New Delhi, Feb 4,2023: With the government focussing on energy transition for pushing “green growth” in the country, Finance Minister Nirmala Sitharaman while presenting the Union Budget for 2023-24, underlined green growth as one of the major areas of transformation.

A green credit programme will be notified under the Environment (Protection) Act.

Making this announcement, Sitharaman said it will incentivise environmentally sustainable and responsive actions by companies, individuals and local bodies, and help mobilise additional resources for such activities.

In addition to this, the government plans to revamp the compensatory afforestation process, especially because of delays in accessing compensatory afforestation funds for raising plantations.

On many occasions it has been seen that the land made available by project developers for afforestation is quite far away from the place where the diversion has taken place.

To resolve these issues, the green credit system suggests that any agency interested in raising plantations, can access green credits.

Sitharaman also announced MISHTI or Mangrove Initiative for Shoreline Habitats and Tangible Incomes, which will focus on mangrove plantation along the coastline.

This will be done through convergence between MGNREGA and the proposed compensatory afforestation funds, she said.