Green Credit Program Rules: What are these rules? What is the program all about?

The Environment Ministry brought about some new guidelines on the Green Credit Program (GCP) recently on April 12. Approximately two months ago, the Ministry had brought forward rules linked to the very first initiative of afforestation. The purpose of altering the rules will focus on the restoration of ecosystems by simply practicing afforestation.

Understanding the Green Credit Program Better

It was in the month of October last year when the Green Credit Program was unveiled officially. The purpose of the Green Credit Program is to stress sustainability, enhancing the natural environment, and reducing waste. An "innovative, market-based mechanism" is what the program calls itself. Its aim is to call for voluntary actions for the path of environmental conservation. The Indian Council of Forestry Research and Education (ICFRE) is an autonomous body of the Ministry that administers the program. As part of the program, many individuals, groups, and firms, whether private or public, would be urged to actually invest in sectors such as water conservation, waste management, afforestation, and mangrove conservation. In return, these individuals and firms will become eligible to get the "green credits". The Indian Council of Forestry Research and Education is responsible for defining methods to calculate the green credits. The ICFRE is also responsible for managing a trading platform through which credits like these would be traded.

The very first of these initiatives is afforestation. It was in the month of February that the Ministry prescribed the rules for this initiative. Now, various organizations, firms, and individuals could aid in financing multiple afforestation projects in various tracts of wasteland. While individuals and organizations would be helping in this way, it is the State forest departments that would be responsible for the actual tree planting. Popular public sector companies like the Power Grid Corporation of India, Oil India, the National Thermal Power Corporation, Indian Oil, National Hydropower Corporation, and Coal India have actually registered themselves to invest in the Green Credit Program, as said by a Ministry official.

What do the critics say?

As of now, the program hasn't become operational. However, various aspects of the Green Credit Program are seen with skeptical eyes. The very first of such concerns is that the program actually makes aspects of environmental conservation a commodity. For instance, as per the program, the initiative for afforestation allows companies to actually exchange their credits in order to comply with compensatory afforestation. Critics suggest that this could come as a method to simplify the forest diversion needs for the infrastructure companies and for mining purposes.

Additionally, critics suggest that the math in the program isn't clear. The green credits resulting in storing carbon could also be used for carbon trading, and such activities are difficult to calculate.

Moreover, critics are also of the view that merely planting trees does not enhance the ecosystems. Now, it is important to note that the country is home to a total of 200 types of forests. Studies suggest that planting the wrong forms of trees could actually prove to prevent a sustainable ecosystem.