Vineeth Daniel Vinoy is a Ph.D. Research Scholar and Dr. TMA Pai Fellow at the Department of Geopolitics and International Relations, Manipal Academy of Higher Education (Institution of Eminence), Manipal.
While the importance of sustainable development is recognized, India views coal as a foundational component of its energy security. Given the abundant availability of coal and considering the limited availability of petroleum and natural gas and the limited potential of hydro-projects, India’s coal ministry considers coal as the way forward in meeting the country’s burgeoning energy requirements. It is in this context that there is no explicit mention of decarbonization or net zero in any of the environmental policies of Coal India and its subsidiaries. Neither does the Coal Ministry mandate any decarbonization as a part of its greening initiative, which is primarily based on land restoration. The Coal Ministry has aimed to achieve 12GW of renewable capacity generation by 2030. While this target is being lauded by many analysts, it is not by any means enforceable. No punitive measures exist if the target is not met.
India has also not committed itself to any global initiative in coal phase-out. Coal India is the largest government-owned coal-producing company in the world. Despite this, India has not joined any global initiative such as the Just Energy Transition Partnership (JET-P) to wean itself off coal. India has opted not to sign the Just Energy Transition Partnership (JET-P) due to the stringent requirements for transitioning away from coal. As coal remains an abundant, cost-effective, and secure energy source, it has become the backbone of both the country’s energy sector and industrial growth. The government maintains that an abrupt shift from coal could have significant economic repercussions, potentially slowing down national development.
The Coal Ministry’s action can be seen in two ways: first, through the lens of ensuring India’s energy security and second, as a product of inter-ministerial dynamics. When looking at it through the lens of energy security it can be seen that the actions undertaken are rooted in ensuring energy security while balancing environmental responsibility. However, as a developing country, India places its developmental priorities over environmental ambition. The ability of coal to provide reliable and uninterrupted energy during peak hours and especially during the intense summer season is one of the biggest reasons why coal has become a mainstay. The largest energy consumers are the industries, with over 42 per cent consumption of the total electricity generated. The largest consumption of coal comes from the electricity sector, with over 785 million metric tonnes. India prioritizes domestic needs in coal policy, with climate action as a secondary factor.
In its net zero approach, India is willing to undertake net zero commitments to the extent that it does not disrupt the existing energy security. Wind and Solar’s dependency on external conditions limits their reliability during peak demand.
India’s Power Ministry has also stated that coal power cannot be phased out until storage technologies become viable. In an interview with Money Control, former Minister of Coal, Mines and Parliamentary Affairs, Pralhad Joshi, said that the government would “continue increasing coal production even beyond 2030.” The net zero actions currently undertaken in the coal sector show how India is balancing its domestic considerations with international “obligations”. Renewables are seen as tools for the enhancement of energy generation and not necessarily for replacing coal.
When looking at the Coal Ministry’s renewable energy initiatives, the interministerial dynamics can be seen. The Coal Ministry has taken up renewable energy generation in a joint venture with the Ministry of Power and Ministry of New and Renewable Energy and not as stand-alone projects, while thermal power plants depend upon coal gasification to provide cleaner coal. The inter-agency coordination between these three ministries will shape India’s journey towards achieving its net zero target. While the Ministry of Power is the face of India’s power sector, electricity generation is tied to the efficiency of the Ministry of Coal. On the other hand, the Ministry of New and Renewable Energy tends to focus on assessing the applicability of renewable energy.
The Power and Coal Ministries have a mutually beneficial relationship. The MNRE ensures that renewable energy grows in a complementary manner to traditional energy sources. It is the action undertaken by each of these sectors that ultimately informs India’s climate pledges in the international arena. India’s role in getting the phrase “phase down” added to the final version of the Glasgow Pact was not a decision made purely based on the ideological principles of Common But Differentiated Responsibilities-Respective Capabilities (CBDR-RC) by the Ministry of Environment, Forest and Climate Change (MoEFCC) but one which has seemingly been influenced by the inter-ministerial dynamics mentioned above.
Therein we can see the second unique feature of India’s approach towards net zero that the MoEFCC alone does not determine the country’s net zero commitments, but rather the dynamics and the clout of the above-mentioned ministries are equally, or perhaps, more critical. Coal phase-out and renewable energy adoption timelines are set mainly by the power and coal ministries.
Furthermore, the MoEFCC does not have any legal mandating powers that it could use to enforce non-compliant parties to honour the climate commitments. Inter-ministerial dynamics often sideline the MoEFCC in India’s climate decision-making. This has been highlighted in several analyses of India’s climate policy-related decision-making processes. India’s ‘Allocation of Business Rules’, specify (through a 2014 amendment) that the MoEFCC is responsible for ‘climate change and all other matters related thereto’ (Government of India (Allocation of Business) Rules 1961). In practice, this rule glosses over inter-ministerial hierarchies and limits the MOEFCC’s effectiveness. When it comes to the achievement of net zero goals, the decisions that various sectors undertake will be a major determinant. These sectors include but are not limited to the power sector, mobility sector, construction and infrastructure. The demands of these sectors are channelled through associated ministries and form the basis of the climate commitments the country undertakes. The actions currently undertaken by India are based on national development (reflected in the primacy given to energy security) and the influence of inter-ministerial dynamics. However, since 2014 the Prime Minister’s Office (PMO) has been very consequential in its influence on climate change. While initially climate change policy formulations and decisions were taken after consulting with the Prime Minister’s Council on Climate Change (PMCCC) the new government has taken a proactive role. While the PMCCC was merely meant as a consultative and advisory body, the PMO plays an integral role in the formulation of the final climate policy and decisions. This is done in consultation with the above-mentioned ministries who provide their input but the ultimate policy is routed through the PMO.
India’s approach to net zero is shaped by its prioritization of energy security and complex inter-ministerial dynamics. While pursuing renewable energy, India remains committed to coal, with climate action taking a secondary role in national development needs.
Disclaimer: The views expressed in the article are personal.
