INDIAN ECO GROWTH VS EMISSIONS

Last Updated on 11th December, 2024
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Picture Courtesy: https://www.thehindu.com/opinion/op-ed/the-issue-of-indias-economic-growth-versus-emissions/article68962376.ece#:~:text=However%2C%20India's%20Economic%20Survey%20(2023,a%20CAGR%20of%20just%204%25.

Context: According to the Indian Economic Survey (2023–24), India has decoupled its economic expansion from greenhouse gas emissions. India's GDP increased at a compound annual growth rate (CAGR) of 7% between 2005 and 2019, whereas emissions increased at a slower CAGR of 4%. 

What does "decoupling" mean in the context of economic growth and environmental degradation?

The term "decoupling" refers to the breaking of the link between economic growth and environmental degradation. Historically, economic growth has been linked to environmental harm, mostly greenhouse gas (GHG) emissions. 

Decoupling aims to promote economic growth while reducing or eliminating negative environmental impacts, mainly in terms of emissions.

Types of decoupling

Absolute decoupling occurs when the economy expands while emissions decline. It represents the ideal form of decoupling, in which economic growth is achieved without increasing environmental harm.

Relative decoupling occurs when both GDP and emissions increase, but the rate of GDP growth exceeds that of emissions growth. This indicates progress, but emissions continue to rise, however at a slower rate than GDP.

Significance of decoupling economic growth from GHG emissions 

Decoupling is essential for long-term development because it allows countries to maintain high living standards and economic growth while mitigating climate change. 

It provides a path for growth that does not harm the environment, promoting long-term sustainability.

It addresses the tension between economic growth and the urgent need to combat climate change.

Economic Survey (2023-24) on decoupled economic growth from GHG emissions

According to the Economic Survey, between 2005 and 2019, India's GDP grew at a compound annual growth rate (CAGR) of 7%, while emissions increased at a CAGR of only 4%. This suggests that India has achieved some level of decoupling, though the Survey does not specify whether it is absolute or relative decoupling.

What type of decoupling has India achieved according to the analysis of the Economic Survey?

India has probably achieved relative decoupling. Since 1990, GDP growth has surpassed emissions growth, but emissions continue to rise, however at a slower rate than GDP. This suggests that India's economic growth has been associated with a slower increase in emissions, rather than a decrease in emissions.

Why is achieving absolute decoupling important, and how far is India from this goal?

Absolute decoupling is significant because it represents the ideal scenario in which economic growth persists while emissions decrease. It remains a distant goal for India, as emissions are expected to rise with continued economic growth, as the country's emissions have not yet peaked. 

Achieving absolute decoupling will be a difficult task that will require significant policy changes and technological advances.

What are the main sectors contributing to GHG emissions in India?

Agriculture and manufacturing are the primary contributors to India's GHG emissions. While the analysis shows that India has achieved economy-wide relative decoupling, it is unclear whether these specific sectors were able to decouple emissions from economic growth at the sector level. Sector-specific decoupling requires additional detailed assessments.

Steps to progress towards absolute decoupling

Investing in clean technologies, improving energy efficiency, and strengthening emission reduction measures will be essential for ensuring that economic growth does not come at the expense of environmental degradation. 

Though relative decoupling is a positive step, absolute decoupling requires more significant efforts, especially in emissions-intensive sectors.

Way Forward

Absolute decoupling is required for India to meet its long-term climate commitments, especially as part of global climate change mitigation efforts. If emissions continue to rise despite economic growth, meeting international climate targets, such as those set by the Paris Agreement, will be difficult. India must make the shift to complete decoupling to fulfill its climate commitments and ensure a sustainable future.

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Source: 

The Hindu

PRACTICE QUESTION

Q. Critically analyze India's progress in decoupling economic growth from greenhouse gas emissions, as outlined in the Economic Survey (2023-24). What challenges does India face in achieving absolute decoupling? (250 words)

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