Market potential and investment opportunities in space cooling will be $1.5 trillion by 2040 in India. Therefore, it would be imperative for the government to create an adequate enabling investment framework that can attract financing from the private sector, said a World Bank report released on Wednesday.

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The report titled "Climate Investment Opportunities in India's Cooling Sector" further estimated that by 2050, 45 per cent of the country's peak electricity demand in 2050 is expected to come from space cooling alone.

This will require sizeable investments in creating costly peak generating capacity and result in a significant increase in greenhouse gas emissions, unless suitable low energy alternatives are available to meet thermal comfort needs in buildings, the report noted.

India is experiencing higher temperatures every year. By 2030 over 160-200 million people across the country could be exposed to lethal heat waves annually, the report said in its finding. Around 34 million people in India will face job losses due to heat stress related productivity decline.

The current food loss due to heat during transportation is close to $13 billion annually. By 2037, the demand for cooling is likely to be eight times more than current levels. This means there will be a demand for a new air-conditioner every 15 seconds, leading to an expected rise of 435 per cent in annual greenhouse gas emissions over the next two decades, the study revealed.

"India's cooling strategy can help save lives and livelihoods, reduce carbon emissions and simultaneously position India as a global hub for green cooling manufacturing," said Auguste Tano Kouame, the World Bank's country director in India. The report further noted that sustainable cooling can also support India's development and help in a green Covid-19 recovery by creating jobs and boosting the economy.

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