Going green: On Budget 2023’s and India’s net-zero commitment

GS Paper 3

Syllabus: Indian Economy and Related Issue/Environment-Conservation

Source: TH 

Direction: The article covers initiatives taken by India to promote Green Growth & highlights proposals in the Union Budget in this regard.

Context: The Finance Minister’s latest Union Budget 2023-24 has laid emphasis on the government’s commitment to move towards net-zero carbon emission by 2070.

Background:

• According to the World Economic Forum (WEF), India holds the key to hitting global climate change targets given its sizeable and growing energy needs.
• With the country’s population set to overtake China’s sometime this year, India’s appetite for energy to propel the economy is set to surge exponentially.
• The transition to green alternatives from the current reliance on fossil fuels is therefore an urgent imperative, as it creates an opportunity to launch new sectors and boost GDP.

The Union Budget 2023-24 announcements:

Green Growth:

• It is one of the 7 priorities (Saptarishi of Amrit Kaal) the Budget. India is implementing many programmes for –
  • Green fuel, green energy, green farming, green mobility, green buildings, green equipment and policies for efficient use of energy across various economic sectors.
• These green growth efforts help in reducing the carbon intensity of the economy and provide for large-scale green job opportunities.

Electric vehicle (EV):

• The availability of locally produced lithium-ion batteries has become essential, especially to reduce the cost of EVs.
• The Budget proposes –
  • To exempt customs duty on the import of capital goods and machinery required to manufacture lithium-ion cells.
  • The establishment of a viability gap funding mechanism to support the creation of battery energy storage systems with a capacity of 4,000 MWh.

Energy storage systems:

• Battery storage systems help to ensure that the electricity produced at peak output by wind and solar projects is stored and then supplied to match the demand.
• The Budget set aside a vital ₹8,300 crore towards a ₹20,700 crore project for building an inter-State transmission system for the evacuation and grid integration of 13 GW of renewable energy from Ladakh.
• The transmission line will help address hurdles in setting up solar capacity in the region, given its remoteness from India’s main power grid.

India’s initiatives to promote green growth:

India’s initiatives at the international stage:

Conclusion:

With a vision for a Lifestyle for the Environment (LiFE), India is committed to achieving net-zero carbon emissions by 2070, catalyzing a green industrial and economic transformation.

Insta Links:

Centre clears ₹19,744-crore Green Hydrogen Mission

Mains Links:

Q. Explain the purpose of the Green Grid Initiative launched at the World Leaders Summit of COP26 UN Climate Change Conference in Glasgow in November 2021. When was the idea first floated in the International Solar Alliance (ISA)? (UPSC 2021)

Prelims Links: (UPSC 2018)