India Budget 2021 on Sustainability Environment

On 1st February 2020, Union Finance Minister Niramala Sitaraman presented the Union Budget for the year 2021-22 in the Lok Sabha. This post covers provisions of India Budget 2021 on Sustainability, Environment, Renewable Energy, Emissions & Climate Change

Sustainable Energy

• The Union Budget for 2021-22 has laid a major focus on capturing the emerging energy transition trends — from Renewables to Hydrogen and even Smart Metering.
• An additional infusion of Rs 1,000 crore to SECI and Rs 1,500 crore to IREDA.
• A National Hydrogen Mission will be launched in 2021-22 for generating Hydrogen from green power sources.
• 100 more cities to be added in the next 3 years to the gas distribution network.

Solar Energy

• According to the budget speech, exemption to all items of machinery, instruments, appliances, components or auxiliary equipment for setting up of solar power generation projects is being rescinded.
• Phased manufacturing plan for solar cells and solar panels to be notified
• Duty on solar inverters raised from 5% to 20%, and on solar lanterns from 5% to 15% to encourage domestic production

Ministry of New & Renewable Energy (MNRE)

• The allowance for the Ministry of New and Renewable Energy has stayed above ₹5,000 crores for the second consecutive year. This year, the allocation has been ₹5,753 crores to the ministry.
• The government would increase the capacity of renewables to 450 GW by 2030.

Ministry of Environment, Forest & Climate Change (MOEFCC)

• Budget 2022-23 allocated Rs 2869 crore for MOEFCC
• The total allocation for the five autonomous institutes under Ministry of Environment, Forest and Climate Change (MoEF&CC) has been reduced in the Union Budget 2021-2022.
• The bodies include:
  • GB Pant Himalayan Institute of Environment and Development,
  • Indian Council of Forestry Research and Education,
  • Indian Institute of Forest Management,
  • Indian Plywood Industries Research and Training Institute and
  • Wildlife Institute of India.

Emissions:

• 100% electrification of Railways to be completed by 2023.

Agriculture & Allied Sectors:

• Agriculture infrastructure fund  to be made available for APMCs for augmenting their infrastructure 
• 1,000 more Mandis to be integrated into the E-NAM market place 
• Five major fishing hubs, including Chennai, Kochi and Paradip, to be developed.
• A multipurpose seaweed park to be established in Tamil Nadu 

Climate Change

• Rs. 2,217 crore to tackle air pollution, for 42 urban centers with a million-plus population.
• Voluntary vehicle scrapping policy to phase out old and unfit vehicles. Fitness tests in automated fitness centres:
  • After 20 years in case of personal vehicles
  • After 15 years in case of commercial vehicles
• Extention of Ujjwala Scheme to cover 1 crore more beneficiaries

Others

• Recycling capacity of ports to be doubled by 2024

• India Budget 2021 on Sustainability related sectors – PIB
• India Budget 2021 on Sustainability related sectors: