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Union Budget 2026: Why a cut in pollution funds spells trouble for India

The Ministry of Environment, Forest and Climate Change (MoEFCC) has been allocated Rs 3,759.46 crore for 2026–27, up from Rs 3,481.61 crore last year

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If the Union Budget reflects the government’s priorities, pollution is clearly not one of them. It was largely absent from Finance Minister Nirmala Sitharaman’s speech, and the allocation for 2026–27 has fallen to Rs 1,091 crore from Rs 1,300 crore last year. The issue is a crucial one, as air pollution has spread beyond Delhi, with worsening air quality in cities and towns across the country. 

The Ministry of Environment, Forest and Climate Change (MoEFCC) has been allocated Rs 3,759.46 crore for 2026–27, up from Rs 3,481.61 crore last year. 

While this represents an 8% increase, the allocation remains limited, especially given India’s vulnerability to erratic weather, heatwaves, floods and other climate-related risks. 

Notably, allocations have been increased for offices such as the Zoological Survey of India and the Botanical Survey of India. The National Green Tribunal, which addresses climate litigation and enforcement, has also seen an uptick in budgetary allocation. 

A major rise has been seen in the allocation to the National Mission for a Green India, from Rs 95.7 crore to Rs 212.50 crore for 2026-27.

However, pollution remains a major issue for public health, but also for business.

Speaking at the World Economic Forum at Davos, economist Gita Gopinath pointed out that pollution is a much bigger threat to India’s economy than the tariffs.

Meanwhile, ahead of the Union Budget, Congress leader and Leader of the Opposition, Rahul Gandhi, too, had called for a parliamentary debate on the issue. “Pollution is no longer just an environmental issue; it is a national health emergency. Parliament must discuss it,” he said.

“The government must act. And this Budget must put real resources behind real solutions. Indians are not asking for reports or rhetoric. They are asking for clean air,” he said in a Facebook post.