Rules to use funds collected from penalties under green laws notified, Pg2

Key Highlights:

• The Union Environment Ministry has notified new rules under the Environment (Protection) Act, 1986, for utilizing the Environmental (Protection) Fund.
• Penalties collected under the EPA 1986, Air Act 1981, and Water Act 1974 will be used for environmental protection activities.
• The rules, named Environmental (Protection) Fund Rules, 2026, list 11 activities for fund utilization, including environmental monitoring and remediation.
• 75% of the penalty collected will be remitted to the Consolidated Fund of the concerned state, and 25% will be retained by the Centre.

Detailed Insights:

• The fund can be used for installing and maintaining environmental monitoring equipment, capacity building through laboratory setups, and remediation of environmental damage.
• Administrative expenses, including salaries for contractual staff, are included but capped at 5% of the fund's annual amount.
• The Union Environment Minister, as the "competent authority," can approve fund usage for any purpose deemed necessary for environmental protection.
• Funds will be credited to the Consolidated Fund of India (CFI) and then transferred to the Public Account of India.
• The Comptroller and Auditor General (CAG) will audit the fund's accounts, and reports will be presented in Parliament and State Assemblies.
• The Jan Vishwas Act, 2023 paved the way for decriminalizing pollution offences and creating the environmental protection fund.
• Penalties for violations under the Air Act, Water Act, and EPA range from Rs 10,000 to Rs 15 lakh.

Key Concepts Involved:

• Environment (Protection) Act, 1986: An act to provide for the protection and improvement of the environment.
• Consolidated Fund of India (CFI): The primary fund of the Indian government for all receipts and expenditures.
• Public Account of India: Used for funds where the government acts as a custodian, like provident funds.