Page 28 - Banking Finance October 2025

ARTICLE

Support for MSMEs and Industry efforts of grassroots heroes such as the Guardians of the
Earth (Padma Shri Tulsi Gowda, Jadav Payeng, Rameshwar
Energy Efficiency and Cleaner Production
Nath Kao & Chipko Villagers) highlight the critical role of
The Budget 2024-25 includes plans to conduct energy audits community engagement. From afforestation drives to
in 60 MSME clusters and provide financial assistance for
cleaner energy adoption. Improved credit access for MSMEs school-led sustainability projects, citizen participation is
and the strengthening of institutions like SIDBI are expected driving tangible change across the country.
to lower the cost of capital and encourage the adoption of
cleaner production technologies. Environmental Governance and Out-
come-Based Budgeting
Policy and Budgetary Support
Strengthening Institutions and Accountability
Union Budget 2024-25: A Strategic Shift
The Ministry of Environment's focus on outcome-based
The Union Budget 2024-25 has been hailed as a landmark budgeting and improved environmental governance is
in aligning India's economic and developmental goals with enhancing transparency and accountability in the
sustainability and climate resilience. Key highlights include: implementation of sustainability initiatives. This approach
Green Taxonomy: The introduction of a finance sector ensures that policy measures translate into measurable
vision document and a taxonomy for climate finance to results on the ground.
streamline and boost green investments.
Promotion of Rooftop Solar: The PM Surya Ghar Muft The Road Ahead
Bijli Yojana aims to provide rooftop solar installations
for one crore households. India's Sustainable Development Goals (SDG) Index has
improved from 57 in 2018 to 71 in 2023, reflecting consistent
Expansion of Pumped Storage and Small Modular
Nuclear Reactors: These initiatives diversify the energy progress across multiple dimensions of sustainability. The
nation's journey towards net zero is a multi-decade, multi-
mix and enhance grid stability.
stakeholder commitment, encompassing clean energy,
Advanced Ultra-Super Critical (AUSC) Thermal Power
sustainable cities, financial innovation, and inclusive growth.
Plants: Developed with indigenous technology, these
coal-based plants are designed to reduce emissions by
With continued policy innovation, technological
10%, representing a pragmatic approach to bridging the
transition gap. advancement, and active citizen participation, India is well-
positioned to achieve-and potentially surpass-its net-zero
goals before 2070. The mission is vast and the stakes are
Citizen and Community Engagement
high, but with concerted action, India is poised to lead the
Grassroots Movements and Public Participation world in green transformation, setting an example for
Campaigns like the India Sustainability Mission and the emerging economies and established powers alike.

Conclusion
India's pursuit of a sustainable future is not just about
reducing emissions; it is about securing energy
independence, fostering economic growth, and ensuring
environmental resilience for generations to come. The
country's holistic approach-spanning policy, finance,
technology, and community engagement-demonstrates that
environmental stewardship and development can go hand
in hand. As India continues to innovate and lead, its journey
offers valuable lessons and inspiration for the global
community in the fight against climate change.

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