Solar subsidies are being used in a manner that increases temperature rather than reduces it

In 1985, during a visit to the drought-stricken Kalahandi district in Odisha, Rajiv Gandhi highlighted that only 15 paise out of every rupee allocated by the government reached the intended beneficiaries. This issue persists today, with the only difference being that governments have devised new methods to exclude beneficiaries from receiving benefits. To illustrate this point, let's examine the case of solar sector subsidies.

Firstly, why do we offer significant subsidies to promote solar energy production? The answer lies in the detrimental impact of burning fossil fuels like petrol and diesel, which contribute to global warming, making the Earth less hospitable. Solar energy, on the other hand, is clean and aids in reducing the Earth's temperature.

It's crucial for readers to understand the concept of Global Warming Potential (GWP) associated with different pollutants. For instance:

  1. CO2 has a GWP of 1.

  2. Methane (CH4) has a GWP of 28–36.

  3. Nitrous Oxide (N2O) has a GWP 265–298 times that of CO2.

  4. CFCs and HFCs have a GWP 5000 to 8000 times that of CO2.

CFCs and HFCs, predominantly emitted by air conditioners, significantly contribute to global warming. While it's the affluent who often utilize air conditioning, it's the poor who bear the brunt of rising temperatures. For instance, laborers in sectors like real estate have no choice but to work in extreme heat conditions, leading to health issues and even fatalities.

Consider these sobering facts about the impact of heatwaves, exacerbated by AC usage:

  1. Heatwaves have claimed over 17,000 lives in India in the last 50 years.

  2. Nearly 75% of the labor force in India is exposed to heat-related stress.

  3. By 2030, the loss of working hours due to heatwaves could jeopardize 2.5 to 4.5 percent of the GDP annually.

The crux of the matter is that the poor are suffering due to the actions of the affluent. Ideally, the government should implement policies that penalize excessive AC usage by the wealthy and provide financial relief to the poor for adaptive measures against heat.

However, the current approach taken by governments is counterproductive. Massive subsidies are provided to anyone installing solar panels, but the high initial investment required makes it inaccessible to many. Consequently, the subsidy benefits are primarily enjoyed by the affluent, who ironically contribute to increased temperatures by running multiple AC units.

In essence, the government subsidizes solar energy to cool a few households while inadvertently contributing to overall temperature rise. Therefore, it's imperative to rethink the allocation of solar subsidies for more effective purposes.

One proposed alternative is to provide solar subsidies based on need and consumption. For instance, households with fewer AC units could receive higher subsidies, while those with more units receive lesser subsidies or none at all. Additionally, implementing a phased subsidy system based on AC usage could ensure fair distribution of benefits.

Furthermore, adopting models like PM-KUSUM for households could make solar panels more affordable. Under PM-KUSUM, a combination of subsidies and soft loans significantly reduces the upfront investment required, making solar energy accessible to the middle and lower-middle class.

In conclusion, by revising subsidy allocation mechanisms and promoting equitable access to solar energy, the government can effectively combat global warming while uplifting disadvantaged communities.

I like to end this post on a lighter note. What happening in the solar subsidy model right now is similar to the famous song of the Rajesh Khanna starter movie Amar prem song - चिंगारी कोई भड़के, तो सावन उसे बुझाये....सावन जो अगन लगाये, उसे कौन बुझाये? At present, as solar energy deployment contributes to rising temperatures, the pertinent question arises: Who will undertake the task of cooling down the environment?

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Suchak

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