ABSTRACT

The Indian power sector offers significant potential for efficiency improvements and mitigation of emissions by adopting the three suggested policy measures along the electricity supply chain. However, the proposed steps are difficult to implement on the desired scale due to the poor financial state of the sector and a lack of domestic financing. The choice of technology is often guided by cost minimization and capital constraints and does not explicitly price carbon. Domestic drivers alone cannot address this. International cooperation, both financial and technical, can be helpful in addressing such local development issues as well as the global climate challenge.