By Rajat Verma
As a distinguished member of the G20, India has evolved as a significant advocate for sustainable development and climate action. Its adherence to climate finance, particularly in holding developed nations liable for their obligations to assist developing countries in their low-carbon energy transition, deserves commendation. Through proactive approaches, India is setting an example for other countries to drive positive change in the global fight against climate change and reducing its carbon footprint. India’s journey toward achieving a net-zero economy by 2070 is an ambitious yet critical goal, as the path to a net-zero economy is filled with complexities, challenges, and uncertainties.
2070 Horizon: A Realistic Approach
India’s climate journey is multifaceted and intricate. It is a dynamic mix of diverse ecosystems, a burgeoning population, and an expanding economy. Therefore, balancing development with environmental sustainability is a task fraught with challenges and requires nuanced strategies. Unlike more developed nations, India must address the issues of poverty alleviation, ensuring access to basic amenities, and uplifting millions from socio-economic disparities. Moreover, India’s economy relies heavily on sectors such as manufacturing, and transportation, which are traditionally carbon-intensive.
Transitioning these sectors to low-carbon alternatives is a Herculean task that requires meticulous planning and concerted effort. Thus, achieving net-zero emissions by 2050, as some countries aim for, is an incredibly ambitious goal for India. The 2070 target, however, recognizes these complexities and allows for a more phased and realistic approach. It acknowledges that while rapid progress is imperative, it must be balanced with the need for equitable development.
Charting the path to net zero through net zero ministry
A dedicated net zero Ministry would serve as the linchpin in India’s climate strategy to meet the climate goals through its ambitious Nationally Determined Contributions (NDC). This ministry would establish a comprehensive framework, providing clear guidelines and directives for various sectors to align with the net-zero vision. It would facilitate collaboration between different stakeholders, ensuring a cohesive and coordinated effort.
Moreover, this ministry would drive research and innovation, fostering the development of clean technologies and solutions tailored to India’s unique challenges. It can also serve as a focal point for international cooperation, enabling India to benefit from and contribute to the global pool of knowledge and resources in the fight against climate change.
One of the most pressing tasks of a net-zero ministry would be to incentivise key sectors to actively contribute to the net-zero target through a single window system to claim tax incentives and subsidies. Industries such as energy, manufacturing, and transportation are major contributors to emissions, but they also hold the greatest potential for transformative change. Certainly, incentives will encourage these sectors to adopt sustainable practices and invest in low-carbon technologies. For instance, sectors that exceed their emissions reduction targets could be eligible for tax benefits or subsidies, while those failing to meet their goals could face penalties.
Furthermore, the Carbon Reduction Fund (CBF) can be established by the net-zero ministry in collaboration with other ministries such as MoEF&CC, MeitY, DPIIT, key industry stakeholders, and financial institutions to encourage green financing and investments in renewable energy projects. Loans and investments are to be provided through the funds to stimulate the research and development in low-carbon technologies and to generate opportunities for sectors that embrace sustainable practices to access international markets with less stringent carbon requirements, thereby promoting sustainable exports.
India has taken a momentous step by introducing the Carbon Credit Trading Scheme (CCTS) to create a thriving domestic carbon market, encouraging industries and entities to reduce their carbon emissions through a market-based approach. The unwavering support of the net zero ministry amplifies the impact of the scheme by streamlining the climate initiatives, and incubators for innovation, encompassing financing, cross-sectoral knowledge sharing, and building climate-resilience communities.
Another critical task for the ministry would be to set clear priorities in India’s climate agenda as it because it enables the efficient allocation of resources and ensures that the nation stays on track to meet its long-term net-zero goals. These priorities might include increasing the share of renewable energy sources, promoting energy efficiency in industries, and enhancing electrifying transportation.
This approach will help the ministry monitor progress, identify bottlenecks, and adapt strategies as needed. It also provides a roadmap for other ministries and government agencies to align their policies and actions with the overarching climate objectives.
Ambition to leadership
India’s commitment to a net-zero economy by 2070 signals a visionary stride towards environmental leadership on the global stage. As a rapidly developing nation, India has a unique opportunity to pioneer climate action, showcasing sustainable growth models for others to emulate. On account of this, a dedicated net zero ministry would not only propel India into a position of pioneering leadership in shaping the global climate agenda and sustainability but also signal to the international community that India is taking its responsibilities dedicatedly and is willing to play a proactive role on a shift toward green energy.
The author is the Founder & CEO of Lohum Cleantech.
Disclaimer: The views and opinions expressed in this article are solely those of the original author. These views and opinions do not represent those of The Indian Express Group or its employees.
