With reference to the above passage, the following assumptions have been made: 1. Governments often provide inefficient and costly subsidies for technologies that may not be ready in the near future. 2. India’s commitment of reducing emissions by 33% by 2030 shall be on the basis of gas-based economy. Which of the above assumptions is/are valid?

Passage

India has tremendous potential for solar energy. We all realize that we have to stop burning fossil fuels to meet our energy needs. But certain renewable resources are still going through their cost curves and learning curves to get the required amount of output. The Indian Government has strongly committed to its targets of reducing emissions by 33 per cent by 2030, and towards this it has initiated a strong push towards a gas-based economy-and has also invested heavily in renewable energy. However, business houses are wary of investing too heavily in renewable energy at a time when the technology is not yet ready.

QUESTION

CSAT

Medium

Comprehension

Prelims 2020

With reference to the above passage, the following assumptions have been made:

Governments often provide inefficient and costly subsidies for technologies that may not be ready in the near future.
India’s commitment of reducing emissions by 33% by 2030 shall be on the basis of gas-based economy.

Which of the above assumptions is/are valid?

Select an option to attempt

Explanation

Statement 1 is correct. The passage states that "certain renewable resources are still going through their cost curves and learning curves" and that "business houses are wary of investing too heavily in renewable energy at a time when the technology is not yet ready." While the passage does not explicitly state that the government is providing inefficient or costly subsidies, it does imply that investments in renewables might be premature, which can be interpreted as suggesting potential inefficiencies in government support. Hence, this assumption can be considered valid.

Statement 2 is incorrect. The passage mentions that India is pushing towards a gas-based economy and investing heavily in renewable energy. However, it does not say that India's emission reduction goal will be solely based on gas. Since the passage mentions both gas and renewables, this assumption is not fully valid.