Stimulating Green Growth in India: Policy Architecture

1
Stimulating Green Growth in IndiaPolicy
Architecture

• Green Economy for Poverty Reduction Innovation
  and Scale
• 17th Poverty Environment Partnership (PEP)
  Meeting
• K. Vijaya Lakshmi
• Development Alternatives
• Feb 6th-9th,2012
• Orcha,(M.P) India

2
Indias Development Trajectoryessential focus
economic growth and poverty alleviation

• Pre 1970
• Asset Creation Redistribution
• 1970s and 1980s
• Income and Employment Generation
• 1990s
• Liberalization and Globalization
• Environment Awareness and Integration
• Post 2000
• Towards Inclusive Growth
• Climate Awareness and Integration

3
Poverty Alleviation Key Findings

• India made steady progress in alleviating
  poverty, but not enough to achieve the MDGs
• High levels of inequality based on caste and
  gender -exacerbate the poverty of vulnerable
  groups
• Inequalities structural in nature, keeping groups
  trapped, making them unable to take advantage of
  economic growth
• Culturally rooted systems perpetuate inequality
• Women within lower groups are the worse affected
• Agriculture sector brought down levels of poverty
  from 55 in early 1970s to about 35today
• Balance needed between Agri sector and productive
  employment in nonagricultural sectors (Kirit
  Parikh)
• Reaching the poorest, the marginalized and the
  most vulnerable

4
Impact of Climate Change on India

• 700 million rural population directly depended on
  climate sensitive sectors and natural resources
• Low adaptive capacity
• 2.7- 4.3C temperature increase over India by the
  2080s (IPCC, 2007)
• Changes in rainfall pattern
• India's 7,517 km coastline will be particularly
  hard-hit by storm surges and sea-level rise
• Increase in the frequency and intensity of
  droughts and floods creating food security risk

5
Emerging Challenges and Imperatives

• Steering a Rapidly Developing Economy
• Macro-economic Issues
• Globalisation and International Trade
• Integrating Poor and Vulnerable Communities
• Internal Security and Inclusive Growth
• Migration and Trans-boundary Issues
• Arresting Ecosystems Degradation and Climate
  Change

6
Current Policy Responses

• By Government
• Central Government
• PMs Advisory Council and NAPCC
• 12th Five Year Plan, 14th Finance Commission
• Announcement of Voluntary Emissions Intensity
  Reduction
• Nuclear Energy?
• State and Local Governments
• State and Local Governments Action Plans
• Role of the Judiciary
• Traditionally very proactive tending to
  judicial activism

7
Current Policy Responses

• By Other Indian Stakeholders
• Private Sector
• Civil Society Organisations
• Research and Academic Institutions
• Media

8
Climate Change (CC) concerns in Indian planning
process
9

• Climate change integrated planning
• Planning process is guided by the principles of
  sustainable development
• Initiatives such as renewable energy
  installations introduction of green / bio fuels
  enhancing afforestation etc
• India released its National Action Plan on
  Climate Change (NAPCC)
• India has been assessed as the Best CDM country
• Forest cover is increasing, by 0.8 million
  hectares a year neutralizing 11 of Indias
  annual GHG emissions
• State of the Environment (SOE) Scheme
• Environment protection as monitorable targets
• Participatory management and Eco-development
  (Peoples Biodiversity Registers, JFM,SFM)

10

• Climate change integrated planning
• Extension of conservation and management
  programmes to fragile or vulnerable ecosystems
• Budgetary Regulations (indicator)
• Reforms in the energy and power sector
• Awareness, training, capacity Building, Research
• Development of Institutional frameworks

11
Relative Expenditures on Major Adaptation Schemes
by Thematic Area
12
Expenditure on adaptation to climate variability
Addressing Energy Security And Climate Change,
Ministry of Environment Forests Ministry of
Power, Bureau of Energy Efficiency, Government of
India October 2007
13
Thrust Areas of Policies

• Energy Security
• Access to Energy
• Energy Efficiency
• Diversification of resources
• Food Security
• Increased Production / Yield
• Integrated Farming Systems
• Efficient Irrigation Systems
• Weather / Crop Insurance

14

• Natural Resource Conservation
• Afforestation
• Integrated Management of Resources
• Participatory
• Disaster Management
• shift from R R to mitigation and preparedness
• International Cooperation
• collaborative research
• mechanisms for technology transfer
• REDD

15
Policy implications of Climate Change

• Policy imperatives for the energy intensive
  sectors such as, agriculture, industry, transport
  
• Inclusion of risk assessment and vulnerability
  studies in national infrastructure planning
• Integration of climate change scenarios into
  decision making
• at local, regional, and national levels
• Development of adaptation options such as
  ensuring high design standards for new
  infrastructure to protect against extreme events
• Integration of emissions reduction and climate
  change adaptation strategies into policies that
  seek to promote industrial growth, urban and
  rural development
• Trade policy
• Alternate sources of energy

16
National Action Plan on Climate Change 8
Missions, 2 of which are focus on Mitigation
and 5 on Adaptation
17
Case Study MNREGA potential towards Climate
Change Mitigation Adaptation
Choice of works (in ) under NREGA from
initiation up till March 2007
Source nrega.nic.in/presentations/PMOprese20-07-0
7.ppt available as on 15 June 2010
18
Various kinds of work under water conservation
under NREGA
Source Ministry of Rural Development available
19
Post Kyoto 2012 Focus

• Energy Efficiency and Emission targets well set
  to reach 25 target
• NAPCC as a Key vehicle of NAMA implementation
• If designed and implemented well, a great
  opportunity to realise policy to practice connect

20
Actions taken to reach 25 target

• Renewable Energy Certificates Trading mechanism
  - 5 trading sessions have taken place
•  
• Promotion of off grid renewables under RGGVY
•  
• National Solar Mission call for batch 2 of phase
  1 has been made.
• Invited bids for 350 MW PV capacity under solar
  mission  
•                   
• MNRE invited bids for the second batch of solar
  power projects under the Phase I of the
  (JNNSM).
• Projects selection through reverse bidding
  wherein developers shall offer discounts on the
  base tariff of Rs 17.91 per kWh. 
•      

21
Actions taken to reach 25 targetcontd

• Role of technology,innovation international
  regime
• REC, JNNSM and PAT allow registration of projects
  under CDM.
• Feasibility Studies carried our for industries
  and lighting (LED) using Japanese technology
• Delhi Metro Project was financed by JBIC.
• - Mitsubishi was instrumental in supplying
  technology for this project.

22
Proactive Measures at National Level

• Indian Network of Climate Change Assessment
  (INCCA) 127 labs on climate change impacts in
  different sectors
• Expert Group on a low carbon strategy and
  inclusive growth to recommend for prioritized
  actions in Electricity, Transport, Industry, Oil
  Gas, Buildings and Forestry
• Carbon Tax on Coal to fund Clean Energy
• Perform, Achieve and Trade Mechanism for Energy
  efficiency
• Assessment of Impacts of Climate Change on Water
  Resources, Agriculture, Forests and Human Health
• Bachat Lamp Yojana as CDM Program
• State level actions

23
India Inclusive Innovation Fund (IIIF)

• IIIF will use Rs.5000 Cr to foster inclusive
  innovation
• Focus innovative models for poverty alleviation
  
• Priority areas
• - Health
• - Rural communications,
• - Agriculture,
• - Animal husbandry and
• - Green energy.
• - Should largely be invested in Gender
  Inclusive
  innovations

24
What is Inclusive Development ?

• Development that
• Reduces poverty
• Enables all groups of people to contribute to
• - creating opportunities
• - sharing the benefits of
  development and
• - participating in decision making

25
Innovation to EmpowermentInclusivity

• Innovation to empowerment is not a natural
  transformation. It requires
• - strategic interventions
• - convergence of commitment
• - shift in paradigms
• - forging of new alliances
• - unleashing of innovations
• - an unprecedented opportunity is waiting
  for new alliances

26
THANKS