EU-India Clean Energy and Climate Partnership

• 31 May 2023

For Prelims: European Green Deal, European Union, Green Hydrogen, Climate Change, ISA, Paris Agreement.
For Mains: EU-India Clean Energy and Climate Partnership and its significance.

Why in News?

The Minister of Power and New & Renewable Energy, Government of India has held a meeting with the Executive Vice President of European Green Deal, European Union, where both discussed cooperation under the EU – India Clean Energy and Climate Partnership.

What is the European Green Deal?

• The European Green Deal seeks to transform the EU into a modern, resource-efficient and competitive economy, ensuring:
  • No net emissions of greenhouse gases by 2050
  • Economic growth decoupled from resource use
  • No person and no place left behind
• One third of the €1.8 trillion investments from the Next Generation EU Recovery Plan, and the EU’s seven-year budget will finance the European Green Deal.

What are the Key Highlights of the Meet?

• Cooperation under the EU-India Clean Energy and Climate Partnership:
  • The meeting focused on discussing collaboration in areas such as energy efficiency, Renewable energy, Green hydrogen, Energy storage, and Diversification of the global supply chain for the energy sector.
• Renewable Energy Capacity Expansion:
  • India highlighted its efforts to ramp up renewable energy capacity, including the establishment of manufacturing facilities for advanced solar cells and panels.
    • Manufacturing capacity for the most advanced solar cells and panels is increasing; and by 2030, a total manufacturing capacity of 80 GW will come up.
• Energy Storage and Round-the-Clock Renewables:
  • Recognizing the need for energy storage to facilitate round-the-clock renewable energy supply, India plans to introduce bids for more storage capacity and has already initiated a bid for Production Linked Incentive (PLI) for energy storage.
  • India proposed joint pilots with the EU in areas like Green Steel and other frontier technologies, highlighting India's pilot project for round-the-clock renewables using hydrogen and ammonia as storage.
• Green Hydrogen and Free Trade:
  • India emphasized the importance of free and open trade for the journey towards green hydrogen and cautioned against Protectionism.
  • Mentioned India's plan to increase electrolyser manufacturing capacity and upcoming Production Linked Incentive bids in that regard.
• Global Energy Efficiency Targets:
  • The Executive Vice President of the European Green Deal appreciated India's leadership in renewable energy and energy efficiency.
  • Both sides discussed the need to bring the agenda of energy efficiency to the global stage and set global energy efficiency targets.
• Grid-Scale Battery Storage Systems and Green Mobility:
  • Collaboration opportunities were explored in batteries for grid-scale storage, particularly for green mobility. India aims to have a significant market share in green mobility, with a majority of two-wheelers, three-wheelers, and a substantial portion of four-wheelers expected to be green by 2030.
• Detoxifying Agriculture and Energy Access:
  • The Power Minister expressed India's goal of transitioning away from chemical fertilizers in agriculture. The issue of energy access for the global population, especially in Africa, was discussed.
  • The role of the International Solar Alliance (ISA) in bringing clean energy to regions without access was highlighted, and a partnership between the EU, ISA, Africa, and India was proposed to address this issue.

What is EU-India Clean Energy and Climate Partnership?

• About:
  • The India-EU Clean Energy and Climate Partnership was agreed at the EU-India Summit in 2016.
  • It is financed by the Partnership Instrument of the EU and managed by the Delegation of the European Union to India.
    • PricewaterhouseCoopers Private Limited (PwC India) is the implementing partner for this project, together with NIRAS A/S, EUROCHAMBRES and the Council on Energy, Environment and Water (CEEW).
• Objective:
  • It aims to reinforce cooperation on clean energy and implementation of the Paris Agreement by strengthening joint activities for deployment of climate friendly energy sources, including solar and wind energy.
  • The objective is envisaged to be achieved by focusing on Energy Efficiency (EE), Renewable Energy (RE) and Climate Change (CC).
• Focus Areas:
  • Energy Efficiency:
    • Energy Conservation Building Code (ECBC)
    • Nearly Zero Energy Building (nZEB)
    • Smart Readiness Indicator (SRI)
  • Renewable Energy:
    • Large Scale Solar PV
    • Solar PV Rooftop
    • Offshore Wind
    • Energy Storage
    • Green Hydrogen
  • Climate Change:
    • Adaptation
    • Mitigation
    • Cooling (including Cold-Chain)
    • Knowledge Management
  • Others:
    • Smart Grid
    • Sustainable Finance

UPSC Civil Services Examination Previous Year Question (PYQ)

Q.1 Consider the following statements: (2023)

Statements-I : Recently, the United States of America (USA) and the European Union (EU) have launched the ‘Trade and Technology Council’.
Statement-II : The USA and the EU claim that through this they are trying to bring technological progress and physical productivity under their control.

Which one of the following is correct in respect of the above statements?

(a) Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I
(b) Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-I
(c) Statement-I is correct but Statement-II is incorrect
(d) Statement-I is incorrect but Statement-II is correct

Exp: (c)

• Recently, the United States of America (USA) and the European Union (EU) have launched the Trade and Technology Council’.
• The EU-US Trade and Technology Council serves as a forum for the United States and European Union to coordinate approaches to key global trade, economic, and technology issues and to deepen transatlantic trade and economic relations based on these shared values. It was established during the EU-US Summit on 15 June 2021 in Brussels. Hence, statement 1 is correct.
• US and EU discussed TTC work, with a focus on issues such as artificial intelligence, semiconductors and information and communication technology services.
• Through the Council, the EU and the US are working together to:
  • Ensure that trade and technology serve societies and economies, while upholding our common values
  • Strengthen their technological and industrial leadership
  • Expand bilateral trade and investment
• Hence, statement 2 is not correct.

Q.2 Consider the following statements: (2023)

The ‘Stability and Growth Pact’ of the European Union is a treaty that

1. limits the levels of the budgetary deficit of the countries of the European Union

2. makes the countries of the European Union to share their infrastructure facilities

3. enables the countries of the European Union to share their technologies

How many of the above statements are correct?

(a) Only one 
(b) Only two
(c) All three
(d) None

Exp: (a)

• The Stability and Growth Pact is a political agreement that sets limits on the fiscal deficits and public debt of the Member States of the European Monetary Union (EMU). Hence, statement 1 is correct.
• These guidelines are intended to ensure sound management of public finances within the EMU in order to prevent one Member State’s irresponsible budgetary policies from spilling over and undermining the economic stability of the entire euro area
• The European Union Stability and Trade Pact does not make any provision related to sharing of infrastructure and technology.
• Hence, statements 2 and 3 are not correct.

Source: PIB