India's Air Pollution Crisis: Billions Unused as China Clears its Skies
India's Air Pollution Funds Remain Largely Unused

While New Delhi choked under severe air pollution earlier this month, an unexpected offer came from China. Chinese embassy spokesperson Yu Jing took to social media platform X to compare the air pollution crises in both nations and extended Beijing's willingness to share its successful experience in improving air quality.

The Stark Contrast Between Two Giants

The context was the annual phenomenon of north Indian skies turning sickly yellow, which sparked rare citizen protests in Delhi this year. Just over a decade ago, China faced similar challenges. Its megacities Beijing and Shanghai regularly recorded PM2.5 levels exceeding World Health Organization safe limits by 10-20 times.

PM2.5 represents fine particulate matter capable of penetrating lung barriers and entering the bloodstream. The WHO recommends that average annual levels shouldn't exceed 5 micrograms per cubic metre (μg/m³).

According to Calvin Quek of Smith School of Enterprise and Environment at Oxford University, Beijing's pollution crisis stemmed from rapid industrial growth, relaxed environmental regulations, and an energy-intensive development model heavily dependent on infrastructure.

China's Dramatic Turnaround Versus India's Stagnation

The turning point arrived in 2013 when China introduced a sweeping national action plan, considered the toughest environmental policy in its history. This triggered tightened environmental regulations, vehicle restrictions in major cities, binding PM2.5 reduction targets for local governments, nationwide air monitoring stations, and crackdowns on coal and other high-polluting industries.

The results proved remarkable. Data from the Energy Policy Institute at the University of Chicago shows China reduced PM2.5 levels by 41% between 2014 and 2023. By 2023, China's average PM2.5 level stood at 27.4 μg/m³, still above the global average of 24 μg/m³ but representing significant progress.

Meanwhile, the contrast with India remains striking. According to the latest World Air Quality Report by IQAir, while Beijing residents spent 20% of last year with PM2.5 levels exceeding ten times WHO limits, Delhi residents endured this dangerous level for 60% of the year.

Funding Plenty But Implementation Poor

China's success stemmed not just from financial resources but from political determination and strict accountability systems. India possesses the funds but lacks effective structures to utilize them.

A 2025 report by climate policy organizations Clean Air Fund and Climate Policy Initiative revealed India received $19.8 billion in air quality funding during 2019-2023, making it the top global recipient with a 16% share. Yet this financial advantage hasn't translated into tangible success.

The pattern repeats domestically. The National Clean Air Programme launched by India's environment ministry in 2019 aimed to reduce particulate matter levels in 130 cities by 20-30% by 2024, later extended to 40% by 2026 from 2017-18 levels.

With the March 2026 deadline approaching, the environment ministry's latest data shows only 64 of the 130 cities (49%) achieved a PM10 reduction of 20% or more between FY18 and FY25. Merely one in five cities met the programme's ambitious 40% reduction target.

The NCAP has received ₹19,711 crore in allocations since FY20, but a Foundation for Responsive Governance report indicated only 52% had been utilized by December 2024. Fund releases consistently lagged behind allocations, with amounts declining annually.

Analysis of 126 cities across 20 states exposed significant state-level issues in both fund releases and utilization. Among states receiving ministry funds, 11 of 20 utilized less than 80% of allocated amounts. Of states receiving Finance Commission grants, 10 failed to use 80% of released funds.

The Devastating Human Cost

The governance failure carries severe human consequences. According to EPIC's Air Quality Life Index report, PM2.5 levels exceed WHO standards across India. Air pollution reduces average life expectancy in India by 3.5 years, nearly double the impact of childhood and maternal malnutrition and over five times that of unsafe water and sanitation.

The burden falls heaviest on India's most polluted regions. Delhi residents lose 8.2 years of life expectancy to PM2.5 when measured against WHO standards, followed by Bihar (5.6 years), Haryana (5.3 years), and Uttar Pradesh (5 years). Even compared to India's more lenient standard of 40 μg/m³, Delhi residents still lose 4.7 years.

Both China and India share similar pollution roots—rapid industrialization, heavy coal dependence, and massive construction activity. Unless officials responsible for unspent allocations and missed targets face accountability, India's cities will continue choking while funds meant for their rescue remain unused.