GREEN CREDIT PROGRAMME

Why in News?:

Green Credit Programme (GCP)’ implementation rules for 2023 for encouraging behavioural change by incentivizing environmentally sustainable and responsive actions has been notified by the MoEFCC.

Budget Initiative:It was first announced in the 2023-24 Union Budget to leverage a competitive market-based approach and incentivize voluntary environmental actions of various stakeholders.

Green growth was one of the top seven priorities (Saptarishi Targets) in the Finance Minister’s Budget this year.

What is the GCP?:

Launched at the national level to leverage a competitive market-based approach for Green Credits.

What is Green Credit?:

The ‘Green Credit’ means a singular unit of an incentive provided for a specified activity, delivering a positive impact on the environment.

It will be tradable and those earning it will be able to put these credits up for sale on a proposed domestic market platform.

How will Green Credits work?:

Individuals, industries, farmers producers organizations (FPOs), (ULB), PRIs and private sectors will earn green credits by eco-friendly measures.

Green Credit Activities:Tree Plantation;

Water: To promote water conservation, water harvesting and water use efficiency / savings, including treatment and reuse of wastewater.

Sustainable Agriculture: To promote natural and Regenerative Agricultural practices and land restoration to improve productivity, soil health and nutritional value of food produced.

Waste Management:To promote sustainable and improved practices for waste management, including collection, segregation and treatment.

Air Pollution Reduction: To promote measures for reducing air pollution and other pollution abatement activities.

Mangrove conservation: To promote measures for conservation and restoration of mangroves.

Ecomark: To encourage manufacturers to obtain ‘Ecomark’ label for their goods and services.

Significance of GCP: to encourage private sector industries and companies to meet their existing obligations by taking green actions and eco-friendly measures.