New Delhi: Industries, cooperative societies and other institutions, in humiliated forest lands or other recognized land parcels included in tree plantations, will be able to earn green credit only after the completion of minimum five -year restoration activities and after receiving a minimum firing density of 40% (layer covered with 40% of the ground), an official misleading layer is shown. This means that only the tree count will not earn them credit until the plantation receives some required density. “Green credits will be calculated based on vegetation, including changes in the canopy density and the number of living trees. A minimum canopy density of 40% should be obtained in humiliated forest land parcel to issue green credit and a green credit will be provided for each new tree over five years old.”However, the rules made it clear that the green credit for compensatory afforestation or tree plantation under the green credit program activity would be non-traditional and non-transferable except for the transfer between holding company and its subsidiaries.It has also been specified that the Green Credit generated under the program can be exchanged only once, which to meet the compliance of compensatory afforestation in matters related to the turn of forest land for non-conscious purposes and to meet the cost of companies under the corporate social responsibility (CSR), based on the cost, based on the cost towards forest restoration activities.Green credits earned by them can also be used to meet the need for planting of trees to meet obligations in compliance with the approval of project/activity being done by applicants individuals or institutions.The notification states that once green credits are exchanged for any of these objectives, it would be believed that such credits have been used to that extent and to the extent that it cannot be reused. The Ministry of Environment started the Green Credit Program in October 2023 to voluntarily encourage private sector and other institutions to take tree plantations and other environment friendly practices. The program is an innovative market-based mechanism designed to encourage voluntary environmental positive functions.
