India Unveils Strategic ₹20,000 Crore Carbon Capture Initiative in 2026-27 Budget, Bolstering Climate Leadership

In a decisive move to position India at the forefront of climate technology, Finance Minister Nirmala Sitharaman announced a landmark ₹20,000-crore national scheme for Carbon Capture, Utilisation, and Storage (CCUS) in the Union Budget 2026-27. This strategic allocation signals a significant pivot from mitigation to proactive carbon management, aligning with global net-zero imperatives while fostering domestic industrial innovation. The initiative is designed to incentivize private sector investment in cutting-edge capture technologies and the development of utilization pathways, potentially transforming industrial emissions into economic assets. Concurrently, the budget introduced targeted incentives for the domestic manufacturing of seaplanes, a niche aviation segment aimed at enhancing regional connectivity and unlocking high-value tourism in coastal and aquatic destinations. Analysts interpret these measures as a dual-pronged strategy: the CCUS scheme addresses long-term environmental and energy security, reducing dependency on carbon-intensive imports, while the seaplane push targets immediate economic stimulation through tourism infrastructure and advanced manufacturing. This budget reflects a calibrated approach to sustainable development, balancing technological ambition with pragmatic economic growth levers.