UPSC Mains 2024 GS4 Q7: model answer
There is a technological company named ABC Incorporated which is the second largest worldwide, situated in the Third World. You are the Chief Executive Officer and the majority shareholder of this company. The fast technological improvements have raised worries among environmental activists, regulatory authorities, and the general public over the sustainability of this scenario. You confront substantial issues about the business’s environmental footprint. In 2023, your organization had a significant increase of 48% in greenhouse gas emissions compared to the levels recorded in 2019. The significant rise in energy consumption is mainly due to the surging energy requirements of your data centers, fuelled by the exponential expansion of Artificial Intelligence (AI). AI-powered services need much more computational resources and electrical energy compared to conventional online activities, notwithstanding their notable gains. The technology’s proliferation has led to a growing concern over the environmental repercussions, resulting in an increase in warnings. AI models, especially those used in extensive machine learning and data processing, exhibit much greater energy consumption than conventional computer tasks, with an exponential increase.
Although there is already a commitment and goal to achieve net zero emissions by 2030, the challenge of lowering emissions seems overwhelming as the integration of AI continues to increase. To achieve this goal, substantial investments in renewable energy use would be necessary. The difficulty is exacerbated by the competitive environment of the technology sector, where rapid innovation is essential for preserving market standing and shareholders’ worth. To achieve a balance between innovation, profitability and sustainability, a strategic move is necessary that is in line with both, business objectives and ethical obligations.
(a) What is your immediate response to the challenges posed in the above case?
(b) Discuss the ethical issues involved in the above case.
(c) Your company has been identified to be penalized by technological giants. What logical and ethical arguments will you put forth to convince about its necessity?
(d) Being a conscience being, what measures would you adopt to maintain balance between AI innovation and environmental footprint?
What the question wants
As CEO, respond to AI-driven emission growth, identify ethical issues, argue for accountability and balance innovation with sustainability.
How to structure it
Intro: stakeholders (shareholders, public, regulators, planet). Body: (a) immediate response: admit, disclose, freeze wasteful growth; (b) ethical issues: profit vs planet, honesty of net-zero claims, intergenerational justice; (c) arguments on penalty: polluter pays, credibility; (d) measures: green data centres, efficient models, renewable PPAs. Conclusion: sustainable innovation as long-term value.
- 1(a) immediate response: admit, disclose, freeze wasteful growth
- 2(b) ethical issues: profit vs planet, honesty of net-zero claims, intergenerational justice
- 3(c) arguments on penalty: polluter pays, credibility
- 4(d) measures: green data centres, efficient models, renewable PPAs
Model answer
The company's emissions rose 48% in four years while it promises net zero by 2030. Stakeholders include shareholders, employees, users, regulators and future generations.
- Emissions keep rising
- Net-zero pledge looks like greenwashing
- Penalties and loss of trust
- Renewable-powered data centres
- Efficient models, carbon budgets
- Long-term investor and public trust
(a) Immediate response
- Acknowledge the problem publicly; publish an honest emissions report.
- Set up a board-level sustainability committee with an interim target.
- Pause low-value, energy-heavy AI projects pending review.
(b) Ethical issues
- Profit and market share vs environmental duty.
- Truthfulness: net-zero pledges risk becoming greenwashing.
- Intergenerational justice and climate harm to poorer nations.
- Fiduciary duty to shareholders vs duty to society.
(c) Arguments on the penalty
- Polluter pays is fair; accepting it builds trust.
- A level playing field: rules should apply to all giants alike.
- Penalty money should fund clean technology, so it serves a purpose.
- Long-term risk: investors increasingly reward ESG performance.
(d) Balancing measures
- Power data centres with renewable energy through long-term purchase agreements.
- Efficient chips, liquid cooling, waste heat reuse; locate centres in cooler regions.
- Smaller, optimised AI models; avoid needless retraining.
- Carbon budget for each product; link executive pay to emission cuts.
- Use AI itself to optimise energy grids.
Innovation that burns the planet is not progress. A company that leads on clean AI will also lead the market of tomorrow.
Keywords, cases and data to drop in
greenwashing polluter pays ESG renewable PPA intergenerational justice
Where most answers lose marks
- Choosing profit and ignoring emissions.
- Proposing to stop AI work altogether.
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Question text as printed in the official UPSC question paper: https://www.upsc.gov.in/sites/default/files/QP_CSM_2024_GenStud_IV_03102024.pdf The model answer is original Battle IAS work; use it to learn structure, not to memorise.