Green Accounting is the root which is followed towards the sustainable future. The sustainable level of income which is achieved without depleting the Natural Assets of the Nations. The Green Accounting term was first introduced into common usage by economist and Professor Peter Wood within the 1980s. The purpose of this paper is to study and analyze the available literature based on the green accounting and to understand how it has been studied and evaluated by different authors who are working in this area and the role of green accounting in developing Indian economy. Current literature focuses on Green Accounting - importance and it’s Concept in developing India. The study suggests that there should be wide empirical studies during this area so that, through the Green accounting we can analyze the environmental performance of each companies or organizations. One approach that's gaining momentum across the globe is “green accounting” where by national accounts are adjusted to include the value of nature´s goods and services. To take care of GDP growth as this is the perceived foundation upon which the future economic security of its growing population is based, but conversely, India must also take into consideration the prices of development and not self-cannibalize its rich natural capital wealth and jeopardize the very future of the people it is trying to secure. Over-reliance on GDP as a measure of economic health are often misleading. As noted way back by Robert F. Kennedy: “it measures everything, in short, except that which makes life worthwhile.” the most 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 predicated on the secondary sources with respect to the role played by green accounting in developing India. The paper is a conceptual research paper.