Tuesday 4 September 2012

India can cut agricultural emissions & subsidies by creating a market for farm offsets


Ashok Gulati & Jyoti Gujral
India has committed to a non-binding target to cut its emission intensity by 20-25% (from 2005 levels) by 2020. This does not include agriculture. To meet this target and to adapt to climate change without sacrificing growth, India has articulated the National Action Plan for Climate Change (NAPCC) with eight programmes.

Faster growth will raise energy demand by about five times, from 725 billion units now to 3,600 billion units by 2030. Energy is the biggest polluter, contributing 58% to greenhouse gas emissions, followed by industry (22%) and agriculture (18%). Within energy, power generation by thermal stations is the worst polluter. Land use, land use changes and forestry(LULUCF) is a net sink that sequesters carbon (see accompanying graph).

And here is an opportunity for agriculture to gain, provided there is a clear vision and courage to implement this. Lower costs and pollution are added benefits.

India has two objectives: one, cut carbon through conservation and energy efficiency - 15% savings on generation - and, two, switch to renewable energy, to reduce share of fossil fuels in power generation. We have introduced several market-based instruments based on the polluter-pays principle. Renewable energy generation also benefited from carbon credits when carbon markets were vibrant, without any burden on the exchequer for these shifts and creating a domestic market for offsets.

Agriculture can offer one more market-based instrument. Within agriculture, livestock is the largest contributor of greenhouse gas emissions (63%), followed by paddy cultivation (21%). Agriculture contributes 90% to nitrous oxide emissions from fertiliser and irrigated paddycultivation.
Original Article Here

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