Lok Sabha passes CAF Bill

Lok Sabha has unanimously passed the much awaited Compensatory Afforestation Fund (CAF) Bill, 2015.

• The Bill aims to ensure expeditious utilization of accumulated unspent amounts to the tune of around Rs 40,000 crore for increasing forest cover in India. The amount has been lying idle with an ad-hoc central body for over 10 years.

Highlights of the bill:

• The Bill establishes the National Compensatory Afforestation Fund under the Public Account of India, and a State Compensatory Afforestation Fund under the Public Account of each state.
• These Funds will receive payments for: (i) compensatory afforestation, (ii) net present value of forest (NPV), and (iii) other project specific payments. The National Fund will receive 10% of these funds, and the State Funds will receive the remaining 90%.
• These Funds will be primarily spent on afforestation to compensate for loss of forest cover, regeneration of forest ecosystem, wildlife protection and infrastructure development.
• The Bill also establishes the National and State Compensatory Afforestation Fund Management and Planning Authorities to manage the National and State Funds.