ABSTRACT
India is actively undertaking measures and rolling out initiatives to address climate change. The country has announced its ambition to become net zero by 2070 and has enhanced its ambitious Nationally Determined Contributions to be achieved by 2030. A strategic transition plan, as envisaged in India’s Long-Term Low-Carbon Development Strategy, has been prepared to work in this direction. While central/national level initiatives and policy measures are being put in place, a significant quantum of endeavours will need to stem from the sub-national level. States, Districts, Urban Local Bodies, and other local bodies at Panchayat level are proactively developing strategies and plans for scaling-up climate action while building climate resilience. For effectively translating these strategies and plans into tangible, on-the-ground actions and to achieve the climate benefits, new and additional finance (climate finance) is crucial. This chapter attempts to explore the sources, gaps and barriers to enable financing climate action at local level. It also attempts to understand the nuancing of climate mitigation and adaptation. The chapter also provides practical solutions for bridging the existing gap that constrains translating ambition into action through relevant case studies of grassroots level, and proposing innovative financing approaches for effective actions.
