Part of: GS Prelims and GS -III – Conservation; Climate change
In news Recently, the European Union (EU) released a new climate proposal, the Fit for 55 package.
The EU in December 2020 submitted a revised Nationally Determined Contribution (NDC) under the Paris Agreement.
What are the Aims of the proposal?
To deliver the NDC and carbon neutrality goal through proposed changes that would ensure a fair, competitive and green transition by 2030 and beyond.
To achieve a balance between “regulatory policies” and market-based carbon pricing to avoid the pitfalls of each.
What are the Major Proposals?
Renewable Sources: To increase the binding target of renewable sources to 40% from 32% earlier and improve energy efficiency by 36% (from 32.5% earlier) by 2030.
Vehicular Carbon Emissions: It must be cut by 55% by 2030 and by 100% by 2035, which means a phaseout of petrol and diesel vehicles by 2035.
Emissions Trading System (ETS): Creation of ETS for buildings and road transport to become operational from 2026. ETS are market-based instruments that create incentives to reduce emissions where these are most cost-effective.
Social Climate Fund: To help low-income citizens and small businesses adjust to the new ETS, the EU proposes the creation of a Social Climate Fund
Carbon-Border Adjustment Mechanism: It will put a price on imports from places that have carbon-intensive production processes.
Enhance Sink Capacity: It has set a target to enhance the EU’s sink capacity to 310 million tonnes of CO2 equivalent,
India’s INDC, to be achieved primarily, by 2030
To reduce the emissions intensity of the Gross Domestic Product by about a third.
A total of 40% of the installed capacity for electricity will be from non-fossil fuel sources.
India also promised an additional carbon sink (a means to absorb carbon dioxide from the atmosphere) of 2.5 to 3 billion tonnes of carbon dioxide equivalent through additional forest and tree cover by the year 2030.
