Financing Just Transition through Emission Trading Systems: Challenges and Opportunities for India

The Asia Society Policy Institute Delhi launched the policy paper Financing Just Transition through Emission Trading Systems: Challenges and Opportunities for India (link to this paper, see below) on September 3rd, 2024 at the Indian Habitat Centre, New Delhi. The keynote speech for the event was delivered by Mr. Rajnath Ram, Energy Adviser, NITI Aayog. The launch was followed by a discussion titled ‘Enabling Just Transition through India’s Upcoming the Carbon Credit Trading Scheme’; the event brought together distinguished experts and leaders in carbon pricing and Just Transition to explore how the CCTS can be designed to achieve India’s climate goals while supporting communities affected by the transition.
The paper highlights how Emission Trading Systems (ETS) globally have proven to be effective tools for raising and allocating funds to support climate and energy transitions. The discussion was moderated by Alistair Ritchie and featured Neha Kumar (Head, South Asia Programme, Climate Bonds Initiative); Rajesh Chadha (Senior Fellow, Centre for Social & Economic Progress); Manish Kumar Shrivastava (Associate Director, TERI); and Vaibhav Chaturvedi (Senior Fellow, Council on Energy Environment & Water). The panel emphasised that as India develops its CCTS, there is an exceptional opportunity to design a Just Transition Finance Mechanism (JTFM) that aligns with India’s unique context and needs. Such a mechanism could mobilise significant domestic climate finance through a well-governed CCTS, with effective revenue earmarking and tailored financial instruments.
Link to this paper: https://asiasociety.org/policy-institute/financing-just-transition-thro…