Rs 40000 cr forest fund in limbo 
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Rs 40000 cr forest fund in limbo 

Context

More than a year after the Union government brought in a law to allow the States to access seamlessly nearly ₹40,000 crore for regenerating forest land lost to industry, it is still to frame rules to get the money disbursed, says a written reply given in the Lok Sabha

Rules still to be framed

While States are getting money, it continues to be under an “ad hoc” mechanism whereby the Centre disburses it on a needs-basis. Rules have not been framed yet

  • Ironically, a year after the law came into being, disbursal this year has dropped to a three-year low

SC’s directions

The Supreme Court, in a 2009 order, had directed that an independent authority be charged with disbursing these funds, which paved the way for the Compensatory and Afforestation Fund (CAF) Bill envisaging the creation of a permanent Compensatory Afforestation Fund Management and Planning Authority (CAMPA)

Backdrop

Last July, the Rajya Sabha signed into law the CAMPA Bill that allows the States to access nearly ₹42,000 crore — mostly collected from industrial projects as penalties — from CAMPA and channel it into afforestation projects

How much has been disbursed this year?

The government says only ₹1,827 crore was disbursed to the States this year as opposed to ₹2,213 crore and ₹2,057 crore in the preceding years

Bill passed after a heated debate

The Bill, which establishes the National Compensatory Afforestation Fund and a State Compensatory Afforestation Fund under each State, saw heated debated in Parliament last year.

  • Minister’s promise: It was finally passed after then Environment Minister, the late Anil Dave, assured the House that all objections raised — such as the provisions of the Bill vesting greater powers in the forest bureaucracy than on resident tribal people; the possible violation of tribal rights, and gram panchayats not having the final say in deciding what kind of forests could be grown — would be addressed within the Rules of the Bill
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