Daily Current Affairs : 8-January-2025
The Indian government has recently introduced the Environment Relief Fund (Amendment) Scheme, 2024, to improve fund management, ensure efficient fund distribution, and strengthen environmental restoration efforts. This amendment, launched by the Ministry of Environment, Forest and Climate Change, brings in several key changes to better address environmental concerns and support recovery from environmental damages.
Key Features of the Scheme
The Environment Relief Fund (ERF) Scheme is designed to improve the overall management of funds and streamline the disbursement process. Here are some key features:
- Fund Management: The Central Pollution Control Board (CPCB) is now appointed as the official Fund Manager for a five-year period. This replaces the previous manager, United Insurance Company Limited.
- Sources of Funding: The fund is supported through various sources:
- Compensation under Section 24 of the National Green Tribunal Act, 2010.
- Penalties from the Public Liability Insurance Act (Sections 14, 15, and 17).
- Returns from investments made using the funds.
Digital Integration for Transparency
A major improvement in this amendment is the digital integration of the scheme. The introduction of an online portal will allow for better tracking of fund usage and efficient implementation of the scheme. This aims to enhance transparency and make the process more accessible.
Disbursement Process
Funds will now be released within 30 days of orders from the District Collector or the Central Government. This timely disbursement ensures quicker action towards environmental restoration, providing immediate financial assistance when needed.
Investment Strategy and Environmental Restoration Plans
Funds will be invested in public financial institutions and savings accounts to ensure liquidity and potential reinvestment opportunities. Additionally, the CPCB and State Pollution Control Boards (SPCBs) are tasked with creating restoration plans, which will be approved by the Central Government. The allocation of funds will be based on these approved plans.
Increased Administrative Allocation
The amendment also increases the administrative allocation for running the scheme from 1% to 2% of the total funds. This change allows for better management of resources and ensures that the fund is utilized effectively.
Independent Auditing
To ensure transparency and proper utilization of funds, an independent auditor, under the supervision of the Comptroller and Auditor-General, will regularly audit the fund.
Important Points:
- Launched by: Ministry of Environment, Forest and Climate Change.
- Objective: To improve fund management, ensure efficient disbursement, and strengthen environmental restoration efforts.
- Fund Management: Central Pollution Control Board (CPCB) appointed as Fund Manager for five years, replacing United Insurance Company Limited.
- Sources of Funding:
- Compensation under National Green Tribunal Act, 2010 (Section 24).
- Penalties under Public Liability Insurance Act (Sections 14, 15, and 17).
- Returns on fund investments.
- Digital Integration: Introduction of an online portal for scheme implementation and fund tracking, enhancing transparency.
- Disbursement Process: Funds released within 30 days of orders from District Collector or the Central Government.
- Investment Strategy: Funds invested in public financial institutions and savings accounts for liquidity and reinvestment.
- Environmental Restoration: CPCB and State Pollution Control Boards (SPCBs) to create restoration plans, with fund allocation based on Central Government approval.
- Increased Administrative Allocation: Administrative costs increased from 1% to 2% of total funds.
- Auditing: Regular audits by an independent auditor under the supervision of the Comptroller and Auditor-General.
These points highlight the key aspects and improvements brought by the Environment Relief Fund (Amendment) Scheme, 2024.
Why In News
The Central Government has introduced amendments to the Environment Relief Fund Scheme, 2008, through the Environment Relief Fund (Amendment) Scheme, 2024, aiming to enhance the efficiency of fund management, accelerate environmental restoration, and ensure timely disbursement of financial support for environmental protection efforts.
MCQs about 2024 Amendments to the Environment Relief Fund
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Who has been appointed as the Fund Manager for the Environment Relief Fund (Amendment) Scheme, 2024?
A. United Insurance Company Limited
B. Ministry of Environment, Forest and Climate Change
C. Central Pollution Control Board (CPCB)
D. State Pollution Control Boards (SPCBs)
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What is the main purpose of the Environment Relief Fund (Amendment) Scheme, 2024?
A. To promote eco-tourism
B. To enhance fund management and environmental restoration efforts
C. To provide penalties for environmental violations
D. To build more wildlife sanctuaries
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How soon will the funds be released after orders from the District Collector or Central Government?
A. Within 60 days
B. Within 45 days
C. Within 30 days
D. Within 15 days
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