As India charts its path towards net-zero emissions by 2070, the upcoming Union Budget presents a crucial opportunity to accelerate our sustainability transition. From an industry perspective, several key areas warrant attention to create an enabling environment for sustainable business practices while strengthening India’s position as a leader in climate action.

First and foremost, we need a more robust framework for managing electronic waste. With India generating over 3 million tonnes of e-waste annually, the Budget should consider introducing financial incentives for companies implementing extended producer responsibility programmes. Tax benefits for establishing authorised recycling facilities and investments in recycling technology could catalyse the development of a circular economy for electronics.

Renewable energy adoption, particularly solar, requires continued policy support. While programmes like PM Surya Ghar Muft Bijli Yojana have shown promise, the Budget should address implementation challenges. Industry stakeholders would welcome clarity on financial structures for rooftop solar installations and extensions of customs duty concessions on essential components. Additionally, the government could consider expanding the list of exempted capital goods for manufacturing solar equipment to boost domestic production capabilities.

The Budget should also prioritise green manufacturing initiatives. With the National Green Hydrogen Mission targeting production of 5 million metric tonnes annually by 2030, we need targeted incentives for research, development and scaling up of clean energy technologies. The reintroduction of concessional corporate tax rates for new manufacturing companies in the green technology sector could accelerate investments in sustainable production.

Digital transformation will play a crucial role in achieving our sustainability goals. The Budget should allocate resources for developing smart grid infrastructure and implementing IoT solutions for energy management. Investment in digital tools for environmental monitoring and reporting would help businesses track and improve their sustainability performance more effectively.

Climate adaptation deserves equal attention. As extreme weather events become more frequent, businesses need support in building resilience. The Budget could introduce schemes for climate-proofing industrial infrastructure and incentivise the adoption of climate-smart technologies across sectors.

Human capital development cannot be overlooked. We need skilled professionals to drive the green transition. The Budget should emphasise technical training programmes in renewable energy, waste management and sustainable manufacturing practices. Industry-academia partnerships could be encouraged through targeted funding mechanisms.

Looking ahead, the success of India’s sustainability journey will depend largely on how effectively we can align economic growth with environmental stewardship. The Union Budget must therefore strike a balance between ambitious targets and practical implementation measures, creating a roadmap that industry can confidently follow.

Ultimately, sustainability is not just about compliance—it’s about competitiveness in a rapidly evolving global marketplace. Through well-structured fiscal incentives and policy support, the Budget can help Indian industry embrace this transformation and emerge as a leader in sustainable business practices.