India – Just Transition Initiative

What is "Just Transition"?

Podcast/Guidelines, Strategies and Recommendations

Nov 2021

Just Transitions: Focusing on South Africa and India

This podcast explores CoP26 agenda and key priorities for a just transition away from coal in two coal dependent emerging economies: India and South Africa.

Geographic Scope
Sectors: Energy; General; Mining
By: Sandeep Pai, Chandra Bhushan, Jesse Burton
Publishing Organization: Climate Investment Funds (CIF), Center for Strategic and International Studies
Academic/research institution or journal, Development finance institution
Summary: Chandra Bhushan with iFOREST and Jesse Burton with the University of Cape Town join Sandeep Pai (CSIS) to look at how key themes of just transitions are important in the context of CoP26 meetings. They then discuss the key priorities on the ground for a just transition away from coal in the major economies of South Africa and India.

Podcast/Guidelines, Strategies and Recommendations

Nov 2021

Just Transitions: Economic Diversification for Coal Dependent regions

This podcast looks at various opportunities and challenges for coal dependent regions in India and South Africa to create just and sustainable pathways to diversify their economies.

Geographic Scope
Sectors: Energy; Mining
Focus Areas: Economic diversification/restructuring > Economic development plans, Infrastructure investment; Employment > (Re)Training and/or educational programs, Skills; Environment and/or pollution > Human health; Government intervention > Public finance, Regulation
By: Sandeep Pai, Gaylor Montmasson-Clair, Srestha Banerjee
Publishing Organization: Climate Investment Funds (CIF), Center for Strategic and International Studies
Academic/research institution or journal, Development finance institution
Summary: Gaylor Montmasson-Clair with Trade & Industrial Policy Strategies (TIPS) and Srestha Banerjee with iForest join Sandeep Pai (CSIS) to explore the opportunities and challenges for coal dependent regions in India and South Africa to create just and sustainable pathways to diversify their economies.

Podcast/Guidelines, Strategies and Recommendations

Mar 2021

Just Transitions: India’s Path Forward

This podcast discusses the importance of a just transition in the context of climate change policies and investments and explores the impact of Covid-19 on just transitions.

Geographic Scope
Sectors: Energy
Focus Areas: Employment; Government intervention > Other, Regulation
By: Neha Sharma, Ajay Mathur, Srestha Banerjee, Mike Ward
Publishing Organization: Center for Strategic and International Studies, Climate Investment Funds (CIF)
Academic/research institution or journal, Development finance institution
Summary: As the energy transition in India accelerates, how do decisionmakers ensure that the transition is a just and equitable transition? Neha Sharma, Ajay Mathur, Srestha Banerjee, and Mike Ward look at the underlying drivers of India’s energy transitions, and key considerations for creating a just transition, including the need for fairness and equity, geographic disparities, lack of social mobility, labor policy, and energy access.

Report/Case Study; Guidelines, Strategies and Recommendations

Jun 2021

Assessing vulnerability from coal dependence and need for a just transition

This paper identifies the linkages that surround the Indian coal economy as well as the possible economic, societal, and cultural repercussions of a coal phaseout in the major coal mining states.

Geographic Scope
Sectors: Mining
Focus Areas: Employment > Job creation and/or equality; Environment and/or pollution > Nature; Government intervention > Public finance, Regulation; Inequality and/or poverty > Gender inequality; Investment > ESG and corporate engagement; Social and/or cultural impacts > Non-financial loss, Other
Keywords: Coal communities; tribal women; health insurance; income inequality; informal sector; CSR revenue; state revenue; community identity; livelihood alternatives; social capital of land; illegal mining; legislative gaps; energy democracy
By: Souvik Bhattacharjya, Ruchi Gupta, G. Mini, Saswata Chaudhury, Mani Juneja, Kartikey Sharma
Publishing Organization: The Energy and Resources Institure (TERI)
Academic/research institution or journal
Summary: This paper—the first of a two-part release from The Energy and Resources Institute (TERI)—lays out the socioeconomic and environmental contexts of the coal economy in India. The authors highlight the detrimental impacts that the phaseout is likely to have on: the livelihoods and social surplus across coal-dependent states; the coal royalties that make up a significant portion of the no-tax revenue for a state; the stoppage of social empowerment initiatives and infrastructural losses; along with the unintended losses of the financial and social structures functioning within the gray market of the coal mining industry.

The authors also draw out the disproportionate impact on women and the vulnerable within these communities expected from the phaseout. The authors contend that in a mixed economy like India, a just transition takes utmost precedence, because it not only aims to formalize the deeply informal coal sector, but also seeks to achieve the critical characteristics needed to fulfill the notion of an “energy democracy”. The paper also discusses how the existing regulatory framework cannot comprehensively handle the complex interlinkages that exist within the subsector of the informal mining segment, part of which is both licensed and illegal and part of which is artisanal in nature.

Report/Policy Tools or Evaluations

Jun 2021

Towards a Just Transition Finance Roadmap for India: Laying the foundations for practical action

The report identifies priority actions for the financial sector in India to address social risks arising from the economic transition, with the help of a just transition framework that assesses the exposure by sector and region.

Geographic Scope
Sectors: Energy; General; Industrial; Mining; Transportation
Focus Areas: Employment > Job creation and/or equality; Government intervention > Other, Public finance, Regulation; Investment > ESG and corporate engagement, Other, Private finance
Keywords: India Just Transition Finance Roadmap (JTFR) project; urbanization; digitalization; Sustainable Development Goals (SDGs); double materiality; credit rating; green bond regulations; ESG reporting; Central Banks and Supervisors Network for Greening the Financial System (NGFS); freight; cement; green bonds; green loans; Reserve Bank of India; fiscal policy; CSR
By: Suranjali Tandon, Annapurna Mitra, Nick Robins
Publishing Organization: CDC Investment Works
Academic/research institution or journal
Summary: This report, a product of the India Just Transition Finance Roadmap (JTFR) project, identifies some priority actions that financial institutions can take to support climate action that also delivers positive results in terms of livelihoods and sustainable development. It involves a review of existing practices, an assessment of exposure by sector and region, and the identification of some priority actions for the finance sector. The authors describe the just transition agenda as the “connective tissue” that binds climate goals with social outcomes.

The authors highlight how India simultaneously confronts the challenges of multiple economic transitions—urbanization, digitalization, and the shift to zero carbon. They identify the distributional impacts on Indian states in sectors that are expected to be the most impacted, including: coal mining, electricity generation, agriculture, manufacturing and industry, along with transportation. Using the four dimensions of social risk arising from the net zero transition—namely livelihoods, energy access, public finance, and human development, they find that Madhya Pradesh, Jharkhand, Chattisgarh, Uttar Pradesh, Bihar, Odisha, Telangana, and Rajasthan will be the most affected by the zero-carbon transition.

The authors suggest that the framework shows a possible mapping of risks to investments, highlighting the role that financial sector players, regulators, and policymakers need to play in ensuring that a just transition is achieved. Furthermore, they highlight how the framework can be used to provide guidance for investors to understand company operations in vulnerable regions, and whether there are any investment strategies capable of mitigating the risks in these regions. It can also provide guidance for investors seeking to align capital allocations with the just transition framework. From their conversations with investors, the authors identify how the just transition is still at an early stage of development in India and needs definition and how it needs to be placed in a core sustainable developmental context. Furthermore, the conversations also reveal that policy action is a crucial catalyst for a just transition and that shareholder engagement on just transitions is increasing.

Academic paper/Guidelines, Strategies and Recommendations

Mar 2020

Solar has greater techno-economic resource suitability than wind for replacing coal mining jobs

The article uses spatial analysis to explore the potential of renewable energy jobs directly replacing local jobs lost in the coal sector, with a focus on four major coal-producing countries, namely China, India, Australia, and the United States.

Geographic Scope
Sectors: Energy; Mining
Focus Areas: Employment > Job creation and/or equality
Keywords: spatial analysis; techno-economic resource suitability analysis; GIS tools; solar jobs; wind jobs; coal miners
By: Sandeep Pai, Hisham Zerriffi, Jessica Jewell, Jaivik Pathak
Publishing Organization: Environmental Research Letters
Academic/research institution or journal
Summary: With a focus on China, India, the United States, and Australia, the article uses spatial analysis to identify the local solar and wind capacities required for each coal mining area to enable all coal miners to transition to solar/wind jobs. It also assesses the resource availability in these areas and the scale of the deployment of renewables needed to transition coal miners in areas suitable for solar/wind power. The article suggests that the potential to create local jobs is crucial to a just and effective transition. Unlike other professional workers who migrate to find new jobs when they are laid off, most coal miners become “inactive” when they lose their jobs because of their strong connections to their communities, age, or skills.

The article finds that, with the exception of the U.S., several gigawatts (GWs) of solar or wind capacity would be required for each coal mining area to transition all coal miners to solar/wind jobs. In all four countries, only a small percent of coal mining areas have suitable wind resources. Furthermore, these countries would have to scale up their current solar capacities significantly to be able to transition coal miners working in areas suitable for solar development. The report highlights the need for a localized understanding of labor impacts and shows how spatial methodology can be used to conduct similar assessments.

Report/Case Study; Guidelines, Strategies and Recommendations

Mar 2021

Seizing the Urban Opportunity: How National Governments can Recover from Covid-19, Tackle the Climate Crisis and Secure shared Prosperity through Cities

This collaborative report examines how national governments can leverage cities to help address the triple challenge of Covid-19, sustainable development, and climate change.

Geographic Scope
Sectors: Energy; Industrial; Transportation
Focus Areas: COVID-19; Economic diversification/restructuring > Infrastructure investment; Employment > Job creation and/or equality; Environment and/or pollution > Human health; Government intervention > Public finance, Regulation; Inequality and/or poverty > Other; Investment > Private finance; Resilience
Keywords: Shared prosperity; inclusive societies; resilient cities; poverty; emerging economies; urban infrastructure; national-level government; Covid-19 recovery
By: Marion Davis, Shagun Mehrotra, Aarathi Kumar, Alfredo Redondo, Anna Kustar, Britta Rennkamp, Christopher Gillespie, Daizong Liu, Freya Stanley-Price, Gorka Zubicaray, Hendricus Andy Simarmata, Jessica Hanlon, Leah Lazer, Madhav Pai, Nick Godfrey, Pablo Lazo Elizondo, Pandora Batra, Retno Wihanesta, Robin King, Shiyong Qiu, Sophia Vitello, Tanya Jiménez
Summary: The authors discuss how national governments can harness cities to bring about a sustainable and inclusive post-pandemic economic recovery while achieving climate goals. They focus on six emerging economies to demonstrate how fostering zero-carbon, resilient, and inclusive cities can advance national economic priorities for shared prosperity.

Referencing case studies from China, India, Indonesia, Brazil, Mexico, and South Africa, the authors explore three themes: 1) the need for a low-carbon urban transformation and its associated socio-economic benefits; 2) the importance of both resilience and decarbonization; and 3) the availability of resources to foster low-carbon, resilient, and inclusive cities. To inspire countries ahead of the 2021 UN Climate Change Conference (COP26), they analyze how cities can help national governments not only achieve their climate goals and shared prosperity, but also accelerate the Covid-19 recovery by making them more connected, inclusive, and clean.

The authors conclude with a global call to action, urging national governments to develop climate and sustainable development strategies centered around cities. While governments are essential to implementing transformative policies, the authors urge national leadership to partner with the private sector and local climate-action groups to finance sustainable and resilient urban infrastructure.

Report/Guidelines, Strategies and Recommendations

Dec 2018

Real People, Real Change: Strategies for Just Energy Transitions

This report identifies four key principles for successful just transitions: understanding the context, identifying champions, making the case, and implementing just transitions measures.

Geographic Scope
Sectors: General
Focus Areas: Economic diversification/restructuring > Economic development plans, Industry and/or sector assistance or plans, Infrastructure investment; Employment > Job creation and/or equality, Skills, Social protections; Environment and/or pollution > Human health, Nature; Government intervention > Public finance, Regulation
Keywords: quantitative approaches; political economy analysis; strategies; funding mechanisms
By: Anna Zinecker, Phillip Gass, Ivetta Gerasimchuk, Purva Jain, Tom Moerenhout, Yuliaa Oharenko, Anissa Suharsono, Christopher Beaton
Publishing Organization: International Institute for Sustainable Development (IISD)
Academic/research institution or journal
Summary: This report analyzes elements of successful strategies for just transitions through four core principles: understanding the context, identifying champions, making the case, and implementing just transitions measures. The authors provide guidelines for each of these principles, using them to examine six short case studies of just transitions in various countries, highlighting successes and failures.

The paper outlines best practices for just transitions, including a summary of steps to initiate or support just transitions. The authors recommend detailed political economy analysis be done in advance and emphasize the importance of developing clear political and communications strategies that explain the rationale and tangible benefits of transitions. The authors also identify funding mechanisms for just transitions and assess quantitative approaches to estimating employment impacts. A table lists important tactics to help achieve these goals.

Report/Definitions and Concepts; Policy Tools or Evaluations

Dec 2017

Guiding Principles & Lessons Learnt for a Just Energy Transition in the Global South

This report suggests eight principles for measuring justice dimensions of energy transition processes in developing countries and applies this rubric to twelve countries in the Global South.

Geographic Scope
Sectors: Energy
Focus Areas: Economic diversification/restructuring > Economic development plans; Employment > Job creation and/or equality, Skills, Social protections; Environment and/or pollution > Nature; Government intervention > Carbon pricing, Regulation; Inequality and/or poverty > Gender inequality, Other; Investment > Competitiveness; Justice; Resilience; Social and/or cultural impacts > Other
Keywords: Global South; climate-compatible; economic growth; justice to nature; SDGs; leapfrog; generational justice; distributive justice; due participation; coalition building; indicators; common but differentiated responsibilities; gender assessments; Nationally Determined Contributions (NDCs); good governance; transformational change
By: Thomas Hirsch, Manuela Matthess, Joachim Fünfgelt
Publishing Organization: Friedrich Ebert Stiftung Foundation, Brot für die Welt (Bread for the World)
Non-profit organization/civil society organization
Summary: This report discusses the various stakeholder narratives of “just energy transitions” and their claims to justice. The authors promote transformative alliances among these stakeholders to align their sustainable development strategies. They offer a set of eight principles to encourage and assess justice dimensions of energy transition processes in developing countries.

Using the proposed principles and their respective indicators, the authors evaluate twelve countries: China, India, Nepal, the Philippines, Vietnam, Fiji, Morocco, South Africa, Tanzania, Costa Rica, Jamaica, and Mexico. These countries were identified based on justice terminology within their nationally determined contributions (NDCs) under the Paris Agreement. Performance among these countries was generally strongest in terms of their ambitious targets regarding climate and the alignment of their NDCs with the UN’s Sustainable Development Goals. These countries generally scored lower with respect to the socioeconomic dimension—such as ensuring or fostering “decent work and resilience,” “social equity,” and “gender equality”—and even lower in regard to the political dimension.

The paper concludes that countries claiming to be pioneers of just energy transitions do not necessarily perform better in terms of the social and political dimension, nor do those who claim to be pioneers regarding justice necessarily lead when it comes to climate ambition. The authors offer recommendations specific to each of the twelve countries and conclude with broadly applicable policy recommendations to better apply justice to energy transitions.

Report/Policy Tools or Evaluations

May 2012

An Institutional Analysis of Biofuel Policies and their Social Implications: Lessons from Brazil, India and Indonesia

This report assesses the social and environmental impacts of the ambitious biofuel policy programs of Brazil, India, and Indonesia.

Geographic Scope
Sectors: Agriculture; Energy; Land-use
Focus Areas: Economic diversification/restructuring > Industry and/or sector assistance or plans; Employment > Job creation and/or equality; Government intervention > Regulation; Inequality and/or poverty > Other; Justice; Social and/or cultural impacts > Other
Keywords: food security; comparative analysis; rural development; biofuel programs; smallholder Farmers; indigenous peoples; land tenure
By: Mairon Bastos Lima
Publishing Organization: United Nations Research Institute for Social Development, (UNRISD), Friedrich Ebert Stiftung Foundation
Inter-governmental/international organization, Non-profit organization/civil society organization
Summary: “This comparative assessment of Brazil, India, and Indonesia—which have sought to spur rural development through the development of biofuel alternatives—indicates there are several limitations associated with socially oriented biofuel policy. In particular, these countries adopted a two-tiered approach that largely relied upon established agribusiness and only incorporated the rural poor by having them cultivate non-food crops on “marginal lands.” The author offers a list of biofuel policy recommendations for achieving more extensive socioeconomic benefits for the rural poor.

For the three countries, biofuels policy tools often included subsidies, tax incentives, and blending mandates. However, these poorly designed, top-down policies failed to alleviate the burdens of the rural poor and were later revised. These approaches often expanded incentives and markets for corporations instead of for smallholders, failed to address equity issues, and lacked smallholder participation. These policy failures resulted in increased food insecurity, exploitation of smallholders by government and agribusiness, increased instances of monoculture (which can result in reduced crop yield or resilience and therefore lost income), and poor quality of employment opportunities (as reflected in increases in seasonal and migrant work).

In the future, more participatory decision-making in biofuel policies is needed to avoid these failures and improve outcomes for the rural poor. The report identifies three elements that appear to be crucial to successful biofuel policies: combination of feedstock and food production; inclusion of the concerns and interests of smallholders; and provisions for smallholders to gradually ascend in the value chain, specifically in expanding local ownership of oil extraction facilities.”