GREEN CREDIT PROGRAMME (Syllabus: GS Paper 3 – Env & Eco)

Context: Recently, the Union Ministry of Environment, Forests, and Climate Change notified the 'green credit' program, marking a significant step towards incentivising environmental actions across various sectors.

Green Credit Programme (GCP)

• Launched: During the 2023-24 budget as part of Mission LiFE.
• Implementation by: The Ministry of Environment has released the draft 'Green Credit Programme Implementation Rules 2023' under the purview of the Environment Protection Act of 1986.
• 8 Sectors

oTree plantation-based green credit

oWater-based green credit

oSustainable agriculture-based green credit

oWaste management-based green credit

oAir pollution reduction-based green credit

oMangrove conservation and restoration-based green credit

oEco-mark-based green credit

oSustainable building and infrastructure-based green credit

• Objective: Establish a market-driven system that promotes voluntary environmental actions and individual or community behaviours by aligning supply and demand.

oMotivate the private sector and other entities to fulfil their pre-existing obligations under various legal frameworks.

Green Credit

• Green credit" represents an individual unit of incentive awarded for a designated environmentally beneficial activity.
• This form of credit is attainable by various entities, including individuals, farmer-producer organizations (FPOs), industries, as well as rural and urban local bodies, among other stakeholders.