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Cabinet approves Compensatory Afforestation Bill, likely to be tabled next week

The afforestation programme in the country is set to get a boost as the Union Cabinet on Wednesday approved introduction of the Compensatory Afforestation Fund (CAF) Bill, 2015, in the current session of Parliament. The Compensatory Afforestation Fund Management and Planning Authority (CAMPA) corpus gets contributions from user agencies who divert forest land for non-forestry purposes. The issue of CAF Bill, was one of the key issues discussed during the state environment and forests' ministers' conference that was organised earlier this month.

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The afforestation programme in the country is set to get a boost as the Union Cabinet on Wednesday approved introduction of the Compensatory Afforestation Fund (CAF) Bill, 2015, in the current session of Parliament. The Compensatory Afforestation Fund Management and Planning Authority (CAMPA) corpus gets contributions from user agencies who divert forest land for non-forestry purposes. The issue of CAF Bill, was one of the key issues discussed during the state environment and forests' ministers' conference that was organised earlier this month.

Industries are required to deposit money under CAMPA, when they obtain forest clearance, as per conditions laid down by the environment ministry's forest appraisal committee. In the last ten years, CAMPA funds were largely unutilized and a total corpus of Rs38,000 crores has accumulated, according to data from Ministry of Environment, Forests and Climate Change (MoEF&CC).

A MoEF&CC note said that, "The proposed legislation also seeks to provide safety, security and, transparency in utilisation of these amounts, which currently are being kept in nationalised banks and are being managed by an ad-hoc body." It added, "These amounts would be brought within broader focus of both Parliament and State Legislatures and in greater public view, by transferring them to non-lapsable interest bearing funds."

In 2014, the MoEF&CC approved diversion of 35,867 hectares of forest land for a total of 738 projects. India's National Forest Policy, 1988, has set the goal of achieving 33 per cent of the total land area of the country as forests or tree cover. But according to the last State of Forest Report, only 21.23 per cent or 69.79 million hectatres of the geographical area of the country.

The CAF Bill, 2015, is likely to be presented in the Parliament next week. Among the key features of the Bill are creation of a national CAF and state CAF to collect amounts in lieu of forest land diversion. A National Authority would also be established to utilise amounts credited to national CAF. Additionally, a monitoring group would be established to assist the National Auhority in monitoring and evaluation of afforestation activities carried out using the CAF.

A MoEF&CC also went on to add that the CAF funds "will not only be utilized for afforestation, but also fore initiatives like wildlife care and ecological services. It will be an additional fund to the states apart from their own budgetary allocation."

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