NEWS – New Rules by Union Environment Ministry notified by Green Credit Programme

HIGHLIGHTS

Background:

• Launched in November 2023 by Prime Minister Narendra Modi at the UN Climate Conference in Dubai.
• Encourages voluntary environmental protection activities like tree plantation, water conservation, and waste management.
• Participants (companies, individuals, groups) earn green credits in return.

Key Update:

• The government will now award green credits only after 5 years of plantation.
• Credits will depend on:
  • Minimum canopy density of 40%
  • Survival of trees
• Previously, credits were given within 2 years based on 1,100 trees per hectare.

Objectives of GCP:

• Promote environmental restoration and afforestation.
• Support climate change mitigation by rewarding sustainable practices.
• Encourage companies to fulfill CSR or legal tree-planting obligations.

Calculation of Green Credits:

• One credit is awarded for each tree older than 5 years.
• Credits are non-transferable, except within a parent company and subsidiaries.
• Credits can be used for market trading or reporting under ESG (Environmental, Social, Governance) indicators.

Implementation:

• Companies or groups are allotted degraded land parcels by State Forest Departments.
• Plantations are monitored for tree survival and canopy growth.
• So far, 57,986 hectares of degraded forest land have been registered under GCP.