| Introduction: Contextual Introduction Body: Role of India in South-South climate cooperation and how can India transition to low carbon economy Conclusion: Way forward |
Climate cooperation among developing nations, known as South-South climate cooperation, is crucial in addressing climate challenges collectively.
India’s Contributions to South-South Climate Cooperation
- Participation in International Market Mechanisms
- Internationally Transferred Mitigation Outcomes (ITMOs) under Article 6.2 enable India to trade carbon credits with other nations, attracting investment in renewable energy, sustainable infrastructure, and green technologies.
- India’s Carbon Credit Trading Scheme (CCTS) (2023) lays the groundwork for integrating domestic and international carbon markets. India’s prior experience with the Clean Development Mechanism (CDM), Energy Saving Certificates (ESCerts), and Renewable Energy Certificates (REC) enhances its engagement with carbon markets.
- Climate Finance Mobilization
- India has consistently advocated for developed nations to mobilize at least $1 trillion annually in climate finance for developing countries.
- Article 6.2 provides India an opportunity to generate financial resources by selling carbon credits to developed countries while using revenues to support climate-resilient infrastructure domestically and across the Global South. India’s renewable energy sector attracted over $10 billion in FDI in 2022, a trend that could be further amplified by ITMO transactions.
- Technology and Capacity Building in Developing Countries
- India has identified 14 key activities for international collaboration under Article 6.2, including Renewable Energy (RE), energy storage, and Carbon Capture, Utilization, and Storage (CCUS).
- Through partnerships with South Korea, the European Union, and Japan, India seeks investment and expertise in green hydrogen and sustainable aviation fuel.
- South-South Cooperation with Africa: India, as a partner country, can support African nations (host countries) in solar and wind energy deployment, sustainable agriculture, and climate adaptation.
Way Forward: Strengthening India’s Climate Leadership
- Ensure Equitable ITMO Agreements: Safeguards should be in place to ensure fair benefit-sharing and prevent undue exploitation by developed nations.
- Enhance Green Finance through South-South Cooperation: Strengthening partnerships with African, ASEAN, and Latin American nations to create regional climate finance mechanisms.
- Expand Research & Innovation in Clean Technologies: Focus on scaling up green hydrogen, CCUS, and sustainable energy storage to maintain a competitive edge in carbon markets.
Conclusion
India’s proactive role in South-South climate cooperation enhances its global stature as a leader in the low-carbon transition. By fostering inclusive and transparent partnerships, India can drive sustainable development while ensuring equity in the global fight against climate change.
