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India, the world's third-largest greenhouse gas emitter, is committed to reducing its carbon footprint while addressing poverty, economic development, and energy access. The country's climate mitigation policy focuses on renewable energy, with ambitious targets for solar and wind power. India's solar industry is expanding rapidly, and the government is incentivizing renewable energy investments and eliminating barriers. The wind energy industry is also poised for strong growth. India's climate plan includes initiatives to improve energy efficiency, promote green buildings, and shift the transport sector towards cleaner fuels.
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NOVEMBER 2016 IB: 16-10-D
www.nrdc.org www.facebook.com/nrdc.org www.twitter.com/NRDC
I S S U E B R I E F
For more information, please contact: Han Chen hchen@nrdc.org https://www.nrdc.org/experts/han-chen
INDIA WILL CUT
ITS EMISSIONS
INTENSITY BY
OF 2005
LEVELS
With 1.2 billion people and counting, India holds nearly one-fifth of the world’s population. 1 In 2013, India was the third-largest emitter of GHGs, ranking behind only China and the United States and accounting for 6 percent of the global total. 2 Nearly 22 percent of its population earns less than $1.25 per day, and over 200 million people are without access to reliable electricity; accordingly, poverty alleviation, economic development, and energy access are top priorities for the Indian government. 3,4^ As India works toward these goals, its gross domestic product (GDP) is expected to grow 6 to 7 percent each year over the next decade. 5 To achieve low-carbon economic growth, the
Indian government has committed to global environmental leadership while using clean energy resources to power a sustainable and prosperous future for a rapidly growing population.^6 As of March 2015, electricity generated by coal-fired plants constituted 61 percent of India’s installed capacity. Another 15 percent comes from hydropower, 13 percent from renewable energy sources, 9 percent from oil and gas, and 2 percent from nuclear plants.^7 While coal consumption will still increase with India’s energy needs, its share of the overall energy mix will decline in the coming decades as renewable energy increases.
Page 2 THE ROAD FROM PARIS: INDIA’S PROGRESS TOWARD ITS CLIMATE PLEDGE NRDC Page 3 THE ROAD FROM PARIS: INDIA’S PROGRESS TOWARD ITS CLIMATE PLEDGE NRDC
The Paris Agreement entered into force on November 4,
Renewable energy is the foundation of India’s emissions reduction strategy. India has expanded its Jawaharlal Nehru National Solar Mission (NSM) and set a target of 100 gigawatts (GW) of installed solar energy capacity by
Under India’s National Mission for Enhanced Energy Efficiency, the Perform, Achieve, and Trade (PAT) program encourages energy-intensive industries—such as thermal coal power plants and cement and steel manufacturing— to become global efficiency leaders. India also has strong standards and labeling programs for key appliances such as air conditioners, fans, and lighting fixtures. 18 Other key initiatives include: n (^) The Market Transformation for Energy Efficiency program, which uses innovative measures to accelerate the shift to energy-efficient appliances and equipment in designated sectors. n (^) The Energy Efficiency Financing Platform, which creates mechanisms to finance demand-side management programs to reap energy savings. n (^) The Framework for Energy-Efficient Economic Development, which develops fiscal instruments to promote energy efficiency. The National Mission for Enhanced Energy Efficiency is delivering savings of millions of tons of fuel and conserving gigawatts of energy while reducing greenhouse gas emissions. 19
India is expecting 400 million more people to move to already resource-strapped urban areas by 2050, increasing demand for energy and new infrastructure. 20 Energy codes (such as the Energy Conservation Building Code) and ratings systems (including the Green Rating for Integrated Habitat Assessment for all new government buildings) are expected to reduce cumulative electricity consumption by 3,453 terawatt-hours (TWh) by 2030. This is equivalent to the annual energy use of 358 million Indian homes between 2014 and 2030, based on the current annual consumption level for households with electricity. 21 The aforementioned Energy Conservation Building Code, which incorporates energy efficiency measures into building construction, has been adopted by 10 leading states. India already ranks fourth in the world in Leadership in Energy and Environmental Design (LEED)–certified buildings, with 13.24 million gross square meters of certified LEED space. 22
The Indian automobile market is expanding rapidly, so stronger fuel efficiency standards are critical for reducing emissions intensity in the transport sector. In a strong move, the Indian government has decided to leapfrog from the current BS IV vehicle emission norms straight to BS VI norms (equivalent to Euro VI emission standards) by
India’s GHG Emissions Including LULUCF
MMTCO
e 2
8,
7,
6,
5,
4,
3,
2,
1,
0 2000 2005 2010 2015 2020 2025 2030 2035
Historical Emissions
Reference Scenario
INDC (33%)
INDC (35%)
Copenhagen pledge 20% reduction
Copenhagen pledge 25% reduction
Source: Natural Resources Defense Council; Reference Scenario, based on Government of India Biennual Update Report, emissions projections from IESS 2047’s Least Effort Scenario, India’s INDC submission to the UNFCCC and calculations using World Bank 2005 GDP and OECD GDP growth projections of 5.8 percent.
THE PARIS AGREEMENT
In late 2015, the 21st session of the Conference of the Parties (COP21) to the 1992 United Nations Framework Convention on Climate Change (UNFCCC) was held in Paris. The 196 nations that are part of the UNFCCC approved the Paris Agreement, which aims to limit global temperature rise to 2 degrees Celsius, and to make best efforts to keep it to 1.5 degrees. To that end, countries submitted intended nationally determined contributions (INDCs) detailing the level to which they planned to cut emissions and their plans to reach that goal. The Paris Agreement entered into force on November 4, 2016—and the INDCs are now formally enshrined as part of the Agreement—and hereafter referred to as nationally determined contributions (NDCs).