“The Relationship between Economic Growth and Environmental Degradation in India”

"The Relationship between Economic Growth and Environmental Degradation in India"
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It is true that the connection between environmental pollution and economic growth is extremely complicated and influenced by a wide range of variables, including the size of the economy, the sectoral makeup, the makeup of energy consumption, and the age of technology. To mention a few, it also covers the requirements of environmental conservation laws and practices and the function of the regulator.

Environmental degradation has resulted from the adoption of a development strategy in India and other developing nations that is primarily based on large-scale industrialization, energy-intensive technologies, and biochemically based agricultural technology while ignoring the indigenous growth paradigm based on locally self-reliant technologies. We will discuss numerous environmental problems, the negative effects of climate change, and the necessity of sustainable development in this post.

Nonetheless, everyone acknowledges the necessity to strike the correct balance between the environmental pollution brought on by the expansion of industry and the steady expansion of the economy. Such a balance has become crucial not only because the economizing is recovering from the pandemic’s effects, confronting the fallout from the war between Ukraine and Russia, and combating rising global inflation, but also because it is necessary to support millions of people.

Otherwise, conflicts will arise, causing projects to be delayed or blocked, as was the case, among many others, with the West Bengal, Tata Nano project in Singur, and the South Korean steel company POSCO in Odisha. Before it even got off the ground, the Tata group’s 2001 effort to establish a 50,000-ton per year titanium oxide project in Tamil Nadu with an asset of Rs 2,500 crore was abandoned. The Tata company was unable to secure the land for the assignment despite the state government’s consent due to persistent opposition from vested interests.

According to the IB report, “the stalling of large-scale industrial projects like POSCO and Vedanta is well documented, including the role of European NGOs like UK-based Amnesty International, Action Aid, and Survival International.” Greenpeace has launched a persistent campaign against the import of palm oil from Indonesia, contending that the Indian request encourages deforestation and peatland devastation in that industry.

A few other states, including Odisha, West Bengal, Tamil Nadu, and Maharashtra, appear to have been held captive by associations of environmental Organizations. They continue to obstruct expensive initiatives that may promote the economy of the nation.

Particle smog from the burning of fossil fuels is one of India’s major environmental issues. Because of the economy’s rapid growth, this has major health repercussions that are getting worse. But, policymakers are concerned that pollution control measures would severely slow down growth because economic development is a necessity. The tradeoffs entangled in reducing local contaminants like particles are discussed in this work. It analyzes the effects of a tax on coal or on particle emissions such that these devices result in emission classes that are, respectively, 10% and 30% lower than they otherwise would be in 2030 using a well-established Computable General Equilibrium model. It analyzes the effects of a tax on coal or particle emissions so that, in 2030, these measures result in emission statuses that are 10 percent and 30 percent lower, respectively, than they otherwise would be.

The following are the key conclusions: I A 10% reduction in particulate emissions reduces gross domestic product, but the amount of the compacting is subtle; (ii) Losses in GDP from the tax are partially offset by the health benefits of lower particulate emissions; (iii) The taxes reduce carbon dioxide emissions by approximately 590 million tonnes in 2030 in the case of a 10% reduction and 830 million tonnes in the case of a 30% reduction; and (iv) When combined, the carbon dioxide and particulate emission reductions are equivalent to the loss of gross. 

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