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Green Credit Programme India: Rules, Tree Plantation and How It Differs from Carbon Credits

What India's Green Credit Programme is, who runs it, how the tree plantation rules changed from February 2024 to August 2025, what green credits can be used for, and why they are not carbon credits.

What is the Green Credit Programme?

The Green Credit Rules, 2023 were published in the Gazette of India as notification S.O. 4458(E), dated 12 October 2023, under sections 3, 6 and 25 of the Environment (Protection) Act, 1986. A draft had been published for public comment on 26 June 2023 (S.O. 2779(E)). The Prime Minister launched the Green Credit Initiative on the sidelines of COP28 in Dubai in December 2023 (PIB, year-end review 2023).

The Rules define a green credit as "a singular unit of an incentive provided for a specified activity, delivering a positive impact on the environment". Taking part is voluntary. The government links the programme to Mission LiFE (Lifestyle for Environment), its movement for greener everyday choices.

Rule 4 lists the kinds of activity that may earn green credits:

  • tree plantation, to increase green cover;
  • water management, including water harvesting, saving water and reusing treated wastewater;
  • sustainable agriculture, including natural and regenerative farming and land restoration;
  • waste management, including collection, segregation and safe handling;
  • air pollution reduction;
  • mangrove conservation and restoration;
  • ecomark label development, to encourage eco-labelled goods and services;
  • sustainable building and infrastructure.

A methodology has to be notified for each activity before credits can be earned for it. As of October 2026, the government describes only one as operational: tree plantation and eco-restoration of degraded forest land (Green Credit Programme FAQ; PIB, 16 March 2026).

Sources: Gazette of India: Green Credit Rules, 2023, S.O. 4458(E), MoEFCC, 12 October 2023 (copy hosted by Puducherry DSTE); Gazette of India: S.O. 884(E), Methodology for calculation of Green Credit in respect of Tree Plantation, MoEFCC, 22 February 2024; PIB: Parliament Question, Green Credit Programme (MoEFCC, 16 March 2026); PIB: Notification issued for Green Credit Program (GCP) and Ecomark scheme (MoEFCC, 13 October 2023); PIB: Year End Review 2023, Ministry of Environment, Forest and Climate Change; Green Credit Programme portal: Frequently Asked Questions (ICFRE/MoEFCC); PIB: Parliament Question, Indian Carbon Market (MoEFCC, 9 December 2024); Mongabay India: Green credit rules tweaked to favour canopy cover, remove trade provision (September 2025), secondary source for orientation

This article was prepared with AI assistance and checked by the GreenEye team against the sources shown in each section.

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