Recently, the Forest Advisory Committee (FAC) has given a green signal for the Green Credit Scheme. If put into practice, this scheme will permit the Forest Department to delegate the task of reforestation to non-government agencies. At present, should there be a loss of forest, the onus is on the industry to find suitable non-forest land. Concurrently, they need to pay the Net Present Value (current economic equivalent) to the State Forest Department, which then undertakes the responsibility of cultivating suitable vegetation that matures into forests over time.
Key Elements of the Green Credit Scheme
Green Credit Scheme permits agencies like private companies, village forest communities, etc., to identify land and begin plantation. After a span of three years, if the land meets the criteria set by the Forest Department, it could be considered as compensatory forest land. An industry in need of forest land can then reach out to the agency, pay for parcels of such forested land which would then be transferred to the Forest Department and be recorded as forest land. Essentially, this scheme allows forests to be traded as a commodity.
Impact of the Scheme
The scheme offers encouragement to individuals outside the traditional forest area to initiate plantation, thereby aiding in fulfilling international commitments like Sustainable Development Goals and Nationally Determined Contributions. It also addresses the common complaints from various industries regarding the difficulties in acquiring appropriate non-forest land, especially those contiguous to existing forests.
| Benefit | Description |
|---|---|
| Supplementing Green India Mission | The scheme will also supplement the Green India Mission, one of India’s initiatives to counteract climate change. The mission targets to sequester 2.523 billion tonnes of carbon by 2020-30, which involves adding 30 million hectares in addition to an existing forest. |
| Address Industry Complaints | The scheme can be a solution to the common issue faced by industries in finding appropriate non-forest land for compensatory afforestation. |
Limitations and Controversies
Despite its potential benefits, the Green Credit Scheme doesn’t entirely resolve the underlying issues of compensatory afforestation. It also poses problems regarding the privatisation of multi-use forest areas into monoculture plantation plots. Notably, a similar ‘Green Credit Scheme’ was proposed for degraded forest land with public-private participation back in 2015, but it failed to receive approval.
About Forest Advisory Committee
Established under the Forest (Conservation) Act 1980, the Forest Advisory Committee is a statutory body falling under the Ministry of Environment, Forests & Climate Change (MoEF&CC). Its main role is to deliberate on issues related to the diversion of forest land for non-forest uses such as mining, industrial projects, townships and subsequently advise the government on granting forest clearances. However, its role remains advisory in nature.
