to promote renewable energy, and tax credits or exemptions for businesses that improve their energy efficiency. The analysts also believe that export involvement and foreign direct investment will boost the country's energy efficiency and economic conditions.

Santosh Kumar Sahu, an assistant professor in IIT Madras' Humanities and Social Sciences Department, led the research team. The international partners were Dr. Ajay Kumar of Emylon Business School in France and Kim Hua Tan of Nottingham University Business School in the United Kingdom.

The study's primary goal, according to the researchers, was to determine whether it was appropriate to collect higher taxes on businesses in order to minimise greenhouse gas emissions.

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