ABSTRACT
The Intergovernmental Panel of Climate Change (IPCC) in its sixth assessment report discusses the issue of insufficient financing as a key cause for both mitigation and adaptation gap globally. Further, finance flows are heavily skewed in favour of mitigation and relatively neglect adaptation. Current climate finance in India is less than 25% of what is needed to achieve the 2030 Nationally Determined Contributions (NDCs). The large gap in climate finance availability versus need is similarly reflected at the subnational level in India. International climate funds such as Green Climate Fund do not adequately fill the climate finance gap at the subnational level. In this context, this chapter has conducted a budgetary analysis of state budget of Maharashtra for FY 2023–2024 to understand how public expenditures by government departments in Maharashtra prioritise climate action at the state level. The chapter will also undertake a climate budget tagging exercise in the state to track and mainstream climate action in development planning and budget formulation. At the subnational level, there is also a need to build capacities on climate finance for stakeholders – this chapter contributes to supporting the government at the subnational level on creating awareness, training and institutionalising climate finance cells to deal with challenges of accessing climate finance.
