At ET NOW Global Business Summit 2024, experts in a panel discussion on climate change and business, largely agreed that India has made significant strides in climate action but faces hurdles on the path to net zero emissions. The session titled “Aligning with global net zero targets: cross-domain and cross-disciplinary approach” was between
“If we observe the state of climate actions recent past, we have witnessed a surge in the climate actions, but a lot needs to be done,” said the panel moderator, Subrata Chakrabarty, Associate Director- Climate Program, World Resource Institute.
India has set ambitious targets including getting 50% of energy capacity from renewables and reducing emissions intensity by 45% by 2030. Panelists noted India is already at 40% renewables capacity and a 25% reduction in emissions intensity showing good progress.
However, ongoing economic growth means rising energy needs. The challenge and opportunity lie with India’s growth, the challenge lies in how we move towards not just reducing intensity, but move towards reducing total emissions.
The manufacturing industry is responsible for 40% of India’s emissions so far and has further potential for reductions. But decarbonization plans must balance environmental sustainability, energy security including reliable and affordable power, and managing the transition for impacted industries like coal. Multiple panellists emphasized support for displaced workers as fossil fuel plants phase down.
Financing large-scale infrastructure like industrial parks and corridors also poses hurdles. Innovative private financing will be needed longer-term but government funding is bridging gaps for now.
Panellists offered solutions like focusing on electrification over hydrogen, integrating sustainability in industrial park ratings, and clear renewable energy policy to attract investment. But India must grapple with bureaucracy, state differences, and social priorities like rural electrification alongside climate action.
The path forward promises environmental progress but demands navigating economic priorities. As Fazil Abdul Rahiman, VP Sustainability & Climate Change, TAQA, summed up, “The good news is we are already at 25% [emissions intensity decline]. That is looking strong. But there is a lot of growth which comes into play and that’s where India has all the good levers in place.”
