Ahmedabad Leads the Way with India’s First Dedicated Climate Budget

Image by Sagar Seladiya from Pixabay

Ahmedabad Municipal Corporation (AMC), with support from ICLEI South Asia and the Swiss Agency for Development and Cooperation (SDC) has introduced India’s first dedicated climate chapter in its municipal budget. The budget aligns with India’s net zero emissions goal and strengthens Ahmedabad’s resilience against climate change. 

Ahmedabad Municipal Corporation (AMC) has allocated INR 56,194 million in its 2025-26 budget to climate and sustainability measures. This significant step is part of a broader effort to achieve net zero emissions by 2070. The move supports energy efficiency improvements, renewable energy adoption, waste and water management, green infrastructure, and climate-resilient urban development.

This climate budget builds upon the Climate Resilient City Action Plan (CRCAP), developed under the guidance of ICLEI South Asia and funded by the Swiss Agency for Development and Cooperation (SDC). The plan outlines 28 strategies and 85 actions across eight urban sectors to mitigate 0.34 million tCO2e greenhouse gas emissions and save 310 million kWh of electricity by 2027-28.

Key focus areas of the budget include energy-efficient water supply systems, enhanced sewage treatment facilities, stormwater management, expansion of public transport with electric buses, adoption of renewable energy in municipal buildings, and increased urban green spaces. The budget also emphasizes reducing the urban heat island effect, improving air quality, and addressing climate equity and gender aspects.

To operationalise these plans, AMC has established a ‘Net Zero, Environment and Climate Resilient Cell’ with support from ICLEI South Asia. The cell coordinates climate-related initiatives, conducts needs assessments, and integrates citizen feedback into budget planning. Additionally, a CSR portal is being launched to encourage private sector contributions to climate initiatives.

Ahmedabad’s efforts have gained national and international recognition. The city has received compliance badges from the Global Covenant of Mayors for Climate and Energy (GCoM) and is the first in South Asia to institutionalise climate action in its urban budget. In recognition of these efforts, Ahmedabad’s mayor has been appointed to the GCoM board, representing the South Asia region.

Ahmedabad’s climate-focused budget serves as a model for other Indian cities, demonstrating a systematic approach to embedding sustainability into urban governance. With its commitment to net zero goals, Ahmedabad is paving the way for climate-smart urban development in India.

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