Long-term, affordable climate finance necessary to meet transition goals

New Delhi: Availability of long-term and affordable climate finance and effective enforcement of renewable purchase obligations (RPOs) are needed to achieve energy transition objectives, according to a report. The energy and infrastructure sectors play a pivotal role in India's robust economic resurgence and provide immense opportunities, the India Energy and Infrastructure Report 2023 said.

The government has already announced mega initiatives like the National Infrastructure Pipeline and National green hydrogen mission, the report said. The government has announced a revised National Infrastructure Pipeline (NIP) target of $1.7 trillion investment during FY2024-2030, while the national Green Hydrogen Mission launched in January 2023 aims to establish India as a leader in the sector with an annual production of 5 million metric tonnes by 2030.

The initiatives are aimed at boosting economic activity in the country, besides achieving the transition goals. “However, to actualise our energy transition objectives through renewable energy, decarbonisation and sustainable development, certain challenges must be resolved in a time-bound manner through legislative, policy and regulatory interventions,” the report said. It suggested securing land for projects, availability of affordable and long-term climate finance, and addressing resistance from certain stakeholders for the deployment of solar rooftop installations, among others, it added.