A new fund of up to USD80 million was announced yesterday in the US to help developing countries improve energy efficiency and phase out the use of high Global Warming Potential (GWP) HFC (HydroFlouroCarbon) refrigerants.
The money will be targeted at helping countries that need assistance with the phasedown to be able to improve their energy efficiency and thus expand their economic savings.
"The creation of a new fund specifically for encouraging energy efficiency in developing countries concurrent with the phase-out of HFCs is a very welcome development," Ajay Mathur, Director General, TERI said.
Mathur said that manufacturers in developing countries have for long sought such funds so that the transition to better refrigerants is complemented with more energy-efficient technologies, fully realizing the benefits of transitioning to low GWP refrigerant gases.
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"Increasing the energy efficiency of appliances creates a win-win situation, resulting in the need for fewer additional power plants through lower electricity demand and reduced greenhouse gas emissions associated with both HFC use and with electricity production.
"Innovative approaches like this new fund can enable nations co-operate and collaborate towards achieving climate change mitigation goals more effectively," he said.
India's energy consumption is also going to increase correspondingly as more ACs are installed.
Incentivising energy efficiency is in line with India's Intended Nationally Determined Contributions (INDCs) towards the Paris Agreement, which commits to reduce the emissions intensity of GDP by 33 to 35 percent by 2030 from the 2005-level.
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