New Delhi: The urgency for climate action has never been clearer, especially for developing nations like India. With global financial commitments to support climate initiatives declining, the Indian Economic Survey 2024-25 has issued a pressing call for enhanced climate resilience measures to protect its economic growth prospects.
The survey, tabled recently in Parliament, warns of potential reworkings of climate targets due to significant funding shortages. "Given India's vulnerability to climate change, a strong adaptation strategy is absolutely necessary," the document states. It highlights the important increase from 3.7% to 5.6% of GDP allocated to adaptation expenditures from FY16 to FY22, emphasizing the role of adaptation as integral to India's development strategy.
Concerns were raised over the outcomes of the recent UN climate conference (COP29) held in Baku, Azerbaijan. The survey expressed "little optimism" for the financial package agreed upon during the conference to assist developing nations. The report pointed out, "With developed countries falling short of their Nationally Determined Contributions (NDCs) by around 38%, their actions do not reflect the historical responsibility nor leadership needed to fulfill their obligations. This gap results in more challenges for vulnerable nations like India to undertake effective low-carbon transitions."
India, ranked as the seventh most vulnerable country to climate change impacts, faces steep challenges even as it aims for economic development and equity. The report articulated the burden borne by nations like India, stating, "While greenhouse gas (GHG) emissions are global issues, the burden of climate change disproportionately falls on developing countries, who must manage the consequences of historical emissions. The costs are considerable for nations already limited by resource constraints."
India has committed to becoming net-zero by 2070 and aspiring to transition to developed nation status by 2047. Significant reliance is placed on the preparation for COP30 slated for 2025, where countries must submit revised versions of their NDCs, ideally by mid-February. India's Chief Economic Advisor, V Anantha Nageswaran, noted the stark financial challenges each nation faces relative to its climate commitments.
Nageswaran criticized the modest mobilization target of USD 300 billion annually by 2035, stating it constitutes "just a fraction" of the estimated USD 5.1 to 6.8 trillion required by 2030. He pointed to the new climate finance package as "out of sync" with timelines and actions needed to adhere to the Paris Agreement's temperature goals.
Experts are vocalizing discontent toward affluent nations, underlining their historical accountability for greenhouse gas emissions. Hisham Mundol, chief advisor at the Environmental Defense Fund, noted, "Rich countries are primarily responsible for the climate crisis, having contributed 75% of historical emissions. Therefore, they should shoulder 75% of the costs associated with the green transition." This sentiment captures the essence of climate justice, emphasizing the need for developed countries to confront their responsibilities.
United Nations frameworks dating back to 1992 stipulate responsibilities for high-income industrialized nations to provide technological and financial support to developing countries, facilitating their adaptation to climate impacts. Unfortunately, the historical polluters continue to underdeliver on these promises, often pressuring developing nations to carry significant burdens without adequate support.
Addressing the need for region-specific adaptation strategies, the Economic Survey called for investments conducive to India’s unique geographical and agro-climactic conditions. It highlighted the necessity of fostering climate-resilient agriculture, battery storage technology research, and carbon capture advancements as imperative for India going forward.
Equipped with lower per-capita emissions than many developed nations, India remains hopeful yet cautious. The overarching goal remains unchanged: to limit global warming to well below 2 degrees Celsius, with aspirations even tighter at limiting to 1.5 degrees Celsius. Current global temperature has already risen by approximately 1.3 degrees Celsius since pre-industrial times, largely attributed to fossil fuel combustion.
To keep temperature surges within safe limits, the Intergovernmental Panel on Climate Change (IPCC) recommends immediate emission reductions—requiring emissions to peak by 2025 and be cut by 43% and 57% by 2030 and 2035, respectively. Alarmingly, current national policies threaten to push the world toward approximately 3 degrees Celsius of warming by the year 2100.
Despite these looming challenges, developing nations argue their need for outside support to balance climate action with economic development. They maintain pressure on historical emitters to honor their commitments, affirming their right to equitable assistance for transitioning to greener economies.
Yet, as deadlines approach and NDC submissions loom, developing countries stand at the precipice of necessary adaptation efforts. The roadmap for clarity becomes increasingly convoluted as financial commitments fall short, raising the question of how these nations can effectively tread the path toward sustainable development without adequate support.