28 April 2025: The Hindu Editorial Analysis
1. IMF on AI’s energy cost: Economic growth and sustainability can go together
(Source – Page 8, The Hindu International Edition)
| Topic: GS Paper 3 – Economy, Science & Technology, Environment. |
| Context |
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IMF’s Key Findings on AI’s Economic Impact
- Global GDP Growth: AI is projected to enhance global GDP by approximately 0.5% annually from 2025 to 2030.
- Uneven Distribution: The economic benefits of AI are unlikely to be evenly distributed across countries and sectors, potentially exacerbating existing inequalities.
Energy Consumption and Environmental Concerns
- Electricity Demand: AI-driven activities could triple global electricity usage, reaching around 1,500 terawatt-hours (TWh) by 2030, equivalent to India’s current electricity consumption.
- Greenhouse Gas Emissions: Under current policies, AI adoption may lead to a 1.2% increase in global greenhouse gas emissions between 2025 and 2030.
- Social Cost of Emissions: The additional emissions could incur a social cost estimated between $50.7 to $66.3 billion, which is considered minor compared to the anticipated economic gains.
Potential for Sustainable AI Deployment
- Efficiency Gains: AI has the potential to improve energy efficiency and reduce emissions if applied to optimize energy systems, transportation, and industrial processes.
- Role of Policy and Investment: The Grantham Research Institute emphasizes that market forces alone are insufficient; proactive government policies and investments are essential to steer AI towards sustainable outcomes.
| Practice Question: “India’s water crisis is as much a result of mismanagement and policy failure as it is of environmental factors. Critically examine. Also, suggest a multi-pronged strategy for ensuring water security in India.” (250 words / 15 marks) |
Read more – 26 April 2025: The Hindu Editorial Analysis
