The main achievement of COP29 is the agreement on the rules for the global carbon market, enabling nations to cooperate in trading carbon credits. This will generate substantial funding, particularly from tech companies like Google, Amazon, Infosys, and Alibaba, as well as airlines and medical companies. These funds can support green initiatives in developing nations. For example, in India, the carbon market can help finance natural farming in Andhra Pradesh, tree planting in Madhya Pradesh, mangrove protection in Tamil Nadu, and green development in Gujarat. This is not a handout, but a legitimate opportunity within the global carbon market.
Expectations
I do not expect any major breakthroughs. Private investment from companies is a significant financial flow, and the carbon market provides another major source of funding. Companies like Google and Amazon, which aim to become carbon neutral, will achieve this partly by purchasing carbon credits.
New Collective Quantified Goal
Contrary to many others, I believe the new collective quantified goal is not a major issue. While global finance for least-developed countries and money for climate adaptation are necessary and can only be provided by governments, the main efforts focus on restructuring economies—such as transitioning to electric vehicles, solar energy, and wind power. These efforts are best driven by the market. The green revolution will primarily rely on the market, but markets need governments to regulate and frame the rules. Without government action, markets alone cannot work effectively.
Tripling Goal
Asia is the most likely region to achieve and surpass the tripling goal. However, other regions may also meet the targets, albeit more slowly. China invested $900 billion in renewables last year, which is 20 times the entire economy of Nepal. This investment covers solar, wind, and hydropower industries.
India is also moving rapidly. For instance, in Madhya Pradesh, I recently visited Omkareshwar, where the world’s largest floating solar plant is located. Other Indian states are also setting ambitious green energy goals.
Africa has significant potential for solar energy due to its vast landmass and abundant sunlight. The challenge lies in securing the right government policies and regulations to attract investors. The situation in the United States is uncertain, particularly with Trump’s stance on climate change.
In Europe, the Green New Deal provides a good framework to drive the green revolution. Overall, Asia is leading, but it is important to ensure other regions follow its example.
India’s Green Development
I recently attended a large renewable energy conference in Ahmedabad, where Prime Minister Narendra Modi spoke about India’s green development for an hour. He highlighted the enormous opportunities for India to grow through green energy—creating jobs, boosting prosperity, raising the entire population into the middle class, and providing energy for every household. Modi views green development as a state-building vision, one that will elevate India to a leadership role in the 21st century.
This will succeed because it is not just an environmental issue, but is tied to broader economic dynamics. India’s efforts are not only coming from the central government but also from states. Andhra Pradesh, for example, is a leader in green agriculture and natural farming, while Tamil Nadu has established numerous wildlife reserves. Telangana has increased its tree cover by 7%, a remarkable achievement. Madhya Pradesh has declared itself the “Tiger State” to promote tourism and local prosperity.
There are no climate change deniers in India. Unlike in the United States and Europe, where political leaders deny climate change, all of India’s political parties—including the BJP, Congress, CPM, and regional parties—embrace the global green vision. This widespread consensus makes it easier to achieve green goals compared to countries where strong counterforces exist.
