With the current socio-economic challenges, India needs a people-first development paradigm to move towards a climate-safe future and become a leading voice on climate action for the Global South. With programs of policies for green fuels, climate-resilient farming, green buildings, low-carbon mobility, and efficient energy use across various economic sectors, the Budget 2023-24 lays a strong foundation for green growth – the right direction for Step one in Enabling Climate Action in India.
Finance Minister Nirmala Sitharaman’s speech builds on climate ambition for India, and in her words, “This Budget provides 35,000 crore for priority capital investment for energy transition and net-zero objectives, and energy security.
with an outlay of 19,700 crore, the Green Hydrogen Mission is expected to reduce dependence on fossil fuel imports and help India emerge as a market leader with an annual production target of 5 MMT by 2030. These measures are helpful in meeting India’s net-zero objectives under it. Updated Nationally Determined Contributions (NDCs) to 2070. We must collectively ensure that this transition is people first – where socio-economic benefits come down to addressing energy access and energy poverty in rural areas, and creating green jobs in low-income communities.
Building on the rise of climate-smart agricultural practices, an Agriculture Accelerator Fund has been set up to promote agritech start-ups in rural areas and increase productivity and profitability. Over the next three years, 1 crore farmers will be facilitated to adopt natural farming, 10,000 bio-input processing centers proposed and related GST exemptions. Climate-resilient and nutritious crops, such as millets, will be promoted through the establishment of a global center for millets, and support for the Indian Institute of Millets Research, Hyderabad – for future integration into public food systems.
The importance of nature-based solutions is also reflected in MISTI (Mangrove Initiative for Shore Line Habitat and Tangible Income), a plan to strengthen mangrove plantations and ecosystems along India’s coastlines and improve tangible income for local communities Is. The AMRUT Dharohar scheme to be implemented over the next three years for the conservation and restoration of wetlands is welcome, and is urgently needed as two out of every five wetlands in India have lost their natural existence in the last 30 years.
While the announced measures and plans are important for a green industrial and energy transition, there is little mention of the actual physical risks of climate change. 75% of India’s districts are increasingly vulnerable to unpredictable and extreme weather events, and India could be one of the first places in the world to break human survivability limits with extreme heat waves. India’s annual adaptation cost is estimated at $45.3 billion (more) 3.7 trillion), and losses and damages from floods and storms alone cost India $7.6 billion (over 62,000 crore) in 2021. Over 100 crore people have been affected by natural disasters since 2001; the loss is greater 13 trillion, about 6% of India’s GDP (adjusted with 2021 prices).
Such overwhelming data leaves no other conclusion; Deep climate budgeting should aim for climate-proof development plans – including financial security plans, water budgeting, rural/urban planning and agriculture. Yet, budgetary allocations for inclusive growth are unclear about how and whether they account for those risks. For example, it is not clear how risks such as land subsidence in Joshimath will be integrated into the proposed sustainable city model for climate-proof human settlements.
India’s position as the seventh most vulnerable country to climate change and the third largest emitter in the world places us in a unique position; We have to grow while decarbonizing. But in a world where CO2 emissions occupy a disproportionate share of climate conversations, physical climate risks are forcing us to take a hard look at what we’re solving. While improving our economic trajectory and strengthening climate change mitigation, we are also tasked with a deeper challenge of adaptation and resilience – ensuring that every community has access to water, shelter, livelihoods in the face of climate risks. and access to food. While this inalienable, collective right to development will require capital, domestic and international, and the integration of climate risk data into our welfare models, such a climate-conscious budget is an essential foundation for our future.
Shloka Nath is the acting CEO of the India Climate Collaborative.
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