India May Raise Energy Efficiency Target at COP30

24 Sep 2025

India May Raise Energy Efficiency Target at COP30

India will submit its updated Nationally Determined Contributions (NDCs) at COP30 (Belém, Brazil, November 2025).

About Nationally Determined Contributions (NDCs)

  • Definition: NDCs are country-level pledges made under the Paris Agreement (2015) to reduce greenhouse gas emissions and regulate fossil fuel consumption in order to limit global warming to well below 2°C, and preferably to 1.5°C, above pre-industrial levels.
  • Update Rule: Countries are required to update their NDCs every five years.

Emissions Intensity of GDP

  • Emissions intensity of GDP refers to the amount of greenhouse gas emissions released per unit of economic output.
  • It does not mean a reduction in absolute emissions of greenhouse gases.

India and NDC

  • India’s Commitment: As a signatory to the United Nations Framework Convention on Climate Change (UNFCCC) and the Paris Agreement, India submitted its First NDC in 2015 and Updated NDC in 2022.
  • Panchamrit: At COP26 (Glasgow, UK), India announced five key elements, Panchamrit, to intensify its climate action. These form the basis of India’s updated NDC .
    • 500 GW non-fossil energy capacity by 2030
    • 50% of total energy requirements from renewables by 2030
    • 45% reduction in emissions intensity of GDP by 2030 (from 2005 levels)
    • 1 billion tonnes reduction in total projected carbon emissions by 2030
    • Net-zero carbon emissions by 2070
      • India’s NDC does not bind it to any sector specific mitigation obligation or action.
  • India’s Last Update (2022):
    • To reduce the emissions intensity of Gross Domestic Product (GDP) by 45% of 2005 levels by 2030.
    • To source 50% of cumulative electric power capacity from non-fossil fuel sources by 2030.
    • To create a carbon sink of 2–3 billion tonnes of carbon dioxide equivalent through afforestation and reforestation by 2030.
  • Progress So Far:
    • Between 2005 and 2019, India reduced the emissions intensity of GDP by 33%.
    • As of June 2025, India reported that 50% of its cumulative electric power capacity was already sourced from non-fossil fuel sources, achieving this target five years ahead of schedule.

India’s Expected NDC 3.0 (for 2035)

  • The third NDC update (NDC 3.0) is expected to include commitments up to the year 2035.
  • Likely features include:
    • Greater emphasis on energy efficiency, including more stringent standards in industry, transport, appliances, and buildings.
    • Expansion of the Perform, Achieve and Trade (PAT) scheme, which encourages industries to adopt energy-efficient practices.
    • Operationalisation of the India Carbon Market by 2026, which will assign mandatory emission-intensity targets to 13 sectors and allow trading of emission reduction certificates.
    • Integration of Mission LiFE (Lifestyle for Environment) to encourage sustainable consumption and demand-side reductions.

Global Context

  • European Union (EU): Proposed a 66–72% emission reduction by 2035 compared to 1990 levels, though the decision has been delayed due to opposition from France and Germany.
  • Australia: Announced it will aim for a 62–70% reduction in emissions by 2035 compared to 2005 levels.
  • United States of America: Its trajectory remains uncertain due to its earlier withdrawal from the Paris Agreement.
  • China: Has not yet announced its 2035 commitments.
    • Despite these pledges, the United Nations estimates that even if all current NDCs are fully achieved, the world is still on course for approximately 3°C of warming by 2100.
  • Finance and Bilateral Mechanisms: India has signed a Joint Crediting Mechanism (JCM) with Japan to facilitate bilateral clean energy projects and share carbon credits.
    • Similar agreements are under discussion with other countries.
    • Challenges persist as developed nations withhold adequate climate finance, while developing countries like India remain dependent on fossil fuels for growth.

Significance of Raising Energy Efficiency Target

  • Cost-Effective Emission Reduction: Energy efficiency measures are often less expensive than expanding renewable energy capacity.
  • Energy Security: Greater efficiency reduces India’s dependence on fossil fuel imports.
  • Economic Co-Benefits: Energy efficiency lowers electricity bills, supports competitiveness of micro, small and medium enterprises (MSMEs), and improves affordability for households.
  • Climate Diplomacy: Raising the target would strengthen India’s leadership position in international climate negotiations at COP30.
Read More About: Blue Nationally Determined Contributions (NDC) Challenge

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UDAAN PRELIMS WALLAH
Comprehensive coverage with a concise format
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Designed as per recent trends of Prelims questions
हिंदी में भी उपलब्ध

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