Budget fillip to clean energy initiatives

Source:https://www.xenius.in/budget-fillip-to-clean-energy-initiatives/

In tune with India’s commitment at COP26, the Union Budget contains several proposals that reflect Government’s focus on clean energy. FM’s allocations for Green Bonds, Clean Development Institutions and Saksham Anganwadis are among the slew of steps announced in the Budget 2022-23 presented to Parliament on February 1.

In the Union Budget presented by Finance Minister Nirmala Sitharaman on February 1, the Government has kept ‘clean energy’ at the core of its future planning. The Government is also keen on shifting the focus to the production of solar energy, as reflected in the Budget.

The FM announced allocation of Green Bonds to those projects that reduce the carbon intensity of the economy. The Government has also announced to set up Clean Development Institutions to mobilise finance. These steps are in line with India’s national commitments made at COP26.

• The FM announced allocation of Green Bonds to those projects that reduce the carbon intensity of the economy. The Government has also announced to set up Clean Development Institutions to mobilise finance.
• FM Sitharaman has also focused on making villages self-sustainable by using clean energy. The Budget has allocated funds for clean energy to almost two lakh Saksham Anganwadis, across the country.
• The Government is focused on shifting to clean energy as soon as possible. It will help India, which has 14 out of 15 most polluted cities in the world, to reduce its pollution levels drastically.

The COP26 summit, held at Glasgow in November, 2021, was attended by all the countries that have signed the United Nations Framework Convention on Climate Change (UNFCCC) since 1994. At this conference, Prime Minister Narendra Modi made a commitment to cut the country’s net emission to net-zero by the year 2070.

The Government has allocated Rs 19,500 crore for the Production Linked Incentives (PLI) scheme to boost the manufacturing of high-efficiency solar Photovoltaic (PV) modules. India has made a commitment at COP26 that by the year 2030, it will get 50 per cent of its energy from renewable resources. India’s commitment also includes the reduction of the total projected carbon emissions by one billion tonnes by the year 2030.

FM Sitharaman has also focused on making villages self-sustainable by using clean energy. The Budget has allocated funds for clean energy to almost two lakh Saksham Anganwadis, across the country. Saksham Anganwadis are the new modern Anganwadis that provide the necessary infrastructure, audio-visual aids, and now even clean energy, for early childhood development.

Besides, the Budget 2022-23 has allocated Rs 3,365 crores for the solar power sector. This includes both the grid interactive projects and the off-grid projects. The solar sector has seen an increase in the Budget by 29 per cent from the previous year’s Rs 2,606 crore.  The Government is focused on shifting to clean energy as soon as possible. It will help India, which has 14 out of 15 most polluted cities in the world, to reduce its pollution levels drastically.

Furthermore, the Government is planning to launch 400 new Vande Bharat trains that will run completely on clean energy. There are also plans to build special mobility zones to promote the sale of electric vehicles in the country. .