United NationsDepartment of Economic and Social Affairs Sustainable Development


CSD 14: Enhancing the contributions of the private sector and other
stakeholders in addressing air pollution, atmospheric problems, combating
climate change, and promoting industrial development:
Statement by the Indian delegation:
Mr. Chairman:
Since the advent of economic liberalization in the early 1990s, the
Indian industrial sector has grown rapidly. The corporate sector has made
significant investments in the energy supply sector, going beyond thermal power
and petroleum, to include hydropower, wind and solar power, coal bed methane,
and biodiesel.
In parallel with rapid but sequenced economic liberalization, the Government has
taken several measures at increasing energy efficiency, and reducing pollution.
The outcome has been increased efficiency in energy and overall resource use
throughout the economy. Accordingly, the energy intensity of the economy has
fallen steadily on an aggregate basis, from about 0.3 kgoe per $ GDP at PPP in
1971 to less than 0.2 kgoe per $ GDP at PPP in 2003.
In individual energy intensive sectors, reductions in energy use have been
appreciable. For example, in 1990/91, the steel industry on average, consumed
9.29 Gigacalories per tonne of crude steel; by 2004/05, this had fallen to 7.28. In
newer plants in the cement, aluminum, paper and pulp, and textiles sectors, the
levels of energy efficiency compare well with levels in advanced industrial
There are numerous examples of successful innovation in reducing energy use
and pollution abatement by the corporate sector. For example, Tata International
Ltd., has undertaken the conversion of chrome leather waste to biomass energy,
reducing the generation of waste water, saving 127 tonnes of coal in a single
factory annually, and recovering chromium for reuse, while ensuring financial
viability. As another example, the DCM Shriram Consolidated Ltd., has
developed an integrated industrial complex at Kota, Rajasthan, so designed that
the waste generated by one unit is used as raw material in another. For example,
a cement plant in the complex utilizes waste from the carbide plant.
A particular challenge is the small-scale industrial sector. I would mention an
initiative by a NGO ? The Energy and Resources Institute (TERI), in association
with the Swedish Development Corporation (SDC). The initiative targeted
foundries, glass works, brick kilns, and several units using biomass based fuels.
Outcomes of this intervention include: development of 8 clean technology
packages; enhancing awareness of energy efficiency and pollution abatement in
several thousand small and micro enterprises throughout the country; and
replication, which is continuing, and now exceeds 300 units, with CO2 reductions
estimated at 200,000 tonnes by 2008.
The renewable energy sector in India, currently has more than 300
manufacturers producing a great diversity of products, and a domestic market
estimated at over US$ 1 billion annually. Government policies, including
budgetary support for demonstration projects, a legal framework for wheeling and
banking of power, remunerative tariffs, capacity building activities, and education
and information dissemination have supported the sector. Several Indian
manufacturers now compete successfully in the global market, and one wind
power company, Suzlon Ltd., is listed on NASDAQ.
A joint initiative of the Ministry of Environment & Forests and industry
associations, is the Charter on Corporate Responsibility for Environmental
Protection (CREP). The charter is a voluntary commitment for partnership and
participatory action of concerned stakeholders, for improvement in environmental
management in 17 categories of polluting industries. 8 Task Forces have been
set up to facilitate implementation of the action plan, and these have undertaken
site visits for peer assessment of adherence to the plan by individual units.
Last year, the ITC, a major private sector corporate, instituted an annual award
for industries demonstrating strong commitment to sustainable development in all
three aspects ? economic performance, environmental management, and social
responsibility, through a carefully structured, transparent evaluation process.
Interestingly, the results show strong positive correlation between economic
performance, environmental management, and beneficial interactions with local
At the same time, community action has ensured that industries are held to
account if they neglect community concerns. In numerous instances, the courts
at all levels, including the Supreme Court, have intervened at the instance of
local communities. The successful transformation of New Delhi?s commuter bus
services entirely to CNG, is due to intervention by the Supreme Court.
Mr Chairman: India?s proactive implementation of the Clean Development
Mechanism (CDM) is well known. Till April 2006, 295 CDM projects, all except a
very few by Indian domestic industry, received host country approval. 43 of these
projects have also been registered by the CDM Executive Board, and of these
several are already generating CERs. India is also a Partner in the Asia-Pacific
Partnership on Clean Energy and Climate, which is a voluntary partnership
among 6 countries in Asia-Pacific, and focused on R&D in clean technologies,
investment, and deployment. Indian industry is actively considering several
specific proposals in the Action Plans being drawn up by 8 Task Forces.
Thank you, Mr. Chairman.