The Energy Exascale Earth System Model (E3SM) Version 3 marks a significant stride in climate modeling, specifically through its enhanced representation of aerosols and their interactions with clouds. The E3SM project, spearheaded by the U.S. Department of Energy (DOE), aims to develop state-of-the-science Earth system models to address critical scientific questions for the nation and the DOE's energy mission. Previous versions of many Earth system models, including E3SM, exhibited an excessive aerosol effective forcing, primarily due to challenges in accurately simulating aerosols, clouds, and their complex interactions. This led to discrepancies in reproducing historical surface temperature trends and cast doubt on the reliability of future climate projections. In E3SM Version 3, researchers have implemented crucial improvements, notably the predicted particle property (P3) stratiform cloud microphysics scheme and an enhanced deep convection parameterization suite (ZM_plus). These developments mitigate previous aerosol and cloud biases, resulting in more accurate aerosol radiative forcings that align well with the Intergovernmental Panel on Climate Change's Sixth Assessment Report (IPCC AR6). The P3 scheme improves cloud and radiation, particularly over the Northern Hemisphere and the frequency of heavy precipitation over the tropics, while ZM_plus enhances tropical clouds. The improved physical treatments, including better aerosol wet removal processes, effectively reduce the overestimation of anthropogenic aerosols, thereby refining direct and indirect aerosol forcing calculations. These advancements are considered a 'game changer' for increasing the fidelity of E3SM in climate projection, enabling the model to more accurately reproduce surface temperature trends over the industrial period—a task unattainable in prior versions. This research is highly relevant globally, as aerosols play a pivotal role in the Earth's climate system by affecting solar radiation and cloud formation, with significant implications for understanding climate variability and change. For an Indian audience, such advancements are important given India's vulnerability to climate change impacts and significant air pollution challenges.