Green accounting is a popular term for combined environmental and economic accounting at national and corporate levels. The purpose is to capture the long-term sustainability of economic performance, undermined by environmental impacts. Long lists of environmental and sustainable development indicators fail to assess sustainable economic growth and development in a comprehensive and transparent manner. The more systematic greening of the national accounts succeeds in defining and measuring the environmental sustainability of economic activity. Green Accounting is the route which is followed towards the sustainable future. The sustained level of income which is achieved without depleting the Natural Assets of the Nation is through Green Accounting. When the Economic Damages are considered with respect to the exhaustion of Natural Resources while determining the Income of the nation it is known as Green Accounting. The main objective of the study is to understand the role played by Green Accounting in the development of the Indian Economy and also its objectives, stages, form, need and challenges. Methodology of the paper is based on the secondary sources with respect to the role played by green accounting in developing India. The paper is a conceptual research paper. Willingness of adopting green accounting is not enough, it must be done also. Knowledge regarding the importance of green accounting is not enough, must be applied in the working as well. Just the urgency of doing is not sufficient; everything must be brought into action as well.