Important points About Compensatory Afforestation Amendment Fund Bill, 2016

Compensatory Afforestation Amendment Fund Bill, 2016

Important Points:

① The compensatory Afforestation Fund Bill, 2016 was passed on Ju1y 29, 2016 by the Parliament.

② The bill provides establishment of funds under the public accounts of the centre and state levels for compensatory afforestation.

③ The Bill has ended the long era of ad-hocism and will help the Centre and State Governments to utilise these amounts in a planned manner. It will facilitate make available more than Rs. 6,000 crores per annum to the States/UTs for conservation, protection, improvement and expansion of forest and wildlife resources of the country.



④ It establishes National Compensatory Afforestation Fund (NCAF) under the Public Account of India, and a state compensatory Afforestation Fund (SCAF) under the Public Account of each state.

⑤ The payments into the funds include compensatory afforestation, net present value of forest (NPV), and any project specific payments.


⑥ The NCAF will get 10% of funds collected and the remaining 90% will go to respective state Fund.


⑦ It establishes National and state Compensatory Afforestation Fund Management and Planning Authorities (CAMPA) to manage the funds.


⑧ The Bill also provides for constitution of an authority at a national level and at each of the State and Union territory Administration for an administration of the funds and to utilise the monies so collected for undertaking:

⋈ artificial regeneration (plantations),
⋈ assisted natural regeneration,
⋈ protection of forests,
⋈ forest-related infrastructure development,
⋈ Green India Programme,
⋈ wildlife protection and other related activities

⑨ The determination of NPV will be delegated to an expert committee constituted by the central government.