India has embarked on a path to accelerate its development efforts with citizens at the core. The Union Budget outlined clear priorities for productivity and resilience in agriculture, employment and skilling, improved human resources, social justice, manufacturing and services, urban development, energy security, infrastructure, innovation, research and development, and next-gen reforms that will help achieve the goals for a Viksit Bharat.
Energy security has emerged as a key area of priority due to increasing consumption and the impacts of climate change being experienced. The Economic Survey emphasised that climate change creates significant costs and requires policymakers to carefully navigate the trade-offs between energy security and economic development, as well as the transition to sustainable energy sources.
The Budget has been successful in outlining a plan to address the energy transition needs of both people and businesses. Allocations for the PM Surya Ghar Muft Bijli Yojana will enable 1 crore households to obtain free electricity up to 300 units each month, powering households across the solar value chain. This initiative will address the energy needs of the people while creating a pathway for energy transition and sustainability as it reduces demands on energy grids and accelerates distributed solar adoption. Additionally, it will create a positive impact through increased skill development and employment in the sector.
Climate finance
Climate finance is going to be key in addressing the harsh impacts that communities face. The government’s aim is to develop a taxonomy for climate finance to help improve the availability of funds for climate adaptation and mitigation.
The government has made its stance clear with its announced initiatives to promote and shift to cleaner energies. I look forward to the roadmap that the government aims to set up for hard-to-abate sectors. The government is set to kick off an investment-grade energy audit for traditional micro and small industries across 60 and then 100 clusters. These clusters will receive financial support to shift towards cleaner energy sources and adopt energy efficiency measures.
According to a Statista report, the trend shows an increase in urbanisation by 4 per cent in the last decade. The increasing pressures on cities have been seen through issues such as water scarcity and poor waste management. As part of the urban development priority area, it is commendable that the government is promoting efforts towards water supply, sewage treatment, and solid waste management projects and services for 100 large cities through bankable projects. This will help conserve freshwater as well as utilise treated water for irrigation and other non-potable purposes.
Upgrading ITIs, making course content aligned with industrial needs, and imparting skills is great to see in this budget. Creating jobs that pay at least “living wages” is what our country badly needs. However, what is disappointing is that CSR money has been allowed to be invested in internships in one’s own company. To me, that breaks the spirit of CSR!