Toward inverting environmental injustice in Delhi

We propose a carbon tax policy for Delhi-the most polluted capital globally-which will fundamentally change the energy mix of Delhi's economy toward clean, green energy and guarantee universal access to electricity, transport, and food, up to a certain amount. Any carbon mitigation strategy needs to alter our dependence on fossil fuels, requiring a systemic overhaul of its energy mix. Implementing a carbon tax will mitigate emissions and mobilise revenue for our proposed redistributive program: Right to Food, Energy, and Travel (RFET). The policy is designed to advocate for the 'poor over the rich' to compensate for the 'rich hiding behind' the poor by emitting the majority of carbon and pollutants. Using input-output analysis, we estimate the class-wise distribution of carbon emissions in Delhi. We find that the necessary tax would be US$112.5 per metric ton of carbon dioxide in order for this program to work. The free entitlement of fuel and electricity per household comes out to be 2040 kWh per annum, and there is an annual universal travel pass of US$75 per person for use in public transport and an annual per capita availability of food of US$205. JEL Codes: Q43, Q48, Q52, Q58