THE US and EU are major export destinations and India certainly cannot remain immune from the climate-focussed trade measures that these countries have introduced.
Let's consider the impact of Carbon Border Adjustment Mechanism or CBAM introduced by the EU. The tariff, also known as carbon border tax, will impose a carbon price on the "embedded" emissions in goods that enter the EU. Emission-intensive products like aluminium, and iron and steel that India exports to the EU are likely to be subject to a tax under CBAM once it comes into force later this year.
But the extent of the impact is difficult to gauge as India so far does not have a have a single domestic carbon price, which can be used under CBAM to equalise the price of carbon between domestic products and imported commodities. The Rajya Sabha has approved a domestic carbon market last year, but it will be fully operational by 2026. Besides, many companies in the country have already adopted voluntary climate targets. An analysis by the Centre for Science and Environment (CSE), Delhi, shows that the emission reduction targets set by many Indian steel players are even more ambitious than the National Steel Policy 2017. "The National Steel Policy 2017 targets 2.2 to 2.4 tonnes of CO₂ per tonne of steel (from the blast furnace-basic oxygen furnace route), whereas companies like Tata Steel and jsw Group have set targets below 2 tonnes,” says Parth Kumar of cse’s industrial pollution unit. Companies are also geared towards decarbonisation by following strategies such as carbon capture storage and utilisation, scrap-based steel manufacturing and the use of plastics as a fuel, despite the absence of a well-defined policy framework for such technologies and interventions, he says.
Denne historien er fra February 16, 2023-utgaven av Down To Earth.
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Denne historien er fra February 16, 2023-utgaven av Down To Earth.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
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A SPRIG TO CARE FOR
Punarnava, a perennial herb, is easy to grow and has huge health benefits
DIGGING A DISASTER
Soapstone mining near Dabti Vijaypur village has caused many residents to migrate.
REVIEW THE TREATMENT
Several faecal sludge treatment plants in Uttar Pradesh suffer from design flaws that make the treatment process both expensive and inefficient
MAKE STEEL SUSTAINABLE
As India works to double its GDP by 2030, its steel industry must balance growth with sustainability. By embracing policies like the Steel Scrap Recycling Policy 2019 and adopting green technologies, India is paving the way for a more sustainable future in steel production
Can ANRF pull off the impossible for India?
Anusandhan National Research Foundation is expected to reorient India's innovation goals but funding issues, old mindsets remain a drag
TROUBLED WOODS
Forests are a great bulwark against climate change. But this is fast changing. AKSHIT SANGOMLA travels through some of the pristine patches of the Western Ghats to explore how natural disturbances triggered by global warming now threaten the forest health
BLINDING GLOW
The science is clear: increased illumination has damaging consequences for the health of humans, animals and plants. It’s time governments introduced policies to protect the natural darkness and improved the quality of outdoor lighting.
GROUND REALITY
What happens when the soil loses the ability to grow healthy, high-yield crops on its own?
GM POLICY MUST BE FARMER CENTRIC
On July 23, the Supreme Court of India directed the Union government to develop a national policy on genetically modified (GM) crops for research, cultivation, trade and commerce through public consultation.
Vinchurni's Gandhi
A 96-year-old farmer transforms barren land into a thriving forest in drought-prone region of Satara