Govt approves amending Compensatory Afforestation Fund Bill, 2015

The government has approved amending the Compensatory Afforestation Fund (CAF) Bill, 2015, which aims to ensure expeditious utilization of around Rs 40,000 crore for increasing forest cover in India which is currently lying unspent. The amendments include deleting some of environmental services for which credible model to assess their monetary value does not exist while it also provides for prior consultation with states for making a rule under it.

Furthermore, the amendments provide for use of monies realised from the user agencies in lieu for forest land diverted in protected areas for voluntary relocation from protected areas. The Bill is expected to be tabled in Parliament in the second half of the Budget session, which will commence from April 25.

The government said the legislation will ensure expeditious utilisation of accumulated unspent amounts available with the ad hoc Compensatory Afforestation Fund Management and Planning Authority (CAMPA), which is currently around Rs 40,000 crore, and fresh accrual of compensatory levies and interest on accumulated unspent balance, which will be of the order of approximately  Rs 6,000 crore per annum, in an efficient and transparent manner.

Earlier on May 8, 2015, the government had introduced the Compensatory Afforestation Fund Bill, 2015, in the Lok Sabha. However, on 13th May, 2015 Lok Sabha referred the Bill to the Department-related Parliamentary Standing Committee on Science & Technology, Environment & Forests. On 26th February, 2016 the Committee submitted its report to the Parliament. The Central Government after examination of the report of the Department-related Parliamentary Committee proposed to move official amendments in the Bill.