Decarbonisation of India’s Emission-heavy Sectors

Syllabus :GS3/Environment

In News

• A new study by the Centre for Social and Economic Progress estimates that India will need an additional $467 billion by 2030 to decarbonise four major emission-heavy sectors: steel, cement, power, and road transport.

What Does Decarbonisation Mean?

• Decarbonisation is the process under which carbon dioxide emissions (or its equivalents) are reduced to achieve a lower output of greenhouse gasses.
• As per the Paris Agreement, reducing the amount of carbon dioxide from transport and power generation is essential to meet global temperature standards. 
• This process involves using renewable energy sources like wind, solar, and biomass.

Need of Decarbonisation of India’s emission-heavy sectors

• Steel, cement, power, and road transport together account most of India’s CO₂ emissions.
  • Reducing their carbon footprint is crucial to meet global and national climate commitments.
  • India’s Nationally Determined Contributions (NDCs) under the Paris Agreement require deep sectoral reforms.
• Public Health & Air Quality: Emission-heavy sectors contribute significantly to PM2.5 and NOx levels, impacting urban health.
• Energy Security: Reducing fossil fuel dependence enhances strategic autonomy and reduces import bills.
• Economic Competitiveness: Global markets are shifting toward low-carbon supply chains; India risks losing trade advantages without green transitions.

Challenges

• Environmental imperative: Over 70% of electricity still comes from coal; phasing it out requires massive renewable scale-up.
• Technology Gaps: Green hydrogen, CCS (carbon capture and storage), and battery storage remain costly and underdeveloped.
• Regulatory Fragmentation: Overlapping mandates between central and state agencies slow implementation.
• Financing needs: India needs an estimated $467 billion by 2030 to decarbonize its four biggest emission sectors
  • Steel and cement—among the hardest to decarbonise—require the bulk of this investment ($251B and $141B respectively), primarily for technologies like carbon capture and storage.
  • The power sector, already transitioning to renewables, needs $47B, while road transport requires $18B. 
• Millions employed in fossil fuel sectors need reskilling and social protection.

Progress

• India has reached a major milestone in its energy transition by achieving 50% of its installed electricity capacity from non-fossil fuel sources—five years ahead of its 2030 target under the Paris Agreement. 
• This progress reflects strong policy leadership, especially through schemes like PM-KUSUM and PM Surya Ghar, which have empowered farmers and households with solar energy. 
• Utility-scale solar parks, wind energy, and bioenergy have expanded rapidly, delivering co-benefits such as rural employment, improved public health, and reduced air pollution.
• India’s achievement positions it as a global climate leader, advocating for equity and sustainable lifestyles. 

 Suggestions & Way Forward

• India achieving 50% non-fossil fuel capacity ahead of schedule highlights its strong commitment to sustainable development. 
• It proves that economic growth and decarbonisation can go hand in hand.
• As India targets 500 GW of non-fossil capacity by 2030 and net-zero by 2070, it must pursue a bold, inclusive, and tech-driven path to lead global climate action.
• To decarbonize key emission-heavy sectors, India needs sector-specific roadmaps with clear milestones, grid modernization, and strong public-private partnerships.

Source :IE