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Renewable energy with energy storage is also expected to be cheaper than coal within this decade, driven partly by the government’s $2.5 billion boost for energy storage manufacturing in India.ĭisplacing coal as the grid’s primary generation source seems technically and economically viable at last.Ī farmer works near solar panels in a village about 30 miles from Ahmedabad. That’s an ambitious increase, but it draws inspiration from evolving realities: Electricity generated from renewables is now cheaper at auction than coal-fired power. In its national policies, India has stated that it intends to more than triple nonfossil electricity capacity to 500 gigawatts by 2030. It added 15.4 gigawatts of solar and wind capacity in 2021-22, the third-highest increase in the world. India currently meets about a quarter of its electricity demand with nonfossil energy, about 160 gigawatts of power generation capacity in all.
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India’s state climate policies are more ambitious There is considerable debate around what each country’s “ fair share” of the global carbon budget is, given industrialized countries’ significantly larger contribution to per capita and cumulative greenhouse emissions. Views differ on whether this is acceptable. A fast-growing country can reduce its emissions per GDP and increase its emissions. While these targets are an improvement over India’s commitments when it joined the Paris climate agreement in 2015, they are largely a continuation of the country’s “business-as-usual” emissions trajectory. The other is to increase “non-fossil” electricity – solar, wind, nuclear and hydropower – to half of the country’s electricity capacity. One is to reduce emissions per unit of gross domestic product, or GDP, by nearly half, relative to the year 2005. India’s new climate commitments are expected to include two targets for 2030. These mixed signals could slow down India’s burgeoning energy transition and hamper its ability to raise international climate finance. However, its NDC commitments are expected to significantly understate the ambition in its own national climate policies. India has the potential to set the tone for emerging economies’ climate action over the coming decade. This month, India is expected to submit its second set of international climate commitments, known as its Nationally Determined Contribution, or NDC, to the United Nations, including its short-term climate targets and strategies for meeting them. So, when the dust settled around the net zero announcement, scrutiny turned to India’s short-term ambitions for the coming decade. At the same time, energy demand is rising in a country forecast to pass China as the world’s most populous in 2023. The previous year, cyclones, flash floods and extreme rainfall destroyed more than 12 million acres of crops, contributing to a global spike in food prices. New Delhi endured extreme heat for several weeks in early 2022, with temperatures regularly crossing 104 degrees Fahrenheit (40 Celsius). However, climate change is threatening lives, crops and India’s economy today. It was a landmark decision, acknowledging that long-term decarbonization is in India’s interest. At the United Nations climate talks in Glasgow in 2021, Indian Prime Minister Narendra Modi surprised the world when he announced that his country would zero out its greenhouse gas emissions by the year 2070.