What should India do?
1
Enhance its NDC to be 1.5 degree aligned by COP27:
- Formulate a LTS that is aligned with Net-Zero 2070 commitments and Paris 1.5
- Formulate a coal retirement plan that includes the welfare of and is just toward coal-dependent communities
- Develop a coherent adaptation action plan with robust financing, monitoring and reporting structures
- Build alignment and coherence with state and sub-national action plans – Create clear targets for electrification of public and private transport and enforce government fleet electrification
- Provide adequate guidance and support in the decarbonisation strategy for economy-wide transition with a focus on micro, small and medium enterprises, and without structural biases toward high-capital industries
2
Build a just and resilient recovery plan:
- Encourage greater sign-up of businesses to support green recovery measures
- Focus on expanding renewable, electric vehicle, hydrogen, sustainable construction industries with the potential to deliver long-term growth
- No expansion of greenfield coal mines or coal plants
What you need to know about India?
- India’s public climate action and decarbonisation includes multiple avenues of planning and is implemented through a multi-level governance structure that includes the central government, state government and local administrations.
- The country has a National Action Plan on Climate change which broadly guides missions, interventions and central government expenditure. Although central government policy provides the signals for future growth and development objectives, cumulative effect and implementation depends on the state-level plans, budgets and delivery mechanisms.
- The central government has also used specific targeted policy interventions and schemes outside the NAPCC to drive structural reform, with decarbonisation and resource efficiency as pivotal criteria. India is relatively ambitious compared to other large economies with moderate but steady progress on energy transition and transport electrification. Over 80% of India’s climate finance and investments are domestic.
- The central government is actively working to introduce new financial mechanisms including green bonds, a sustainable finance taxonomy for carbon pricing and emission trading, and emissions trading platforms
Recovery Measures to Highlight
- India has passed a USD266bn stimulus package so far. Initial measures have largely focused on support for healthcare and welfare. Subsequently, fiscal measures have included the agricultural sectors and businesses
Recent developments, threats and levers for action
Recent developments
- The PM has recently also launched the LIFE campaign ( lifestyle for environment) to further the idea of healthy and sustainable lifestyles and make a case for citizen involvement in climate action. The government is placing significant emphasis on this theme.
- Under green recovery, economic stimulus first needs to support improving healthcare and reducing health-related impacts, which can include air pollution through emission regulations and cycling / walking. Return of ‘pollution season’ across Northern India is an important reminder to prioritise the actions
- Green stimulus should focus on supporting emerging industries which have the potential to deliver long-term growth, such as renewables, EVs, hydrogen, bioenergy, sustainable construction, etc
- India’s leadership of key international coalitions e.g. International Solar Alliance (ISA), Coalition for Disaster Resilient Infrastructure (CDRI) and Leadership Group for Industry Transition (LeadIT)
- The case for RE to be built around energy access and energy security (two top national priorities). This will depend partly on successful electricity market reforms and deployment of flexibility technologies. With large increase in demand for air cooling, improving EE and phasing out HFCs will be key
- Ensuring a just transition is paramount, principally in coal and agriculture
- Material demand and industrial energy consumption growth will be the major drivers of emissions in India out to 2050. Decarbonization roadmaps for heavy industry sectors will be crucial to try and avoid lock-in to high emitting technologies and understanding stranded asset risk for plants being built now
- State-level action plans are currently being revised, opportunity for organizations to build capacity at sub-national level to help deliver a prosperous transition that is sensitive to local issues
Strengths
- Clear signals to increase investments and develop strategies for transition in multiple sectors including power, transport, heavy industry and construction
- Government support and recognition of domestic and global economic opportunities from the new energy economy, ambition to become a global hub for decarbonisation
About Climate Diplomacy Snapshots
The data is clear. Accelerated and enhanced action is needed now to build resilience and avoid the worst impacts of climate change. As they seek to address the ongoing health, economic and social impacts of COVID-19, governments should seize opportunities to invest in a recovery that will build social, economic and climate resilience on the long-term.The Climate Diplomacy Snapshots aim to provide the climate community with a clear overview of what each country should do, on climate and recovery, to pursue these joint objectives and keep the global average temperature increase to 1.5°C. Each has been prepared with the help of national experts, and will be regularly updated. The snapshots aim to support climate advocacy in the lead up to COP26.
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