Extreme Heat


What we know
India is already experiencing a warming climate.
What could happen
Unusual and unprecedented spells of hot weather are expected to occur far more frequently and cover much larger areas.
Under 4°C warming, the west coast and southern India are projected to shift to new, high-temperature climatic regimes with significant impacts on agriculture.
What can be done
With built-up urban areas rapidly becoming “heat-islands”, urban planners will need to adopt measures to counteract this effect.

Changing Rainfall Patterns


What we know
A decline in monsoon rainfall since the 1950s has already been observed. The frequency of heavy rainfall events has also increased.
What could happen
A 2°C rise in the world’s average temperatures will make India’s summer monsoon highly unpredictable.
At 4°C warming, an extremely wet monsoon that currently has a chance of occurring only once in 100 years is projected to occur every 10 years by the end of the century.
An abrupt change in the monsoon could precipitate a major crisis, triggering more frequent droughts as well as greater flooding in large parts of India.
India’s northwest coast to the south eastern coastal region could see higher than average rainfall.
Dry years are expected to be drier and wet years wetter.
What can be done
Improvements in hydro-meteorological systems for weather forecasting and the installation of flood warning systems can help people move out of harm’s way before a weather-related disaster strikes.
Building codes will need to be enforced to ensure that homes and infrastructure are not at risk.

Droughts


What we know
Evidence indicates that parts of South Asia have become drier since the 1970s with an increase in the number of droughts.
Droughts have major consequences. In 1987 and 2002-2003, droughts affected more than half of India’s crop area and led to a huge fall in crop production.
What could happen
Droughts are expected to be more frequent in some areas, especially in north-western India, Jharkhand, Orissa and Chhattisgarh.
Crop yields are expected to fall significantly because of extreme heat by the 2040s.
What can be done
Investments in R&D for the development of drought-resistant crops can help reduce some of the negative impacts.

Groundwater


What we know
More than 60% of India’s agriculture is rain-fed, making the country highly dependent on groundwater.
Even without climate change, 15% of India’s groundwater resources are overexploited.
What could happen
Although it is difficult to predict future ground water levels, falling water tables  can be expected to reduce further on account of increasing demand for water from a growing population, more affluent life styles, as well as from the services sector and industry.
What can be done
The efficient use of ground water resources will need to be incentivized.

Glacier Melt


What we know
Glaciers in the northwestern Himalayas and in the Karakoram range – where westerly winter winds are the major source of moisture – have remained stable or even advanced.
On the other hand, most Himalayan glaciers – where a substantial part of the moisture is supplied by the summer monsoon – have been retreating over the past century.
What could happen
At 2.5°C warming, melting glaciers and the loss of snow cover over the Himalayas are expected to threaten the stability and reliability of northern India’s primarily glacier-fed rivers, particularly the Indus and the Brahmaputra.  The Ganges will be less dependent on melt water due to high annual rainfall downstream during the monsoon season.
The Indus and Brahmaputra are expected to see increased flows in spring when the snows melt, with flows reducing subsequently in late spring and summer.
Alterations in the flows of the Indus, Ganges, and Brahmaputra rivers could significantly impact irrigation, affecting the amount of food that can be produced in their basins as well as the livelihoods of millions of people (209 million in the Indus basin, 478 million in the Ganges basin, and 62 million in the Brahmaputra basin in the year 2005).
What can be done
Major investments in water storage capacity would be needed to benefit from increased river flows in spring and compensate for lower flows later on.

Sea level rise


What we know
Mumbai has the world’s largest population exposed to coastal flooding, with large parts of the city built on reclaimed land, below the high-tide mark.  Rapid and unplanned urbanization further increases the risks of sea water intrusion.
What could happen
With India close to the equator, the sub-continent would see much higher rises in sea levels than higher latitudes.
Sea-level rise and storm surges would lead to saltwater intrusion in the coastal areas, impacting agriculture, degrading groundwater quality, contaminating drinking water, and possibly causing a rise in diarrhea cases and cholera outbreaks, as the cholera bacterium survives longer in saline water.
Kolkata and Mumbai, both densely populated cities, are particularly vulnerable to the impacts of sea-level rise, tropical cyclones, and riverine flooding.
What can be done
Building codes will need to be strictly enforced and urban planning will need to prepare for climate-related disasters.
Coastal embankments will need to be built where necessary and Coastal Regulation Zone codes enforced strictly.

Agriculture and food security


What we know
Even without climate change, world food prices are expected to increase due to growing populations and rising incomes, as well as a greater demand for biofuels. 
 Rice: While overall rice yields have increased, rising temperatures with lower rainfall at the end of the growing season have caused a significant loss in India’s rice production. Without climate change, average rice yields could have been almost 6% higher (75 million tons in absolute terms).
Wheat: Recent studies shows that wheat yields peaked in India and Bangladesh around 2001 and have not increased since despite increasing fertilizer applications. Observations show that extremely high temperatures in northern India – above 34°C – have had a substantial negative effect on wheat yields, and rising temperatures can only aggravate the situation.
What could happen
Seasonal water scarcity, rising temperatures, and intrusion of sea water would threaten crop yields, jeopardizing the country’s food security.
Should current trends persist, substantial yield reductions in both rice and wheat can be expected in the near and medium term.
Under 2°C warming by the 2050s, the country may need to import more than twice the amount of food-grain than would be required without climate change.
What can be done
Crop diversification, more efficient water use, and improved soil management practices, together with the development of drought-resistant crops can help reduce some of the negative impacts.

Energy Security


What we know
Climate-related impacts on water resources can undermine the two dominant forms of power generation in India – hydropower and thermal power generation – both of which depend on adequate water supplies to function effectively.
To function at full efficiency, thermal power plants need a constant supply of fresh cool water to maintain their cooling systems.
What could happen
The increasing variability and long-term decreases in river flows can pose a major challenge to hydropower plants and increase the risk of physical damage from landslides, flash floods, glacial lake outbursts, and other climate-related natural disasters.
Decreases in the availability of water and increases in temperature will pose major risk factors to thermal power generation.
What can be done
Projects will need to be planed taking into account climatic risks.

Water Security


What we know
Many parts of India are already experiencing water stress. Even without climate change, satisfying future demand for water will be a major challenge.
Urbanization, population growth, economic development, and increasing demand for water from agriculture and industry are likely to aggravate the situation further.
What could happen
An increase in variability of monsoon rainfall is expected to increase water shortages in some areas.
Studies have found that the threat to water security is very high over central India, along the mountain ranges of the Western Ghats, and in India’s northeastern states.
What can be done
Improvements in irrigation systems, water harvesting techniques, and more-efficient agricultural water management can offset some of these risks.

Health


What we know
Climate change is expected to have major health impacts in India- increasing malnutrition and related health disorders such as child stunting – with the poor likely to be affected most severely. Child stunting is projected to increase by 35% by 2050 compared to a scenario without climate change.
Malaria and other vector-borne diseases, along with and diarrheal infections which are a major cause of child mortality, are likely to spread into areas where colder temperatures had previously limited transmission.
Heat waves are likely to result in a very substantial rise in mortality and death, and injuries from extreme weather events are likely to increase.
What could happen
Health systems will need to be strengthened in identified hotspots.
What can be done
Improvements in hydro-meteorological systems for weather forecasting and the installation of flood warning systems can help people move out of harm’s way before a weather-related disaster strikes.
Building codes will need to be enforced to ensure that homes and infrastructure are not at risk.

Migration and conflict


What we know
South Asia is a hotspot for the migration of people from disaster-affected or degraded areas to other national and international regions.
The Indus and the Ganges-Brahmaputra-Meghna Basins are major trans boundary rivers, and increasing demand for water is already leading to tensions among countries over water sharing.
What could happen
Climate change impacts on agriculture and livelihoods can increase the number of climate refugees.
What can be done
Regional cooperation on water issues will be needed.
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  • Petrol in India is cheaper than in countries like Hong Kong, Germany and the UK but costlier than in China, Brazil, Japan, the US, Russia, Pakistan and Sri Lanka, a Bank of Baroda Economics Research report showed.

    Rising fuel prices in India have led to considerable debate on which government, state or central, should be lowering their taxes to keep prices under control.

    The rise in fuel prices is mainly due to the global price of crude oil (raw material for making petrol and diesel) going up. Further, a stronger dollar has added to the cost of crude oil.

    Amongst comparable countries (per capita wise), prices in India are higher than those in Vietnam, Kenya, Ukraine, Bangladesh, Nepal, Pakistan, Sri Lanka, and Venezuela. Countries that are major oil producers have much lower prices.

    In the report, the Philippines has a comparable petrol price but has a per capita income higher than India by over 50 per cent.

    Countries which have a lower per capita income like Kenya, Bangladesh, Nepal, Pakistan, and Venezuela have much lower prices of petrol and hence are impacted less than India.

    “Therefore there is still a strong case for the government to consider lowering the taxes on fuel to protect the interest of the people,” the report argued.

    India is the world’s third-biggest oil consuming and importing nation. It imports 85 per cent of its oil needs and so prices retail fuel at import parity rates.

    With the global surge in energy prices, the cost of producing petrol, diesel and other petroleum products also went up for oil companies in India.

    They raised petrol and diesel prices by Rs 10 a litre in just over a fortnight beginning March 22 but hit a pause button soon after as the move faced criticism and the opposition parties asked the government to cut taxes instead.

    India imports most of its oil from a group of countries called the ‘OPEC +’ (i.e, Iran, Iraq, Saudi Arabia, Venezuela, Kuwait, United Arab Emirates, Russia, etc), which produces 40% of the world’s crude oil.

    As they have the power to dictate fuel supply and prices, their decision of limiting the global supply reduces supply in India, thus raising prices

    The government charges about 167% tax (excise) on petrol and 129% on diesel as compared to US (20%), UK (62%), Italy and Germany (65%).

    The abominable excise duty is 2/3rd of the cost, and the base price, dealer commission and freight form the rest.

    Here is an approximate break-up (in Rs):

    a)Base Price

    39

    b)Freight

    0.34

    c) Price Charged to Dealers = (a+b)

    39.34

    d) Excise Duty

    40.17

    e) Dealer Commission

    4.68

    f) VAT

    25.35

    g) Retail Selling Price

    109.54

     

    Looked closely, much of the cost of petrol and diesel is due to higher tax rate by govt, specifically excise duty.

    So the question is why government is not reducing the prices ?

    India, being a developing country, it does require gigantic amount of funding for its infrastructure projects as well as welfare schemes.

    However, we as a society is yet to be tax-compliant. Many people evade the direct tax and that’s the reason why govt’s hands are tied. Govt. needs the money to fund various programs and at the same time it is not generating enough revenue from direct taxes.

    That’s the reason why, govt is bumping up its revenue through higher indirect taxes such as GST or excise duty as in the case of petrol and diesel.

    Direct taxes are progressive as it taxes according to an individuals’ income however indirect tax such as excise duty or GST are regressive in the sense that the poorest of the poor and richest of the rich have to pay the same amount.

    Does not matter, if you are an auto-driver or owner of a Mercedes, end of the day both pay the same price for petrol/diesel-that’s why it is regressive in nature.

    But unlike direct tax where tax evasion is rampant, indirect tax can not be evaded due to their very nature and as long as huge no of Indians keep evading direct taxes, indirect tax such as excise duty will be difficult for the govt to reduce, because it may reduce the revenue and hamper may programs of the govt.