how new indian government can reinvent sustainable development for all teri's agenda

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5/14/2014 How new Indian government can reinvent sustainable development for all - TERI's Agenda http://www.teriin.org/featured_services/may/index.php 1/13 The Energy and Resources Institute Creating Innovative Solutions for a Sustainable Future Search Go Feature Service Latest News and Views on Sustainable Development THE COSTS OF DEVELOPMENTAL INACTION TERI'S AGENDA FOR THE NEW GOVERNMENT AND HOW IT CAN REINVENT SUSTAINABLE DEVELOPMENT FOR ALL As we gear up to welcome the New Government, the high expectations of the electorate will test the functioning of the new dispensation. To achieve tangible results in the first 100 days, the new Government will have to perform beyond expectations in the field of sustainable development, which broadly covers fundamental issues such as water, energy and food security. Here, it is important that the New Government should focus on specific policies and institutional frameworks which will help achieve quick results and reverse the current trend. The Energy and Resources Institute (TERI) has come up with an advisory that addresses not only the way forward, but deals with the critical aspect of the cost of inaction. Along with chasing targets, we need leapfrog measures, which will cover the "un-served" populations. Says Dr R K Pachauri, Director-General, TERI: "Environmental issues are often presented within the framework of conflict between environment and development. What is attempted here is a refreshing departure which provides a price tag on the damage that poor environmental quality and degradation is imposing on human society and how substantially lower-cost action can avoid this burden. What is included here are sectors largely within urban areas, but a similar analysis and presentation is essential for rural environmental degradation as well. Undoubtedly, that would be a far more complex challenge analytically, but given the large population in our villages, ignoring such analysis would be at the cost of ignoring the welfare of two-thirds of our population." TERI has proposed few quick solutions which are basic and easily implementable. The measures will not only bring down the costs of inaction, but improve the lives of millions in a sustainable manner. Here are some key issues that need to be addressed by the new government. WATER In India, more than 73 million workdays are lost each year on account of water-borne infections. Economic studies conducted at country level by the World Bank over the past 15 years have shown that impacts resulting from poor sanitation and hygiene cost countries between 0.5 per cent and 7.2 per cent of annual Gross Domestic Product. Under the Economics of Sanitation Initiative (ESI), the economic costs due to poor sanitation and hygiene have been shown to exceed 5 per cent of GDP in India. India suffers economic losses from poor sanitation of Rs 5,400 crore each year. India has been successful in providing improved water supply facilities for more than 89 per cent of rural households and 96 per cent of urban households. However, for the rural sanitation sector, only 24 per cent used improved sanitation facilities, while in urban areas, 60 per cent used improved sanitation facilities. The most disturbing trend has been that 50 per cent of people are still resorting to open defecation. The challenge now is how to provide higher levels of service with sustainable sources and systems that provide good quality water to a growing population. TERI RECOMMENDS: Development of 'Water and Sanitation Safety Plans' for Jal Boards, Urban Local Bodies and rural piped water supply and sanitation services could be made mandatory in order to maintain high standards in the sector. A high-level committee may be formed having representations from all the relevant Ministries, Boards, Water and Sanitation organizations and important stakeholders in order to ensure effective and efficient implementation of the water and sanitation safety plans. The existing tariff for water consumption for domestic use is fixed and not volume-based, which discourages the promotion of best practices for the water conservation as the users do not feel any responsibility in managing the resources. A differential tariff structure on volumetric basis is recommended. There is a need to address the core issues of establishing a standardized benchmark in water use efficiency, which would have technical as well as holistic explanations, and would be helpful in exploring the potential of establishing Hom e About TERI Research Projects Publications Events Newsroom Contact

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Page 1: How new indian government can reinvent sustainable development for all   teri's agenda

5/14/2014 How new Indian government can reinvent sustainable development for all - TERI's Agenda

http://www.teriin.org/featured_services/may/index.php 1/13

The Energy and Resources InstituteCreating Innovative Solutions for a Sustainable Future

Search Go

Feature ServiceLatest News and Views on Sustainable Development

THE COSTS OF DEVELOPMENTAL INACTION

TERI'S AGENDA FOR THE NEW GOVERNMENT AND HOW IT CAN REINVENT SUSTAINABLEDEVELOPMENT FOR ALL

As we gear up to welcome the New Government, the high expectations of the electorate will test the functioning ofthe new dispensation. To achieve tangible results in the first 100 days, the new Government will have to performbeyond expectations in the field of sustainable development, which broadly covers fundamental issues such aswater, energy and food security. Here, it is important that the New Government should focus on specific policies andinstitutional frameworks which will help achieve quick results and reverse the current trend.

The Energy and Resources Institute (TERI) has come up with an advisory that addresses not only the way forward,but deals with the critical aspect of the cost of inaction. Along with chasing targets, we need leapfrog measures,which will cover the "un-served" populations. Says Dr R K Pachauri, Director-General, TERI: "Environmental issuesare often presented within the framework of conflict between environment and development. What is attemptedhere is a refreshing departure which provides a price tag on the damage that poor environmental quality anddegradation is imposing on human society and how substantially lower-cost action can avoid this burden. What isincluded here are sectors largely within urban areas, but a similar analysis and presentation is essential for ruralenvironmental degradation as well. Undoubtedly, that would be a far more complex challenge analytically, but giventhe large population in our villages, ignoring such analysis would be at the cost of ignoring the welfare of two-thirdsof our population."

TERI has proposed few quick solutions which are basic and easily implementable. The measures will not only bringdown the costs of inaction, but improve the lives of millions in a sustainable manner. Here are some key issues thatneed to be addressed by the new government.

WATER

In India, more than 73 million workdays are lost each year on account of water-borne infections. Economic studiesconducted at country level by the World Bank over the past 15 years have shown that impacts resulting from poorsanitation and hygiene cost countries between 0.5 per cent and 7.2 per cent of annual Gross DomesticProduct. Under the Economics of Sanitation Initiative (ESI), the economic costs due to poor sanitation and hygienehave been shown to exceed 5 per cent of GDP in India. India suffers economic losses from poor sanitation of Rs5,400 crore each year.

India has been successful in providing improved water supply facilities for more than 89 per cent of rural householdsand 96 per cent of urban households. However, for the rural sanitation sector, only 24 per cent used improvedsanitation facilities, while in urban areas, 60 per cent used improved sanitation facilities. The most disturbing trendhas been that 50 per cent of people are still resorting to open defecation.

The challenge now is how to provide higher levels of service with sustainable sources and systems that providegood quality water to a growing population.

TERI RECOMMENDS: Development of 'Water and Sanitation Safety Plans' for Jal Boards, Urban Local Bodies andrural piped water supply and sanitation services could be made mandatory in order to maintain high standards in thesector. A high-level committee may be formed having representations from all the relevant Ministries, Boards, Waterand Sanitation organizations and important stakeholders in order to ensure effective and efficient implementation ofthe water and sanitation safety plans.

The existing tariff for water consumption for domestic use is fixed and not volume-based, which discourages thepromotion of best practices for the water conservation as the users do not feel any responsibility in managing theresources. A differential tariff structure on volumetric basis is recommended.

There is a need to address the core issues of establishing a standardized benchmark in water use efficiency, whichwould have technical as well as holistic explanations, and would be helpful in exploring the potential of establishing

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a 'Bureau of Water Efficiency'. The Bureau would be an autonomous institution with accountability andresponsibility to cater to the demand-side management.

An outlay of between Rs 2,72,377 crore and Rs 303165 crore is suggested for the 12th Five Year Plan for RuralDomestic Water Supply, including the component of National Rural Drinking Water Programme (NRDWP) for laggingstates, special component for scheduled castes and scheduled tribes. This would be about 305 per cent of the actualallocation in the 11th Five Year Plan for the sector. The State outlay would be Rs 1,49,807 crore - a similar increase.This would be feasible for States also, considering the increase in the 11th Plan over the previous Plan.

AIR POLLUTION

More than 80 per cent of Indian cities, where monitoring was carried out, do not meet the prescribed standards ofair quality. The particulate matter (PM) concentration have been found to be many times higher than the standardsin several Indian cities like Delhi, Ghaziabad, Gwalior, Raipur, Kanpur etc. Moreover, it is not only big cities thatshow high concentrations, but smaller cities have also recorded extremely high values.

Air pollution has been known to have grave consequences. About 620,000 mortalities have been estimated tooccur annually in India that is attributable to ambient air pollution. Not only respiratory problems, the cardio-vascular impacts are also evident, and these problems are linked to deteriorating air quality. The World Bank hasestimated the cost of damage caused by outdoor air pollution in India to be around Rs 1 lakh crore annually. This isabout 1.7 per cent of the total GDP and clearly shows a dent in the economy caused by deteriorated air quality.

TERI RECOMMENDS: Improvement in fuel quality and advancement of vehicular emissions norms is the key toreduce vehicular emissions. The emission reduction that can be accrued through the introduction of BS-VI fuelquality and vehicular norms can result in the reduction of 127,000 mortalities by 2030, and economic benefitsranging between Rs 3.9-6.7 lakh crore cumulatively till the year 2030. Benefits of implementation of these normswill soon outweigh the costs incurred on initial capital investments.

Major institutional changes required include integration of efforts from multiple sectors as most of them are inter-linked, and a regulatory body on the lines of California Resources Board should be constituted. The body should beempowered to take sector specific decisions based on scientific knowledge for control of air pollution. Whereas, thepolicy changes suggest that the transport sector should move away from the current dual fuel policy in the country.Policies on subsides on kerosene and price differential for diesel also need to be reconsidered to reduceadulteration, and market shifts that are not environment friendly. The National Program on Improved Chulha shouldbe revived with inclusion of latest research and technologies for control of indoor and outdoor air pollution due tobiomass burning.

WASTE

The process of urbanization has not only increased municipal solid waste (MSW) generation, but also led toincreasing quantity of domestic wastewater. Cities considered as engines of growth are also guzzlers of resourcesand today's mismanagement of resources is producing huge amount of wastes. The Central Pollution Control Board(CPCB) says that the annual generation of MSW is pegged at 62 million tonnes or 133,760 tonnes per day, ofwhich only 25,884 tonnes per day is treated, while the rest are disposed on land requiring around 2,12,752 m3of landfill space. The requirement of land during the next 20 years is estimated to be as high as 66,000 hectares(1,240 hectares per year).

Inappropriate management of these waste adversely impacts the environment and ecology of the region, therebycontaminating human health. For example, the cost in terms of Disability Adjusted Life Years (DALY) of diarrheafor children from poor sanitation is estimated at Rs 500 crore. A similar study by the Water and SanitationProgramme of the World Bank using data for 2006 shows that the per capita economic cost of inadequatesanitation, including mortality impact in India, is Rs 2,180.

TERI RECOMMENDS: The way to address waste mismanagement would be to build waste reduction strategies inoverall waste management programmes, increase waste processing, maximize resource recovery, recycling andensure that land requirement for ultimate disposal is minimized by adopting resource efficient processes. Thesuggested policy changes would include:

A formal waste management policy addressing all the different diverse waste streams centered aroundelements of 3Rs (Reduce, Reuse, Recycle) and the need for closing the material use cycle,Incentive-based mechanism for enhancing/promoting waste reduction and recycling-based programmes,and,Mechanism for creation and promotion of market for recycled products.

The suggested institutional changes would include:

Integration of clean technology and waste minimization and pollution prevention schemes of Ministry ofEnvironment and Forests to deal with waste-related issues in a holistic manner,

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To address the problem of indifference in sectoral ministries of environmental issues, environmental cells atthe central and state level should be constituted. MoEF should sensitize these cells and also monitor theirfunctioning,The Ministry of Urban Development, being the nodal Ministry dealing with issues related to urban solid andliquid wastes, needs to set up a dedicated cell for implementation of proposed waste management policy atthe national level with similar cells to be constituted at the State level.

GREEN INFRASTRUCTURE

As per the XII Five Year Plan of India, urban India would need hefty investments towards meeting just the capitalexpenditure requirements of providing urban infrastructure. Capital expenditure requirement of nearly Rs 2,88,000crore and Rs 99,000 crore will be required for meeting the infrastructure needs of urban transport and othersectors (water supply, sewerage, storm water drainage and solid waste management), respectively between 2012and 2017. Given the financial situation of our urban local bodies and other urban agencies, meeting theseinvestment requirements will not be easy and would need support of all stakeholders, including the private sector.Innovative financing methods for meeting infrastructure investment requirements will be critical.

Equally important would be to create capacity amongst urban institutions to be able to select, plan, design anddeliver infrastructure projects that are sustainable in the long run. The conventional approach of looking for short-term solutions to infrastructure gaps may not help address the challenges of infrastructure and would definitely nothelp in meeting the long-term vision of sustainable and green growth of urban areas, which essentially means urbangrowth that has least environmental footprint, is inclusive and which generates economic growth opportunities withminimum environmental and social impacts. Realizing such a model of growth for urban India would need a largervision and a long-term sustainable urban development policy. This policy should look at a period of 20 to 30 yearsand should dwell on: projections for the nature of urban growth in future, expected challenges, sustainable andgreen solutions, and, essential requirements to achieve these solutions - capacity, institutions, and finances. UrbanIndia will also need to look at the way it plans, designs, constructs and uses its buildings.

TERI RECOMMENDS: With over two decades of experience on sustainable buildings, TERI has developed a robustrating system of green buildings, GRIHA (Green Rating for Integrated Habitat Assessment), which was adopted asthe national rating system for green buildings by the Government of India in 2007. Consequently all buildings ofGovernment of India and Public Sector Undertakings have mandated minimum GRIHA rating. Several StateGovernments including Delhi, Assam, Punjab and several corporations have adopted GRIHA. TERI calls upon allStates to adopt GRIHA as a framework to achieve resource efficiency in the built environment. This would helpstreamline approvals for real estate projects, ensure regular monitoring, follow-up on environmental clearances andcompliances, during the course of construction and operation of building projects.

It will also facilitate a two-way communication between the authorities and projects; and, essentially, help moveaway from the 'check the boxes' approach of EIA, provide relief to projects having to move from pillar to post forseeking approvals, and ensure execution of projects in a time-bound manner. TERI also proposes higher taxes onnon-compliant and inefficient appliances/buildings, developing open and transparent institutional mechanisms atthe State and Municipal levels to facilitate implementation of resource efficiency thorough GRIHA. Some level ofdisincentives must be constituted to prevent mainstreaming of defaulters. Resource efficiency must be integrated inall schemes and initiatives around affordable housing.

TRANSPORT: Road accidents alone are estimated to cost three per cent to India's GDP, a trend that would have tobe reversed given that we hold the dubious distinction of having the maximum number of road accident deaths inthe world. Urban transport in India undoubtedly needs urgent action in a mission mode.

TERI RECOMMENDS: All cities above 0.5 million population should be provided with adequate and quality bustransport systems. Mega cities above five million should provide city-wide metro rail based transit systems. TERIalso recommends that all urban centres in the country, small or large, should compulsorily provide facilities forpedestrians and non-motorized transport users. Million-plus cities should also put together clear action plans forimplementing transport demand management tools that encourage use of sustainable modes of transport. Urbantransport authorities, as envisaged in the National Urban Transport Policy, should be established in all 0.5 million-plus cities and should lead the agenda for sustainable mobility in their cities.

ENERGY SECURITY

As per 2011 census, there were around 32.7 per cent un-electrified households in India. Moreover, severalhouseholds that had an electricity connection and the ability to pay for the services are deprived of reliable andcontinuous electricity supply, impacting livelihoods and household welfare. Despite the increase in availability, Indiafaced an energy deficit of 8.7 per cent and a peak deficit of 9 per cent in 2012-13.

TERI's analysis indicates that under a Reference Scenario, India's total energy requirements would increase threefolds from the current level by 2031, with coal and oil continuing to contribute a large part of this energy need.Further, it is anticipated that even with best efforts to improve efficiencies and enhance availability of domestic

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fuels, India's energy import dependency is likely to continue increasing and remain high during the next fewdecades. While India's oil import dependency could spiral from around 77 per cent at present to over 90 per cent by2031, with growing concerns regarding the extractable reserves of coal apart from issues related with its quality andtransportation, coal imports are also expected to continue increasing. Consequently, the overall fossil fuel importdependency in the Reference Scenario is also expected to increase to 74 per cent by 2031. India's net import bill wasaround 41 per cent of the country's export earnings in 2012/13, and in a scenario of rising and volatile energy prices,India's vulnerability on account of high energy import bills could increase significantly in future.

TERI RECOMMENDS: Energy efficiency measures can be implemented on the energy supply as well as demand sideacross the energy intensive end-use consuming sectors. For instance, in the transport sector, key interventionsinclude introduction of energy efficiency standards and encouraging use of public transport. Within the industrialsector, the Micro, Small and Medium Enterprise (MSME) segment is associated with low efficiencies due to severalbarriers such as use of obsolete technologies, non-availability of readymade technological solutions, low level ofawareness/information availability, non-availability of technology providers at local/cluster level, relatively high costof technologies and poor access to finance. It is estimated that there is a possibility to reduce energyconsumption by up to 25-30 per cent by introducing energy efficiency measures in these sectors.

There is a need for implementing innovative pricing mechanisms that reflect true costs of alternative options andinduce efficiency in energy production and consumption. Further institutional changes and regulatory mechanismsgeared towards creating a more enabling environment and ensuring constant compliance and progress arewarranted. A co-ordinated approach cutting across various energy sub-sectors (coal, oil, gas, renewable, electricityetc.) would be instrumental in pushing forward a coordinated and integrated energy policy for the country. It isproposed that a Cabinet of Secretaries (CoS) be set up with representation from the ministries concerned todefine policy and address all issues in an integrated manner. To ensure this, there is a need to gradually movetowards a single energy regulator. It is envisaged that the structure for Single Energy Regulatory Commission is suchthat the existing energy sub-regulators would automatically become a part of the Commission at the member level.

RENEWABLES

Power generation from renewable sources is on the rise in India. The share of renewables in the total energy mixreached 12.3 per cent in 2013. India has total installed capacities about 30177.9 MWe and 973.13 MWe for grid-interactive power and off-grid/captive power respectively. Currently, wind accounts for about 67.5 per cent of thecapacity with 20298.23 MWe installed capacity and India is fifth largest wind energy producer in the world.However, in recent times, wind sector has suffered due to withdrawal of GBI (generation based incentive) andAD (Accelerated Depreciation). While GBI has been reinstated after a gap of more than a year, AD is yet to bereinstated.

TERI RECOMMENDS: TERI proposes that Wind Mission should be launched as early as possible. Consistent long-term policy is needed for stable business environment, and, land for wind projects can be allotted on priority basis.

Solar is important and comparatively underutilized energy resource in India with the potential to supply both grid-connected and off-grid power. India has 300 sunny days per year on average and receives average annual radiationof 1600 - 2200 kWh/m2, leading to annual estimated potential of 6 billion GWh. To properly assess this vastpotential, the Ministry of New and Renewable Energy has launched the Solar Radiation Resource Assessmentinitiative to develop solar atlas quantifying solar radiation availability throughout the country.

TERI proposes integrated renewable energy policy to mainstream renewables. A renewable energy law for largerrole for renewables in the energy sector with emphasis on renewable power being at the center-stage of the newpower policy. Priority must be given for allocation of land resources to renewable power projects. Policies mustaddress wider support to demonstration and adaptation of RE technologies developed at global research centers.The focus must be on faster implementation of the National Solar Mission and development of bioenergy and windenergy sector through state level policy initiatives. As far as institutional reforms are concerned, TERI proposesstrengthening of the Ministry of New and Renewable Energy, a larger role for research centers in renewable energy,new initiatives for RE industry development with special incentives for green energy, a green energy corridordevelopment and creation of incubation centers with international research centers for promoting renewable energybasic and technology research and development.

Solar mission needs impetus and JNNSM targets can be advanced. There is need to make domesticmanufacturing competitive in global market and special incentives may be considered for this. Special impetusmust be given to indigenize solar thermal power generation technologies which have advantage of storage anddispatchability. Other solar applications should be promoted on a priority basis to reduce fossil fuel consumption.

Solid biomass availability in India is estimated at about 500 million tons per year, of which 120 -1Te50 million tons isavailable for power generation. The Ministry of New and Renewable Energy has estimated that about 18 GW ofpower can be generated from agro based residues including agricultural and forestry residues. In addition to this,there is potential to generate about 5 GW power by raising dedicated plantations on two million hectares of land.TERI strongly feels the Union government should focus on bioenergy development and the Indian Bio-Mission shouldbe launched.

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WATER AND SANITATION

In India, more than 73 million workdays are lost each year on account of water-borne infections. Thegovernment needs to allocate more resources and do comprehensive planning to provide clean water andimprove sanitation facilities to poor populations

By Girija K Bharat and Anshuman

India has been successful in providing improved water supply facilities to more than 89 per cent of rural householdsand 96 per cent of urban households. However, for the rural sanitation sector, only 24 per cent use improvedsanitation facilities, while in urban areas, about 60 per cent use improved sanitation facilities. The most disturbingtrend is that 50 per cent of people are resorting to open defecation.

The challenge now is how to provide higher levels of service with sustainable sources and systems that providegood quality water to a growing population. The number of piped water supply systems in rural areas is rapidlyincreasing, because people want a higher level of service. In 2010, about one-third of rural households already usedpiped water, and about one third of these had house connections. However, it should be noted that there aresignificant inequalities between the rich and the poor and this needs to be addressed while moving forward. Forexample, while about 32 per cent of the rich people have piped connections in their premises, only about one percent of the poorest have this facility. The trends in sanitation sector have been much worse.

As India becomes more urbanized, issues of discharge of sewage are bound to increase, which will compound theproblem arising from climate change. Challenge of sewage collection and treatment will increase as we bring inurban sanitary facilities at the household level. Indian cities already have a huge backlog of incomplete or poorlymaintained sewerage systems. The Jawaharlal Nehru National Urban Renewal Mission (JNNURM) was launched on amission mode for a period of seven years (2005-12) to bring about planned urban development in India. It has drawnattention of the policymakers at all three tiers of the government on the challenges faced by the cities and towns ofIndia. It has succeeded in getting the state and city governments to commit to reforms in governance, but thesecommitments have not always been kept.

The service level benchmarks and JNNURM 1 have made a good beginning in reforming the urban water supplysector. The proposed JNNURM 2 offers an opportunity to bring in further urban reforms and make more investmentsin urban water supply.

THE INVESTMENTS NEEDED PRESENTLY

Water security planning requires annual investments in new schemes and works, operation and maintenance,replacement and expansion as well as support activities like water quality testing and IEC. Investment in seweragemust match investment in water supply. In India, leakage and inefficiencies in the system waste nearly 50 per centof usable water. Recycling and reusing of wastewater, reducing water use and enhancing water use efficiency, mustbecome a part of water-sewage system planning, in order to reduce net water demand.

A total outlay of between Rs. 2,72,377 crore and Rs.303165 crore is suggested for the 12th Five Year Plan (FYP) forRural Domestic Water Supply, including the component of National Rural Drinking Water Programme (NRDWP) forlagging states, Special Component for Scheduled Castes and Scheduled Tribes, Support activities and Sustainability.

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This would be about 305 per cent of the actual allocation in the 11th FYP for the sector. The State outlay would be149,807 crore, which is a similar increase.

In India, the 12th Five-Year Plan has accorded a high priority to the sanitation sector. Allocations for rural sanitationincreased from Rs. 65,400 million in the previous plan to Rs.343,770 million in the 12th plan, which is a jump of 425per cent. The higher budgetary allocation has coincided with a transformation of the national rural sanitationscheme -Total Sanitation Campaign (TSC) to the Nirmal Bharat Abhiyan (movement for safe sanitation). While TSCfocused on motivating individual households to build toilets, NBA shifts the focus to sanitation programmes focusingon the usage of toilets. The shift follows India's latest 2011 Census findings that only 30.7 per cent of ruralhouseholds in India have access to toilets.

THE ECONOMIC COSTS OF INACTION

In India, more than 73 million workdays are lost each year on account of water-borne infections. The fundamentalcauses of India's tardy progress on the drinking water and sanitation fronts are high population growth, rapidurbanisation, poor sector governance, low sectoral capacity, inadequate accountability mechanisms, and insufficientexpenditure on operation and maintenance.

The economic costs of not investing in water and sanitation are very significant. Economic losses as a result of poorsanitation and inadequate water supply between 0.7 per cent and 4.3 per cent of Gross Domestic Product (GDP)between regions, or 1.5 per cent globally. Economic studies conducted at country level by the World Bank during thepast 15 years have shown that impacts resulting from poor sanitation and hygiene cost countries between 0.5 percent and 7.2 per cent of annual GDP. Under the Economics of Sanitation Initiative (ESI), the economic costs due topoor sanitation and hygiene have been shown to exceed five per cent of GDP in India. India suffers an economic lossfrom poor sanitation of Rs 3240 billion a year.

An important finding of many of these studies is that the main contributors to the benefits of sanitation and watersupply are not just the health benefits. For example, the global study found that the value of time savings fromcloser access and reduced queuing for sanitation and water supply facilities accounted for more than 70 per cent oftotal benefits. This provides a clear case for investing in water supply and sanitation services as opposed to only inhealth measures like vaccination programs against water-borne diseases.

WHAT POLICY CHANGES ARE REQUIRED?

Many policies exist at the National as well as State Government level to deal with water quality, water supply andsanitation issues. However, the implementation of these policies is ineffective due to multiple factors. There is anurgent need to ensure effective implementation of such policies by enforcing water quality standards on privatewater suppliers.

Development of 'Water and Sanitation Safety Plans' for Jal Boards, ULBs and rural piped water supply and sanitationservices should be made mandatory in order to maintain high standards in the sector. A high-level committee maybe formed with representations from relevant Ministries, Boards, Water and Sanitation organizations and importantstakeholders in order to ensure effective and efficient implementation of water and sanitation safety plans.

The existing tariff for water consumption for domestic use is fixed and not volume-based, which discourages thepromotion of best practices for the water conservation as users do not feel any responsibility in managing theresources. A differential tariff structure on volumetric basis is recommended.

There is a need for systems to enhance water use efficiency, by water auditing (assessment of water use), reducingnon-revenue water, adopting water conservation measures such as recycling, reusing and reducing water. Thesecould be carried forward by participatory approach to management of water resources.

WHAT INSTITUTIONAL CHANGES ARE REQUIRED?

There is a need to churn out the core issues of establishing a standardized benchmark in water use efficiency, whichwould have technical as well as holistic explanations and would be helpful in exploring the potential of establishinga 'Bureau of Water Efficiency'. The Bureau would be an autonomous institution with accountability andresponsibility to cater to the demand side management.

In order to effectively implement the National Water Policy in States, the State's Water policies could be mademandatory. It is also recommended to create a separate department in all the States to handle rural water supplyand sanitation independently. This would require more allocation of funds for sustainability of water resources aswell as sustaining sanitation in India.

There is a need for re-looking at the Water and Sanitation schemes with respect to climate change. This is of vitalimportance as there is a fear of failing of the sectoral schemes in future, if due attention is not given to the impactsof climate change on the quality and quantity of water resources and sanitation infrastructures. Additionally,capacity building of government personnel at all levels is needed so that they are well equipped to understand thenew policies of the government.

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CLEARING THE POLLUTED AIR

The introduction of BS-VI fuel quality and vehicular norms can result in the reduction of 127,000 mortalities by2030

By Sumit Sharma

India is a fast developing economy and has shown unprecedented growth in the last two decades. While thepopulation has grown 3.3 times since 1950, the index of production has grown 50 times, and vehicles grew by amammoth 460 times in the same period. There are 53 cities in India, each of them accommodating more than 1million people. The number of million-plus urban agglomerates is expected to grow to 85 by 2025 and 125 by 2050.The economic growth, growing number and sprawl of cities has fuelled an unprecedented growth of personalvehicles in India. The aspirations to own personal vehicles are also reinforced by limited availability of publictransport which is comfortable, secure and cost-effective. Growth of vehicles is far more in cities than in ruralregions, leading to congestion and emissions of air pollutants which are known to affect the human health severely.Other than growing mobility demands, industrial production, electricity generation, and other factors have togetherled to the deterioration of air quality in many regions of the country. While, urban centers deal with toxic emissionsfrom these sources, more than 80 per cent of rural households where biomass is used for cooking are facing theconsequences of high indoor air pollution.

More than 80 per cent of Indian cities, where monitoring is carried out, do not meet the prescribed standards of airquality. The particulate matter (PM) concentration have been found to be many times higher than the standards inseveral Indian cities like Delhi, Ghaziabad, Gwalior, Raipur, Kanpur etc. Moreover, it is not just big cities that showhigh concentrations, but smaller cities have also recorded extremely high values. While, some measures have beentaken in a few cities, they are found to be inadequate to arrest the growth of pollution in the long run. Delhi showeda slight decline in pollution during 2004-2007, when a number of measures (introduction of fuel quality and vehicleemissions norms, CNG, Metro Rail Project, Shifting of industries, etc) were taken. But thereafter, the trend has beenincreasing and currently the levels are unprecedented and are about four times the annual standards. High growth inthe number of vehicles has also led to emissions of other pollutants like NOx (oxides of Nitrogen) in many cities.

Air pollution has been known to have grave consequences. 620,000 mortalities have been estimated to occurannually in India that is attributable to ambient air pollution. Not only respiratory problems are linked to deterioratedair quality, the cardio-vascular impacts are also evident. The World Bank has estimated the total cost of damagecaused by outdoor air pollution in India to be around Rs 1.1 lakh crore annually. This is about 1.7 per cent of the totalGDP and clearly shows a dent in the economy caused by deteriorated air quality. Significant economic damage hasalso been caused due to decrease in crop -yields by the ground level Ozone formed through the reactions of airpollutants. Nationally, the aggregated relative yield loss of wheat and rice due to high ozone exposure amounts to5.5 million tonnes in 2005, which could have fed 94 million people in India. The question is whether we can sustainour economic growth with a population base severely affected by respiratory and cardiovascular disorders and ourcrop-yields affected by pollution. There are serious steps to be taken to make a clear move towards achieving the airquality standards in a shorter term. Source apportionment studies at urban and regional scales are required to becarried out to ascertain the share of different contributing sources to draft sector specific strategies for control.Improvement in fuel quality and advancement of vehicular emissions norms is the key to reduce vehicular emissions.The emission reduction that can be accrued through introduction of BS-VI fuel quality and vehicular norms in thecountry can result in the reduction of 127,000 mortalities by 2030 and economic benefits ranging between Rs 3.9-6.7lakh crore cumulatively till the year 2030. Benefits of implementation of these norms will soon outweigh the costsincurred on initial capital investments.

On the industrial front, the enforcement of the prescribed standards is primary for control. Biomass cook—stovesprograms need to be revamped and revived to reduce regional scale pollution as well as indoor air pollution in ruralhouseholds. Overall, more effective planning and efficiency improvements in different sectors are required to reducethe demand for natural resources and corresponding emissions.

INSTITUTIONAL CHANGES: Air pollution is linked with multiple sectors and hence dealt by a number of departments.However, the current situation demands integration of efforts. Considering the severity of the matter, a body on thelines of California Air Resources Board needs to be constituted which is empowered to take sector specific decisionsbased on the scientific knowledge for control of air pollution. The body should also be responsible for generating ascientific knowledge base for taking appropriate technical, management and policy decisions at different scales.

POLICY CHANGES: A major policy change that is required in the transport sector is to move away from the currentdual fuel policy in the country. Currently, just 20 cities are provided with BS-IV quality fuel and rest of the countryremains at inferior quality of fuel leading to higher emissions. The current policy virtually treats the citizens ofdifferent regions unequally. Lower quality of fuel also does not allow the fitment of advanced emission controloptions. Policies should also be strengthened for enhancement of public transportation, in-use vehicle management,and promotion of non-motorized transport in the country.

Policies on subsides on kerosene and price differential for diesel also need to be reconsidered to reduceadulteration and market shifts that are not environment friendly. Newer standards need to be developed and theexisting ones need to be strictly enforced for both emission control and efficiency improvement in different sectors

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like industries, power plant and transport. The National Program on Improved Chulha needs revival with inclusion oflatest research and technologies for control of indoor and outdoor air pollution due to biomass burning.

DEALING WITH WASTE

The way to address the adverse health impacts due to inadequate waste management would be to increase theprocessing, maximize resource recovery and recycling and ensure that land requirement for ultimate disposal isminimized by adopting resource efficient processes.

By Suneel Pandey

The process of urbanization has not only increased municipal solid waste (MSW) generation, but also led toincreasing amounts of domestic wastewater. Cities considered as engines of growth are also guzzlers of resourcesand today's mismanagement of resources is producing huge amount of wastes. The Central Pollution Control Board(CPCB) says that the annual generation of MSW is pegged at 62 million tonnes or 133,760 tonnes per day, of whichonly 25,884 tonnes per day is treated, while the balance is disposed on land requiring around 2,12,752 m3 of landfillspace. The requirement of land in the next 20 years is estimated to be as high as 66,000 ha (1,240 ha per year).

So far as the domestic wastewater is concerned, it is estimated that about 38,000 million liters per day (MLD) ofwastewater is generated in urban centers having a population more than 50,000 in India, according to the CPCB. Themunicipal wastewater treatment capacity developed so far in India is about 11,000 MLD, accounting for 29 per centof wastewater generation in these two classes of urban centers.

In addition to these conventional waste streams, Indian cities have to also deal with more complex waste streamssuch as waste from healthcare facilities, construction and demolition waste, electronic waste and industrial wastesfrom small household industries, which makes management of urban solid and liquid wastes highly challenging.

Inappropriate management of these waste streams adversely impacts the environment and ecology of the region,thereby contaminating human health. For instance, the cost in terms of Disability Adjusted Life Years (DALY) ofdiarrhea for children from poor sanitation is estimated at Rs 500 crore. A similar study by the Water and SanitationProgramme of the World Bank using data for 2006 shows that the per capita economic cost of inadequate sanitationincluding mortality impact in India is Rs 2,180.

The way to address waste mismanagement would be to build waste reduction strategies in overall wastemanagement programmes, increase waste processing, maximize resource recovery, recycling and ensure that landrequirement for ultimate disposal is minimized by adopting resource efficient processes. The suggested policychanges would include:

A formal waste management policy addressing all the different diverse waste streams centered aroundelements of 3Rs (Reduce, Reuse, Recycle) and the need for closing the material use cycle,Incentive-based mechanism for enhancing/promoting waste reduction and recycling-based programmes,and,Mechanism for creation and promotion of market for recycled products.

The institutional changes required would include:

Integration of clean technology and waste minimization and pollution prevention schemes of Ministry ofEnvironment and Forests to deal with waste-related issues in a holistic manner,To address the problem of indifference in sectoral ministries of environmental issues, environmental cells atthe central and state level should be constituted. MoEF should sensitize these cells and also monitor theirfunctioning,The Ministry of Urban Development, being the nodal Ministry dealing with issues related to urban solid andliquid wastes, needs to set up a dedicated cell for implementation of proposed waste management policy atthe national level with similar cells to be constituted at the State level.

TOWARDS GREEN INFRASTRUCTURE

Capital expenditure requirement of nearly Rs 2,88,000 crore and Rs 99,000 crore will be required for meetingthe infrastructure needs of urban transport and other sectors

By Akshima Tejas Ghate and Priyanka Kochhar

By 2032, urban India is expected to grow from about 380 million to 600 million and may contribute as high as 75 percent share in the country's GDP. The overwhelming growth in urban India will bring along growth and developmentopportunities that may help address socio-economic gaps that exist today. This growth, however, will beaccompanied with the colossal challenge of ensuring that the growth in urbanization is organized, well-planned,manageable, and above all sustainable! This essentially indicates the need for ensuring growth of cities and cityinfrastructure in a sustainable manner. Achieving this would not be easy.

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As per the XII Five Year Plan of India, urban India would need hefty investments towards meeting just the capitalexpenditure requirements of providing urban infrastructure. Capital expenditure requirement of nearly Rs 2,88,000crores and Rs 99,000 crore will be required for meeting the infrastructure needs of urban transport and other sectors(water supply, sewerage, storm water drainage and solid waste management), respectively between 2012 and 2017.Given the financial situation of our urban local bodies and other urban agencies, meeting these investmentrequirements will not be easy and would need support of all stakeholders, including the private sector. Innovativefinancing methods for meeting infrastructure investment requirements will be critical.

Equally important would be to create capacity amongst urban institutions to be able to select, plan, design anddeliver infrastructure projects that are sustainable in the long-term. The conventional approach of looking for short-term solutions to infrastructure gaps may not help address the challenges of infrastructure and would definitely nothelp in meeting the long-term vision of sustainable and green growth of urban areas, which essentially means urbangrowth that has the least environmental footprint, is inclusive and which generates economic growth opportunitieswith minimum environmental and social impacts. Realizing such a model of growth for urban India would need alarger vision and a long-term sustainable urban development policy. This policy should look at a period of 20 to 30years and should dwell on: projections for the nature of urban growth in future, expected challenges, sustainableand green solutions, and, essential requirements to achieve these solutions - capacity, institutions, and finances.

Additionally, the policy should also reflect a clear sustainable agenda for urban sectors and provide a clear roadmapfor development in each of the urban infrastructure sectors. Transport and urban buildings, for example, will beamongst the critical urban sectors that will need clear roadmaps, given that they have the highest contribution tothe environmental footprint of cities. The gaps in these sectors will have to be identified and addressed from thesustainability perspective. In transport, for example, providing adequate and quality mobility options to the urbanpopulation will emerge as one of the key challenges that our cities will continue to face in the future. It will beequally important to address the current trends of explosive motorization and the associated urban transportproblems, without which these would multiply manifold in the coming times. A sense of urgency in addressingvarious facets of urban transport and undertaking efforts for making it sustainable will be essential. The increasingdependence on private vehicles, declining share of public transport and non-motorized transport are some of the keytrends that will have to be looked into from the sustainability perspective.

These current trends in urban transport are essentially a result of our inability to get our basics right. We have beeninvesting on vehicle-friendly infrastructure, planning and designing inequitable mobility systems, which are unableto ensure safety and security on roads and public transport, and are unable to ensure even the basic needs in termsof universal access.

While many may not accord the situation as alarming, it may be unwise for the city planners and managers not totake this seriously. We are witnessing daily vehicle registration levels of about 1,400 vehicles in Delhi, around 1,000in Bangalore and are reaching similar levels in cities like Pune, Chennai, etc. We could very well reach the level ofabout 400 million vehicles in the next 20 years, almost a four-time increase as compared to today. What could bemore alarming? We cannot have the luxury of expanding our roads forever, which means that we cannot let thegrowth of vehicular population continue at the current rates. We need to put a curb on it, which implies that weurgently need sustainable mobility systems - systems that do not promote private motorization of this extent.

Sustainable mobility systems aim at moving people, not vehicles, and hence focus should be more on thedevelopment of mass transport systems and non-motorized transport infrastructure, rather than vehicle friendlyinfrastructure. Sustainable mobility systems are usually environment-friendly and provide adequate, quality,affordable, reliable and comfortable mobility options to all, and promote safety and security for the commuters. Wecan achieve such systems if we judiciously start planning the urban and transport systems. We need to worktowards right policies, programs and investments schemes. To some extent, the National Urban Transport Policy hasdone that at the National level. We need similar policies, programmes and plans at state and city level too. We needto ensure that the investments are channelized towards the right kind of infrastructure projects and pass all checksof environmental impacts, safety, and accessibility, among others. The goal should be to provide 'mobility for all'.

MODELING ON GRIHA

Similar to the goal of attaining sustainable mobility, urban India will also need to look at the way it plans, designs,constructs and uses its buildings. TERI recommends that all States adopt GRIHA as a framework to achieve resourceefficiency in the built environment. This would help streamline approvals for real estate projects, ensure regularmonitoring, follow-up on environmental clearances and compliances, during the course of construction andoperation of building projects. It will also facilitate a two-way communication between the authorities and projects;and, essentially, help move away from the 'check the boxes' approach of EIA, provide relief to projects having tomove from pillar to post for seeking approvals, and ensure execution of projects in a time-bound manner. TERI alsoproposes higher taxes on inefficient appliances/ buildings, developing open and transparent institutionalmechanisms at the State and Municipal levels to facilitate implementation of resource efficiency thorough GRIHA.Some level of disincentives must be constituted to prevent mainstreaming of defaulters. Resource efficiency must beintegrated in all schemes and initiatives around affordable housing. Above all, our decision makers need to besensitized and educated on various aspects of sustainable development.

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TRANSPORT SURGE

Transport sector in Indian cities is witnessing unprecedented motorization. The number of personal vehicles addedto the Indian roads in the last decade has been much higher as compared to the total number of cars and two-wheelers added in the first five decades since independence. Much of this growth has happened in the urbancentres with cities like Delhi reaching car ownership level of 157 cars per 1,000 population followed by Chennai(127) and Coimbatore (125), Pune (92), Thane (98), Bangalore (85), and Hyderabad (72). Growth in two-wheelerpopulation in the cities has also been significant and is primarily a result of lack of adequate and quality publictransport in our cities. The public transport share in our largest cities was in the range of 60 to 80 per cent in 1990s;this however had declined to 30 to 50 per cent by the end of the last decade. Non-motorized transport, the mostused transport mode in our cities has also witnessed a similar decline. The result is what we witness on our roads,congestion, environmental pollution and accidents, all of which have a huge cost for Indian society. Road accidentsalone are estimated to cost 3 per cent to India's GDP, a trend that would have to be reversed, given that we hold thedubious distinction of having the maximum number of road accident deaths in the world. Urban transport in Indiaundoubtedly needs urgent action in a mission mode.

TERI RECOMMENDS: that all cities above 0.5 million population should be provided with adequate and quality bustransport systems. Mega cities above five million should provide city-wide metro rail based transit systems. TERIalso strongly recommends that all urban centres in the country, small or large, should compulsorily provide facilitiesfor pedestrians and non-motorized transport users. Million-plus cities should also put together clear action plans forimplementing transport demand management tools that encourage use of sustainable modes of transport. Urbantransport authorities, as envisaged in the National Urban Transport Policy should be established in all 0.5 million-plus cities and should lead the agenda for sustainable mobility in their cities.

ENERGIZING GROWTH

Energy security needs to figure prominently at the core of India's development agenda to ensure thatadequate and affordable clean energy forms can be made available to fuel India's growth path in the comingdecades

By Ritu Mathur

With a rank of 136 among 186 countries in terms of its human development index, India still has a long way to go indeveloping adequate infrastructure and services. Millions of people still continue to live without electricityconnections for lighting and are largely dependent on traditional energy forms for meeting their cooking needs. Asper 2011 census, there were around 32.7 per cent un-electrified households in India. Moreover, several householdsthat have an electricity connection and ability to pay for the services are deprived of reliable and continuouselectricity supply, impacting livelihoods and household welfare. Despite the increase in availability, India faced anenergy deficit of 8.7 per cent and a peak deficit of 9 per cent in 2012-13. However, the much-needed rapid andinclusive growth of the economy would inevitably call for significantly higher levels of energy use. Energy securitytherefore needs to figure prominently at the core of India's development agenda to ensure that adequate andaffordable clean energy forms can be made available to fuel India's growth path in the coming decades.

TERI's analysis indicates that under a Reference Scenario, India's total energy requirements would increase threefolds from the current level by 2031, with coal and oil continuing to contribute a large part of this energy need.Further, it is anticipated that even with best efforts to improve efficiencies and enhance availability of domesticfuels, India's energy import dependency is likely to continue increasing and remain high during the next fewdecades. While India's oil import dependency could spiral from around 77 per cent at present to over 90 per cent by2031, with growing concerns regarding the extractable reserves of coal apart from issues related with its quality andtransportation, coal imports are also expected to continue increasing. Consequently, the overall fossil fuel importdependency in the Reference Scenario is also expected to increase to 74 per cent by 2031. India's net import bill wasaround 41 per cent of the country's export earnings in 2012/13, and in a scenario of rising and volatile energy prices,India's vulnerability on account of high energy import bills could increase significantly in future.

Energy efficiency and renewables could play a significant role in contributing towards reducing fossil fuel imports.While generation of electricity from renewable sources can play a significant role in meeting the growing powerneeds of the economy and in minimizing energy imports, it also has co-benefits in terms of reducing carbonfootprints and ensuring a cleaner environment.

Energy efficiency measures can be implemented on the energy supply as well as demand side across the energyintensive end-use consuming sectors. For instance, in the transport sector, key interventions include introduction ofenergy efficiency standards and encouraging use of public transport. Within the industrial sector, the Micro, Smalland Medium Enterprise (MSME) segment is associated with low efficiencies due to several barriers such as use ofobsolete technologies, non-availability of readymade technological solutions, low level of awareness/informationavailability, non-availability of technology providers at local/cluster level, relatively high cost of technologies andpoor access to finance. It is estimated that there is a possibility to reduce energy consumption by up to 25-30 percent by introducing energy efficiency measures in these sectors.

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However, while possibilities of energy savings and moving towards cleaner and more efficient energy forms exist,the large-scale deployment of renewables and its utilization for electrification would entail large capitalinvestments. Similarly, deployment of energy efficiency measures, in the transport sector for example, could call fora much larger contribution of government budgetary support.

Rational energy pricing that promotes competition, and reduces distortions such that consumers are provided theright price signals for making efficient energy choices needs to be adopted. This can be achieved by designingeffective and transparent subsidies, delivered at the end of supply chain to facilitate energy access. Taxes andsubsidies on energy resources and energy using appliances/equipment must be designed to support energyefficiency and reflect externality costs.

There is a need for implementing innovative pricing mechanisms that reflect true costs of alternative options andinduce efficiency in energy production and consumption. Further institutional changes and regulatory mechanismsgeared towards creating a more enabling environment and ensuring constant compliance and progress arewarranted. A co-ordinated approach cutting across various energy sub-sectors (coal, oil, gas, renewable, electricityetc.) would be instrumental in pushing forward a coordinated and integrated energy policy for the country. It isproposed that a Cabinet of Secretaries (CoS) be set up with representation from the ministries concerned to definepolicy and address all issues in an integrated manner. To ensure this, there is a need to gradually move towards asingle energy regulator. It is envisaged that the structure for Single Energy Regulatory Commission is such that theexisting energy sub-regulators would automatically become a part of the Commission at the member level. Theywould assume advisory roles and their active participation is essential to ensure the smooth co-ordination acrosssectors as well as to ensure a link between the functioning of the energy regulator with their respective sub-sectors.

RENEWABLE SOLUTIONS

The government needs to provide more incentives and more pro-active to cover vast populations withrenewable energy

By Shirish S Garud

Power generation from renewable sources is on the rise in India. The share of renewables in the total energy mixreached 12.3 per cent in 2013. India has total installed capacities about 30177.9 MWe and 973.13 MWe for grid-interactive power and off-grid/captive power respectively. Currently, wind accounts for about 67.5 per cent of thecapacity with 20298.23 MWe installed capacity and India is fifth largest wind energy producer in the world. Smallhydro power and bagasse-based cogeneration are second and third largest contributors with installed capacities of3774.15 MWe and 2512.88 MWe respectively. Solar power generation is fourth largest contributor with installedcapacity of 2208.36 MWe, which saw additions of about 971 MW in the last year. The Government of India has set arenewable energy capacity addition target of 29.8 GW for the 12th Five Year Plan, taking the total renewablecapacity to almost 55 GW by 2017. The addition includes 15 GW from wind, 10 GW from solar, 2.7 GW of biomassand 2.1 GW from small hydro technology.

WIND POWER

India has been a pioneer in the wind energy based power generation in Asia since the 1990s. The success of theIndian wind market can be attributed to the quality of wind resource in India and various government initiatives. Thewind resource in India is concentrated in nine states. C-WET resource assessment programme has estimatedpotential for wind power for these nine states. The estimates are based on the assumption that one per cent of thestate's land area is available for wind installations and land requirement of about 12 hectares per MW installation.The total wind potential of India is estimated to be about 49 GWe (at 50 m hub height to 102.1 GW (at 80 m hubheight) with Karnataka, Gujarat and Andhra Pradesh as the leading states. The assessment also indicates significantpotential in Northern and North-eastern parts of the country. Also, systematic assessment needs to be done todetermine the offshore wind potential. With total installations of 20298.23 MW, it can be seen that India hasrealized only about 42 per cent of the total potential.

In recent times, wind sector has suffered due to withdrawal of GBI (generation based incentive) and AD (AcceleratedDepreciation). While GBI has been reinstated after a gap of more than a year, AD is yet to be reinstated. TERIproposes that Wind Mission should be launched as early as possible, consistent long-term policy is required forstable business environment, and, land for wind project should be allotted on priority basis.

SOLAR POWER

Solar is important and comparatively underutilized energy resource in India with a potential to supply both grid-connected and off-grid power. India has 300 sunny days per year on average and receives average annual radiationof 1600 - 2200 kWh/m2, leading to annual estimated potential of 6 billion GWh. To properly assess this vastpotential, the Ministry of New and Renewable Energy (MNRE) has launched Solar Radiation Resource Assessmentinitiative to develop solar atlas quantifying solar radiation availability throughout the country.

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There are two technologies for power generation from solar energy, namely solar photovoltaic (PV) and concentratedsolar power (CSP). India has installed a total of 2208.36 MW of solar PV and 50 MW of CSP as of January 31, 2014.The government of India launched Jawaharlal Nehru National Solar Mission in 2009, which has given a huge boostfor solar energy based power generation. Solar energy can be also used effectively for catering to thermal energyrequirements. There are also various medium temperature applications such as cooking, cooling, and industrialprocess heat applications. India has installed a total 7.51 million m2 of solar water heaters and about 30000 m2 ofsolar concentrators for various medium temperatures. Research efforts are on to use solar thermal concentrators asa booster options for thermal power plants.

TERI recommends that solar mission needs impetus and JNNSM targets can be advanced. There is need to makedomestic manufacturing competitive in global market and special incentives may be considered for this. Specialimpetus must be given to indigenize solar thermal power generation technologies which have the advantage ofstorage and dispatchability. Other solar applications should be promoted on priority basis to reduce fossil fuelconsumption.

BIO-ENERGY

Historically, traditional biomass has been a major source of household energy in India. In India, biomass providesfuel to about 32 per cent of the total primary energy consumed and catering to almost 70 per cent of India'spopulation. Biomass is generally divided into three categories: biogas, solid biomass, and liquid biofuels. Biogas hasbeen mostly used for small, rural, and off-grid applications, and the majority of biogas units in India are providing forindividual households. MNRE has estimated that the annual biogas generation potential is about 17,340 million m3,which could support the installation of up to about 12 million family-size biogas plants, while about 4.7 millionfamily-size biogas plants have been installed in India as on January 31, 2014.

Solid biomass availability in India is estimated at about 500 million tons per year, of which 120 -1Te50 million tons isavailable for power generation. MNRE has estimated that about 18 GW of power can be generated from agro basedresidues, including agricultural and forestry residues. In addition, there is potential to generate about 5 GW powerby raising dedicated plantations on two million hectares of land. A total of 4479.85 MW capacity has been installedtill January 31, 2014 using various technologies such as bagasse co-generation, biomass gasification, and co-generation.

The Government of India approved National policy of Biofuels in 2009 to encourage alternative fuels to supplementconventional fuels (gasoline and diesel) has a target of 20 per cent of biofuel blending (bio-ethanol and bio-diesel)by 2020. The current total bio-ethanol production capacity in India is about 3.5 billion liters per year, sufficient forfive per cent blending in gasoline. India's commercial production of biodiesel is very small, and what is produced ismostly sold for experimental projects and to the unorganized rural sector. Research and development efforts are on-going for second generation biofuels from non-food sources such as Jatropha, Karanja and microalgae. India hasabout 63 million hectares of wasteland of which about 40 million hectares can undertake Jatropha and karanjaplantations. Current biofuels policy targets jatropha and karnja plantations on 11.2 million hectares to produce 13.38million tons of biofuels. TERI strongly feels that the government should focus on bioenergy development and theIndian Bio-Mission must be launched.

SMALL HYDRO POWER

Hydropower projects of up to 25 MW capacity are classified as small-hydro in India. Small hydro projects havepotential to meet power requirements in remote and hilly areas, which are difficult and costlier to connect with thenational grid. The government of India has created a database of potential sites for small-hydro power (SHP)projects, identifying 6,474 sites with an aggregate capacity of 19,749 MW. Uttaranchal, Jammu & Kashmir andArunachal Pradesh have the highest potential amounting to about 50 per cent of the total potential. The governmenthas also attracted private sector for active participation in this sector and aggregated capacity 0f 3774 MW hasbeen installed as on January 31, 2014. In addition to this, about 1,250 MW of projects are in progress. Thegovernment needs to promote small hydro as major thrust area.

Above all, renewable energy finds applications in remote and rural areas in decentralized power and heating coolingapplications. These are important for providing access to modern energy to vast populations in rural areas. Thegovernment should focus on these applications for overall inclusive growth and creating employment and incomegeneration opportunities in rural areas.

TERI proposes integrated renewable energy policy to mainstream renewables. A renewable energy law for largerrole for renewables in the energy sector with emphasis on renewable power being at the center-stage of the newpower policy. Priority must be given for allocation of land resources to renewable power projects. Policies mustaddress wider support to demonstration and adaptation of RE technologies developed at global research centers.The focus must be on faster implementation of the National Solar Mission and development of bioenergy and windenergy sector through state level policy initiatives. As far as institutional reforms are concerned, TERI proposesstrengthening of the Ministry of New and Renewable Energy, a larger role for research centers in renewable energy,new initiatives for RE industry development with special incentives for green energy, a green energy corridordevelopment and creation of incubation centers with international research centers for promoting renewable energy

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basic and technology research and development.

PLEASE NOTE:

While publishing the articles, please give acknowledgement to TERI Feature Service at the end of the article.

(For more information, write to S S Jeevan ([email protected]) /Zainab Naeem ([email protected])

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