Green Credit Programme

Why in news?

• The Union Ministry of Environment, Forests and Climate Change has notified draft rules for ‘Green Credit Programme’.

What is Green Credit?

• ‘Green credit’ is a singular unit of an incentive provided for a specified activity, delivering a positive impact on the environment.
• It can be earned by individuals, farmer-producer organisations (FPO), industries, rural and urban local bodies, among other stakeholders for their environment positive actions.
• The Green Credit Programme (GCP) launched, was first announced in the 2023-24 budget under Mission LiFE.
• The Ministry of Environment issued the draft ‘Green Credit Programme Implementation Rules 2023’ under the Environment Protection Act of 1986.

How will the program be implemented?

• The Green Credit Programme (GCP) aims to leverage a competitive market-based approach and incentivise voluntary environmental actions of various stakeholders.
• The environment ministry has identified 8 select activities for which green credit can be earned.
• The 8 sectors are:
  • Tree plantation-based green credit, water-based green credit, sustainable agriculture-based green credit, waste management-based green credit, air pollution reduction-based green credit, mangrove conservation and restoration-based green credit, eco mark based green credit, sustainable building and infrastructure-based green credit
• Thresholds and benchmarks will be developed for each green credit activity under the programme.
• Trade Market:  The green credits will be tradable and be made available for trading on a domestic market platform.
• The Trading Service Provider accredited by the GCP administrator will establish the trading platform for the exchange of Green Credit Certificates.
• The Indian Council of Forestry Research and Education (ICFRE) will be the administrator of the programme.

PRACTICE QUESTION:

UPSC 2011

Regarding “carbon credits”, which one of the following statements is not correct?

(a)  The carbon credit system was ratified in conjunction with the Kyoto Protocol

(b) Carbon credits are awarded to countries or groups that have reduced greenhouse gases below their emission quota

(c) The goal of the carbon credit system is to limit the increase of carbon dioxide emission

(d) Carbon credits are traded at a price fixed from time to time by the United Nations Environment Programme.

Answer