The government introduced a program for earning and trading green credits to incentivize eco-friendly actions. It's a national initiative following the 'LiFE' campaign and is voluntary.
The program covers eight types of activities, including tree plantation to increase green cover, water management to promote conservation and efficiency, sustainable agriculture to improve productivity and soil health, waste management for sustainable practices, air pollution reduction, and mangrove conservation and restoration.
To obtain green credits, individuals or entities must register their activities electronically through a website, and these activities will be verified by a designated agency. Based on their report, the Administrator will grant a certificate of green credit. The calculation of green credits for each activity will be based on various parameters required to achieve the desired environmental outcome.
A Green Credit Registry will also be established, and the Administrator will maintain a trading platform. The program aims to incentivize environmentally positive actions through a market-based mechanism and generate tradable green credits. This initiative encourages industries, companies, and other entities to meet their environmental obligations and undertake voluntary environmental measures by generating or purchasing green credits. However, green credits obtained to fulfil legal obligations cannot be traded.
It's important to note that the Green Credit program is separate from the carbon credits provided under the Carbon Credit Trading Scheme, 2023, which was established under the Energy Conservation Act, 2001. An environmental activity that generates green credits may also have climate benefits, such as reducing carbon emissions, and an activity generating green credits may be eligible for carbon credits under the same scheme.
