Searching appropriate system boundary for accounting India's emission inventory for the responsibility to reduce carbon emissions.

This paper explores the features of accounting for the national carbon emission inventory under four different system boundaries, including the presently operational territorial production-based accounting (PBA) practised by the UNFCCC. Using a recently published input-output table with the base year for 2013-2014, the study calculates India's 'Nationally Determined Contribution (NDC)' to the mitigation of carbon emissions using production-based, consumption-based, sharing-based and equity-based accounting. The study finds India as a net importer of carbon emissions, especially for its high emission-intensive capital and energy goods import such that the country is bearing the minimum burden of emission reduction responsibility. However, the study intends to analyse this burden of responsibility in terms of the criteria of justice and effectiveness and addresses the future policy priorities for India to become a net exporter of industrial goods. We recommend India for supporting and implementing an alternative system boundary of emission inventory accounting which would be more consistent with the provisions of 'equity' subscribed under the UNFCCC while at the same time, helpful for achieving the climate goals by appropriately trace and track the sources of 'carbon leakage'.

Investigating India's pollution-intensive 'dirty' trade specialisation: analysis with 'revealed symmetric comparative advantage' index.

This study intends to explore India's comparative advantage in the pollution-intensive product export with temporal and spatial analysis by applying an alternative measure of revealed comparative advantage index. The emission-intensive manufacturing commodities are mainly chosen as per the list published by the Central Pollution Control Board (CPCB) of India to draw some inferences on India's pollution haven characteristics. For the spatial analysis, the 'dirty' comparative advantage is calculated for all the BRICS countries for the year 2017, and for the temporal analysis, the index value is calculated for 42 product groups at 3 digit SITC level from 2009 to 2017 to examine the structure of 'dirty' specialisation in India and its change over time. India is found at the top among the BRICS members for a maximum of 16 in 25 products. Among these 25 sectors, Brazil, Russia, China and South Africa are found having a comparative advantage in 4, 12, 11 and 10 products, respectively. In these comparatively advantageous products, Brazil ranked one in 75% and three in 25% of products. Russia ranked one in 33% and two in 67% of products. India among the BRICS members stood 1st at 62.5, 2nd and 3rd both at 18.75% cases, respectively. Findings reveal that pollution-intensive trade-exposed sectors successfully absorbed the stringent environmental regulation-shocks which brought in an additional burden of compliance cost upon trade competitiveness. The results of this study are more insightful for evaluating India's recent initiatives for stricter environmental regulations.

Carbon adjustment in a consumption-based emission inventory accounting: a CGE analysis and implications for a developing country.

Because 'border carbon adjustment (BCA)' may violate the presently operational National Emission Inventory (NEI) accounting practised under the United Nations Framework Convention on Climate Change (UNFCCC) which is based on territorial production-based emission reduction responsibility approach, this study intends to investigate the implications of BCA imposition on the exports from a developing country under a territorial consumption-based alternative framework. With this alternative framework of accounting, the study assumes the BCA-burdened developing country to implement 'domestic carbon adjustment (DCA)' measures and experiments by applying a static 'computable general equilibrium (CGE)' modelling. The result from this study indicates that the closer the rates of BCA and the DCA, the more effective the carbon adjustment schemes are to reduce the emission intensity of energy use. The stricter carbon adjustment measures also found changing the energy consumption pattern of productive sectors by inducing the emission-intensive sectors to switch towards low-emission intensive natural gas. The study recommends the implementation of DCA measures for a developing country as stricter as compared to the foreign standards in a consumption-based framework to make the carbon adjustment initiatives more effective.