This paper aims to present a general idea of the key themes in the development of carbon accounting. The evolution of the field since the Kyoto Agreement has been divided into four stages. The need to account for and disclosure of greenhouse gas-related emissions of industrial organizations has emerged parallel to growing concerns about climate change, and international and national policy developments in the field have followed. In India Carbon accounting is an emerging field of business economics and covers a wide range of activities, including the measurement, calculation, monitoring, reporting and auditing of greenhouse gas emissions at organizational, process, product or supply chain levels. Various initiatives (such as the Greenhouse Gas Protocol or the Carbon Disclosure Project) motivate and assist industrial organizations in accounting for and reporting their achievements in the field. Carbon accounting should not be an isolated task for businesses. On the contrary, there is a strong need to integrate carbon accounting issues into different functional fields in order to achieve both corporate and climate policy goals.