Post-Budget Analysis: What’s in It for Energy and Climate Policy?

Was the Interim Budget 2019 an election budget or a common-man budget? Questions are many; however, one thing is for sure that the budget has showered good news for the middle-class and farmers.

The Interim Budget 2019 has also brought cheers on the faces of those who come under the purview of earnings up to INR 5 lakh. Other highlights include a pension plan for the unorganized sector and direct cash transfers for troubled farmers, which in turn are going to bring in more money to the hands of the middle class.

If we consider energy and climate policy, how has the budget fared?

“The Interim Finance Minister Piyush Goyal’s budget speech had fleeting references to climate change, renewables, energy storage, and electric vehicles, which we feel send positive signals to the industry and consumers,” said Shweta Srinivasan, Research Scientist, Climate and Energy Policy domain, CSTEP.

“The budgetary allocation under major central schemes for wind and solar power is marginally lower than last year’s allocation — around INR 30 crore less,” she added. “However, there is nearly INR 700 crore earmarked for green energy corridor projects, which will be crucial enablers in meeting our long-term ambitious RE [renewables] targets.”

CSTEP looks forward to how the spirit of the speech will translate to policies on imposition of duties on technologies and ease of financing for such projects in the future. CSTEP also hopes that the government will continue providing financial support for research and capacity building to enable better regional planning and state implementation of national climate policy targets.

Center for Study of Science, Technology and Policy (CSTEP) is a multidisciplinary policy research organisation which enriches policymaking with innovative approaches using science and technology. CSTEP incorporates social and economic perspectives to a scientific solution to ensure that the research has a long-term impact and meaningful outcomes. CSTEP constantly aims at science and technology-enabled policy options for an inclusive and equitable economic growth.