Q. With reference to the Compensatory Afforestation Fund Management and Planning Authority (CAMPA) funds, consider the following statements:
1.It provides financial assistance to farmers for afforestation.
2.The Compensatory Afforestation Fund Act, 2016, governs the management and utilization of CAMPA funds.
Which of the statement(s) given above is/are correct?
Explanations –
Statement 1 is incorrect. CAMPA funds are not primarily intended for providing direct financial assistance to farmers for afforestation. The main purpose of CAMPA is to promote afforestation and regeneration activities as a way of compensating for forest land diverted to non-forest uses.
Statement 2 is correct. The Compensatory Afforestation Fund Act, 2016 governs the management and utilization of CAMPA funds. This act provides a legal framework for the collection, management, and utilization of these funds, and establishes the institutional mechanism for the same.
Source: The Hindu

