{"id":305021,"date":"2023-10-17T13:30:01","date_gmt":"2023-10-17T08:00:01","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=305021"},"modified":"2023-10-17T12:27:57","modified_gmt":"2023-10-17T06:57:57","slug":"green-credit-rules-2023-notified-to-incentivise-environmental-actions-legal-news","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2023\/10\/17\/green-credit-rules-2023-notified-to-incentivise-environmental-actions-legal-news\/","title":{"rendered":"Centre notifies Green Credit Rules, 2023 to promote Green Credit Programme"},"content":{"rendered":"
\n

On 12-10-2023, the Ministry of Environment, Forest and Climate Change notified the Green Credit Rules, 2023 to leverage a competitive market-based approach for green credit for incentivizing environmental actions of various stakeholders. The provisions came into force on 12-10-2023.<\/p>\n

Key Points:<\/p>\n

    \n
  1. \n

    Objective-<\/p>\n

      \n
    • \n

      incentivize environmental positive actions through market-based mechanism and generate green credit, which will be tradable and made available for trading on a domestic market platform.<\/p>\n<\/li>\n

    • \n

      To encourage industries, companies and other entities to meet their existing obligations, and encourage other persons and entities, to undertake voluntary environmental measures by generating or buying green credit.<\/p>\n<\/li>\n<\/ul>\n<\/li>\n

    • \n

      Green Credit Programme-<\/span> The measures that can be taken up for protection, preservation or coversation of the environment are:<\/p>\n

        \n
      • \n

        Tree plantation;<\/p>\n<\/li>\n

      • \n

        Water management;<\/p>\n<\/li>\n

      • \n

        Sustainable development;<\/p>\n<\/li>\n

      • \n

        Waste management;<\/p>\n<\/li>\n

      • \n

        Air pollution reduction;<\/p>\n<\/li>\n

      • \n

        Mangrove conservation and restoration;<\/p>\n<\/li>\n

      • \n

        Eco mark label development; and<\/p>\n<\/li>\n

      • \n

        Sustainable building and infrastructure.<\/p>\n<\/li>\n<\/ul>\n<\/li>\n

      • \n

        Methodology of generating green credit:<\/span> calculation of green credit will be based on equivalence of resource requirement, parity of scale, scope, size and other relevant parameters required to achieve the desired environmental outcome.<\/p>\n<\/li>\n

      • \n

        Procedure:<\/span> The Administrator will determine the following and develop a website for the same:<\/p>\n

          \n
        • \n

          Evaluation and verification of activities undertaken;<\/p>\n<\/li>\n

        • \n

          Manner of registration and details required for registration;<\/p>\n<\/li>\n<\/ul>\n<\/li>\n

        • \n

          Responsibilities of Administrator:<\/span> The Administrator will have to develop the guidelines for the following with approval of the Central Government:<\/p>\n

            \n
          • \n

            effective implementation of the Green Credit programme<\/p>\n<\/li>\n

          • \n

            develop guidelines, processes and procedures<\/p>\n<\/li>\n

          • \n

            develop and establish methodologies, registration process, guidelines and associated measurement, reporting and verification mechanism<\/p>\n<\/li>\n

          • \n

            develop guidelines for the establishment and operation of the Green Credit Registry and trading platform<\/p>\n<\/li>\n

          • \n

            establish or designate the Green Credit Registry, and trading platform service provider in accordance with the approved guidelines<\/p>\n<\/li>\n

          • \n

            develop guidelines for the green credit programme portal, the knowledge and data platform, and for the fees from the registered entities<\/p>\n<\/li>\n

          • \n

            develop guidelines for the market stability mechanism for trading of green credit<\/p>\n<\/li>\n<\/ul>\n<\/li>\n

          • \n

            The Steering Committee and Technical Committee<\/span> will consist of representatives from Ministries or Departments, experts from the field of the environment, and industry associations.<\/p>\n<\/li>\n

          • \n

            Auditors:<\/span> The Central Government will appoint independent auditors, on the recommendations of Steering Committee, to audit the Administrator, designated agency, Registry, trading platform and knowledge and data platform within a period of 1 year at the end of every 3rd<\/span> financial year.<\/p>\n<\/li>\n<\/ol>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

            Ministry of Environment, Forest and Climate Change notified the Green Credit Rules, 2023 to leverage a competitive market-based approach for green credit for incentivizing environmental actions of various stakeholders.<\/p>\n","protected":false},"author":67515,"featured_media":296826,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,15],"tags":[61981,61980,61977,61979,61978,37613,3346],"class_list":["post-305021","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legislationupdates","category-rules_regulations","tag-ecomark-label","tag-green-credit-programme","tag-green-credit-rules-2023","tag-incentivise-environmental-actions","tag-moefcc","tag-protection-of-environment","tag-sustainable_development"],"yoast_head":"\nMOEFCC introduces Green Credit Rules, 2023 | SCC Blog<\/title>\n<meta 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