India's Industrial Decarbonisation Strategy and Policy Gaps
Environment & Ecology
- PYQs8
- Articles1
Background
This concept is central to India's sustainable development goals, its international climate commitments (Paris Agreement, Net-Zero 2070), and the effectiveness of its domestic environmental policies. It highlights challenges in policy implementation and data-driven governance.
Industrial decarbonisation is a critical component of India's long-term climate goals, including achieving net-zero emissions by 2070, while simultaneously pursuing economic growth targets like Viksit Bharat (2047). It involves reducing greenhouse gas emissions from manufacturing and construction sectors.
Facts & tables
- Industrial Emissions Contribution
- Industrial sector contributed over 20% of India's total emissions in 2022, as per India's First Biennial Transparency Report (BTR1) to UNFCCC.
- Existing Mitigation Mechanisms
- Market-based mechanisms like the Perform, Achieve and Trade (PAT) scheme and the Carbon Credit Trading Scheme (CCTS) target specific energy-intensive industries (e.g., cement, steel, fertilizers).
- Policy Gap: 'Non-specific Industries'
- A significant policy gap exists as 'non-specific industries' account for over 40% of manufacturing and construction emissions but largely fall outside the scope of current mitigation policies.
- Need for Data Disaggregation
- Effective decarbonisation requires disaggregated data and targeted policies for these overlooked 'non-specific industries' to achieve national climate targets.
| Scheme | Primary Focus | Current Status/Scope |
|---|---|---|
| Perform, Achieve and Trade (PAT) | Reduce specific energy consumption | Covers 13 energy-intensive industries; 4 industries (thermal power, railways, DISCOMs, commercial buildings) continue under PAT. |
| Carbon Credit Trading Scheme (CCTS) | Reduce emission intensity | Transitioning from PAT; covers 9 industrial sectors (e.g., aluminium, cement, iron & steel, textiles). |
| Type | Reference |
|---|---|
| Conceptual area | Environmental Law & Policy |
| Conceptual area | Air Pollution & Emissions |
| Body | Role |
|---|---|
| United Nations Framework Convention on Climate Change (UNFCCC) | International reporting framework |
| Niti Aayog | Data and policy analysis |
Prelims angle
Prelims angle: Multi-statement analysis
Prelims angle: Conceptual understanding
- Industrial sector contributes >20% of India's total emissions (BTR1, 2022).
- PAT and CCTS are key market-based mechanisms for industrial emission reduction.
- PAT focuses on energy consumption, CCTS on emission intensity.
- Over 40% of industrial emissions from 'non-specific industries' are largely uncovered by current policies.
- Disaggregated data and targeted policies are crucial for effective decarbonisation and net-zero goals.
| Year | Framing tags |
|---|---|
| 2026 | Statement-based questions, Conceptual understanding |
| 2026 | Multi-statement analysis, Conceptual understanding |
| 2025 | Multi-statement analysis, Factual recall |
| 2024 | Factual recall, Conceptual understanding |
| 2023 | Statement-based questions, Conceptual understanding |
| 2022 | Multi-statement analysis, Factual recall |
| 2022 | Conceptual understanding, Terminology-based question |
| 2016 | Statement-based questions, Factual recall |
Timeline
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Environmental Law & Policy
Conceptual area
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Air Pollution & Emissions
Conceptual area
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Prelims 2016
Statement-based questions, Factual recall
-
Prelims 2022
Multi-statement analysis, Factual recall
-
Prelims 2022
Conceptual understanding, Terminology-based question
-
Prelims 2023
Statement-based questions, Conceptual understanding
-
Prelims 2024
Factual recall, Conceptual understanding
-
Prelims 2025
Multi-statement analysis, Factual recall
-
Prelims 2026
Statement-based questions, Conceptual understanding
-
Prelims 2026
Multi-statement analysis, Conceptual understanding
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India’s patchy industrial climate strategy
India's industrial decarbonisation strategy, crucial for net-zero 2070, faces challenges due to a significant portion of emissions from 'non-specific industries' being outside the scope of key policies like PAT and CCTS, necessitating better data and targeted interventions.
See also
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Past papers
2016–2026 · 8 questions
In the news
India’s patchy industrial climate strategy
India's industrial decarbonisation strategy, crucial for net-zero 2070, faces challenges due to a significant portion of emissions from 'non-specific industries' being outside the scope of key policies like PAT and CCTS, necessitating better data and targeted interventions.
Try these PYQs
Consider the following statements with reference to India's response to climate change :
I. India's Long-Term Low Emission Development Strategy (LT-LEDS) is a crucial tool for achieving net-zero emissions by 2070.
II. India's 4th Biennial Update Report (BUR-4) submitted in December, 2024 recorded around 8% decrease in Greenhouse gas emissions in 2020 over 2019.
III. Climate-resilient development necessarily depends on quick and short-term achievement of emission reduction targets.
Which of the following relationships among the above statements is/are correct ?
1. Statement I is empirically supported by statement II.
2. Statement III contradicts the approach implicit in statement I.
3. Statement I and statement III together establish the premise of long-term sustainability.
Select the answer using the code given below :
Statement I is Correct: India's Long-Term Low Emission Development Strategy (LT-LEDS) is indeed a crucial tool for achieving net-zero emissions by 2070. It outlines the strategic framework necessary for sectoral transitions in energy, transport, industry, and forestry to meet this long-term goal. Statement II is Incorrect: While India's 4th Biennial Update Report (BUR-4) does record an approximately 8% decrease in greenhouse gas emissions in 2020 compared to 2019, this decrease is attributed to the economic slowdown and lockdowns during the COVID-19 pandemic, not to structural or strategic efforts towards long-term emission reductions. Therefore, it does not empirically support the strategic framework of LT-LEDS. Statement III is Correct: The IPCC emphasizes that climate-resilient development depends on rapid, deep, and immediate emission reductions in the short term. This approach can be seen as contradicting the long-term focus of strategies like LT-LEDS if they do not also incorporate aggressive short-term actions. Therefore, the correct relationship is that Statement III contradicts the approach implicit in Statement I, making option B correct.
Consider the following statements:
1. "The Climate Group" is an international non-profit organization that drives climate action by building large networks and running them.
2. The International Energy Agency in partnership with the Climate Group launched a global initiative "EP100".
3. EP100 brings together leading companies committed to driving innovation in energy efficiency and increasing competitiveness while delivering on emission reduction goals.
4. Some Indian companies are members of EP100.
5. The International Energy Agency is the Secretariat to the "Under2 Coalition".
Which of the statements given above are correct?
Statement 1 is correct. The CLIMATE GROUP is an international non-profit organization founded in 2003, with offices in London, New York, New Delhi, Amsterdam, and Beijing. Its mission is to drive rapid climate action. This group builds and runs networks. Statement 2 is incorrect. EP100 is a global initiative led by The Climate Group and the Alliance to Save Energy (not by the International Energy Agency). Statement 3 is correct. The Climate Group's global EP100 initiative brings together a growing cohort of energy-smart companies committed to improving their energy productivity and reducing greenhouse gas emissions. By incorporating ambitious energy targets into their business strategies, leading companies are fostering innovation in energy efficiency, enhancing competitiveness, and achieving emissions reduction goals. Statement 4 is correct. EP100 has a global reach, with member companies operating in over 130 markets worldwide. India's Mahindra Group is among the frontrunners in the ongoing efforts to decrease energy consumption and carbon dioxide emissions by transitioning to renewable energy sources. Statement 5 is incorrect. The Climate Group serves as the Secretariat for the Under2 Coalition and collaborates with governments to expedite climate action through four main workstreams - Pathways, - Policy Action, - Transparency, and - Diplomacy.
Which of the following statements with regard to Green Hydrogen is/are correct ?
1. It is decarbonized hydrogen obtained from natural gas reforming combined with carbon capture and storage (CCS).
2. It is produced using electrolysis of water with electricity generated by renewable energy.
3. National Green Hydrogen Mission of India aims for abatement of nearly 50 MMT of annual greenhouse gas emissions by 2030.
Select the answer using the code given below :
Statement 1 is Incorrect: Hydrogen obtained from fossil fuels (primarily natural gas) through steam methane reforming, where the resulting carbon emissions are captured and stored using Carbon Capture and Storage (CCS) technologies, is known as Blue Hydrogen, not Green Hydrogen. Statement 2 is Correct: Green Hydrogen is produced by splitting water into hydrogen and oxygen via electrolysis, using electricity generated entirely from renewable energy sources (such as solar or wind). It is a completely zero-emission process. Statement 3 is Correct: The National Green Hydrogen Mission launched by the Government of India has set quantified targets for 2030. It aims to develop a green hydrogen production capacity of at least 5 MMT (Million Metric Tonnes) per annum. This will lead to the abatement of nearly 50 MMT of annual greenhouse gas emissions by 2030, alongside reducing fossil fuel imports and creating over 6 lakh jobs. Therefore, the correct option is B.
With reference to the Agreement at the UNFCCC Meeting in Paris in 2015, which of the following statements is/are correct?
1. The Agreement was signed by all the member countries of the UN and it will go into effect in 2017.
2. The Agreement aims to limit greenhouse gas emissions so that the rise in average global temperature by the end of this century does not exceed 2 degrees C or even 1.5 degrees C above pre-industrial levels.
3. Developed countries acknowledged their historical responsibility in global warming and committed to donate $1000 billion a year from 2020 to help developing countries to cope with climate change.
Select the correct answer using the code given below.
Statement 1 is incorrect: The agreement did not "go into effect in 2017." It was adopted in Dec 2015, signed in April 2016, and legally entered into force on November 4, 2016, after the "55/55" threshold (55 countries representing 55% of global emissions) was met. Statement 2 is correct: This is the core "temperature goal" of the Paris Agreement: keeping the increase well below 2°C and pursuing efforts to limit it to 1.5°C above pre-industrial levels. Statement 3 is incorrect: While the agreement acknowledges "Common But Differentiated Responsibilities" (CBDR), the financial commitment was $100 billion per year by 2020, not $1000 billion.
Consider the following statements:
Statement I:
Studies indicate that carbon dioxide emissions from cement industry account for more than 5% of global carbon emissions.
Statement II:
Silica-bearing clay is mixed with limestone while manufacturing cement.
Statement III:
Limestone is converted into lime during clinker production for cement manufacturing.
Which one of the following is correct in respect of the above statements?
Cement manufacturing contributes significantly to global carbon emissions, mainly due to the chemical process involved in producing clinker. ✅ Statement I: Cement industry emissions are estimated to be around 5-8% of global CO₂ emissions, making it a major source of greenhouse gases. ✅Statement II: Silica-bearing clay is indeed mixed with limestone during cement making to provide essential minerals like silicon, aluminum, and iron needed for the final product. ✅Statement III: During clinker production, limestone (calcium carbonate) is heated and converted into lime (calcium oxide), releasing CO₂ in the process. This calcination is the main source of carbon emissions in cement manufacturing. Both Statements II and III are correct, but only Statement III directly explains the source of carbon emissions mentioned in Statement I.
Show 3 more PYQs
“Climate Action Tracker" which emission reduction pledges of different countries is a:
The Climate Action Tracker (CAT) is an independent scientific analysis that tracks government climate action and measures it against the globally agreed Paris Agreement aim of holding warming well below 2C, and pursuing efforts to limit warming to 1.5C. A collaboration of two organisations, Climate Analytics and NewClimate Institute, the CAT has been providing this independent analysis to policymakers since 2009. CAT quantifies and evaluates climate change mitigation targets, policies, and actions. It also aggregates country action to the global level, determining likely temperature increases during the 21st century using the MAGICC climate model. CAT further develops sectoral analysis to illustrate the required pathways for meeting the global temperature goals.
Consider the following statements:
Statement-I: Carbon markets are likely to be one of the most widespread tools in the fight against climate change.
Statement-II: Carbon markets transfer resources from the private sector to the State.
Which one of the following is correct in respect of the above statements?
* Carbon markets, which include mechanisms like cap-and-trade systems and carbon offsets, are increasingly being used as a tool to incentivize emissions reductions and help in the fight against climate change. So, statement 1 is true. * Carbon markets typically work by transferring resources from emitters (usually in the private sector) to entities that can reduce or remove greenhouse gas emissions, which can be either private entities or the government. So, statement 2 can also be true.
One of the following regions has the world's largest tropical peatland, which holds about three years worth of global carbon emissions from fossil fuels; and the possible destruction of which can exert detrimental effect on the global climate. Which one of the following denotes that region?
Congo Basin Peatlands: The Congo Basin in Central Africa is home to the world's largest tropical peatland complex. This vast peatland stores an immense amount of carbon, estimated to be equivalent to about three years of global fossil fuel emissions. Importance of Peatlands: Peatlands are a critical carbon sink. They store more carbon than all the world's forests combined. When peatlands are drained or degraded, this stored carbon is released into the atmosphere, contributing to climate change. The Republic of Congo, the Democratic Republic of Cong and Indonesia are parties to the Brazzaville Declaration, aimed at protecting the Cuvette Centrale region in the Congo Basin, the world’s largest tropical peatlands, from unregulated land use and preventing its drainage and degradation. _Other Options:_ * Amazon Basin: While the Amazon is known for its vast rainforests, it is not the primary location of the world's largest tropical peatland. * Kikori Basin: The Kikori Basin is located in Papua New Guinea and contains significant peatlands, but not the largest tropical peatland complex. * Rio de la Plata Basin: This basin in South America is primarily known for its grasslands and is not associated with major peatland areas.