Budget highlights include increased funding for climate finance, pollution control, and green initiatives, reflecting India’s commitment to sustainable development.
On Tuesday, July 23, the Central government allocated ₹3,330.37 crore to the Ministry of Environment, Forest and Climate Change as part of the Union Budget 2024. This allocation represents a modest increase from the interim Budget tabled in February by Finance Minister Nirmala Sitharaman, which estimated the ministry’s expenditure for the 2024-25 fiscal year at ₹3,265.53 crore.
Compared to previous years, the trend shows a consistent rise in funding. Last year, the ministry received ₹3,079.40 crore, while the year before, it was ₹3,030 crore. This incremental growth underscores the government’s increasing emphasis on environmental and climate initiatives.
In her Budget 2024 speech, Sitharaman highlighted the development of a taxonomy for climate finance as part of broader capital and entrepreneurship-related reforms. “We will develop a taxonomy for climate finance for enhancing the availability of capital for climate adaptation and mitigation. This will support the achievement of the country’s climate commitments and green transition,” she asserted.
Breaking down the previous year’s budget, ₹948.76 crore was allocated to Central sector schemes/projects, ₹758.8 crore for Centrally sponsored schemes, ₹903.44 crore for establishment expenditure, and ₹468.4 crore for other Central sector expenditures. These figures reflect a structured approach to addressing environmental challenges through diverse funding streams.
Climate change and sustainability have been focal points for India, particularly evident during its G20 Presidency. The New Delhi Declaration emphasized a commitment to economic growth that is environmentally sustainable and inclusive, highlighting the urgency of integrating environmental considerations into development strategies. The transition to green energy remains pivotal in reducing dependence on non-renewable sources and combating climate change.
Further, the Centre has earmarked ₹858.5 crore for pollution control this fiscal, up from ₹756 crore last year. Additionally, the National Mission for a Green India saw an allocation increase to ₹220 crore, from ₹160 crore in the revised Budget of the previous year.
These budgetary allocations and policy announcements reflect India’s ongoing commitment to environmental protection and sustainable development, aiming to balance economic growth with ecological stewardship.