India’s Green Credit Programme Sets Framework for Restoring Degraded Forest Land

India’s Green Credit Programme (GCP) has been positioned as a policy mechanism to encourage voluntary, environmentally positive actions while supporting the national Lifestyle for Environment (LiFE) movement. Introduced under the Environment (Protection) Act, 1986, the programme aims to restore degraded forest land, expand green cover, and enhance carbon sequestration through clearly defined rules, verification processes, and long-term ecological outcomes.

Policy intent and legal framework

The Green Credit Rules, 2023 were notified on 12 October 2023 to create an institutional framework for recognising and issuing green credits for voluntary environmental actions. The programme is designed to incentivise the adoption of environmentally friendly technologies and practices that reduce carbon emissions, rehabilitate degraded land, and promote sustainable land use.

The initiative aligns with broader digital and governance reforms in India, where structured platforms and accountability mechanisms are increasingly used to implement public programmes. Similar approaches can be seen in other national initiatives discussed in OpenGov Asia’s coverage of responsible and inclusive policy frameworks supporting large-scale implementation.

Implementation and institutional responsibilities

A dedicated Green Credit Programme portal has been developed to support registration, management, and monitoring of activities. The Indian Council of Forestry Research and Education (ICFRE), based in Dehradun, has been designated as the programme administrator and is responsible for its overall management, operation, and issuance of green credits.

The programme relies on active participation from both public and private sector entities. Degraded forest land proposed for restoration is identified and registered by state forest departments following on-ground verification. This process is intended to ensure transparency and prevent overlap with existing afforestation or compensatory afforestation schemes.

Verification safeguards and ecological standards

Selected land parcels are verified by Divisional Nodal Officers and State Nodal Officers to confirm that they are not already under plantation or earmarked for other forestry programmes. This safeguard is designed to avoid double counting of environmental benefits under the GCP.

Afforestation and restoration activities must use a mix of local species, based on site suitability. Applicants become eligible for green credits only after completing a minimum of five years of restoration work and achieving at least 40 per cent tree canopy density, corresponding to moderately dense forest standards.

A designated agency verifies claims made by applicants and submits its findings to the administrator for the issuance of green credits. The restored forest land may also be used to meet compensatory afforestation requirements under the Forest (Conservation and Augmentation) Act, 1980 and its associated rules and guidelines.

Community benefits and long-term outcomes

Beyond carbon sequestration, the restoration of degraded forest land under the GCP is intended to enhance biodiversity and improve the productivity of forest resources. Expected outcomes include increased availability of timber, non-timber forest products, fodder, water, and other ecosystem services that directly benefit local communities.

This focus on measurable outcomes and verification reflects a wider shift in public-sector programmes towards results-based governance, a theme also evident in India’s approach to large-scale technology initiatives such as those outlined in its deployment-focused national strategies.

State-wise progress on degraded forest land restoration

As of the latest update, a total of 4,391 hectares of degraded forest land have been identified across 12 states for restoration under the Green Credit Programme. Gujarat accounts for the largest share at 975 hectares, followed by Madhya Pradesh (640 hectares) and Chhattisgarh (536 hectares). Other participating states include Assam, Bihar, Maharashtra, Odisha, Rajasthan, Telangana, Uttar Pradesh, Goa, and Jharkhand.

The information was provided by the Minister of State for Environment, Forest and Climate Change, Kirti Vardhan Singh, in a written reply to a question in the Lok Sabha. The full official response is available via the Press Information Bureau.