India's Green Credit Programme was launched at COP28 in 2023. In August 2025, MoEFCC revised its methodology: credits now require 5 years of verified survival and minimum 40% canopy density. The era of planting-event credits is over.
India's Green Credit Programme (GCP) was launched in November 2023 at COP28 in Dubai by Prime Minister Narendra Modi. It was notified under the Environment (Protection) Act, 1986, as a voluntary incentive mechanism to encourage environmental actions — including tree plantation, water conservation and waste management — and reward them with tradeable green credits.
Under GCP, state forest departments identify degraded land parcels (minimum 5 hectares) suitable for afforestation. Eligible entities — companies, individuals, NGOs, PSUs — register on the GCP portal, select a land parcel, pay the restoration cost to the Indian Council of Forestry Research and Education (ICFRE), and fund the plantation. After successful verification, they receive Green Credit Certificates.
In August 2025, MoEFCC issued a notification that fundamentally changed how green credits are calculated. The earlier system awarded credits based on the number of trees planted within two years, subject to a minimum density of 1,100 trees per hectare. It was widely criticised for not measuring survival, canopy quality or ecological impact.
The revised methodology requires:
Minimum 5 years of restoration before credits are issued — not 2 years as previously
Minimum 40% canopy density must be achieved and verified before any credits are issued
Credits calculated based on vegetation status and canopy density change — not just tree count
Third-party verification by a designated agency checking survival and canopy before credits are issued. Typically 1 credit per surviving tree.
For corporations funding tree plantation — whether through direct CSR, CAMPA obligations, or GCP investment — the August 2025 update means one thing clearly: planting is not enough. Credits require survival, canopy growth, and third-party verified data over five years.
Companies that planted trees under the old GCP framework (minimum 1,100 trees per hectare, verified within 2 years) will need to re-evaluate their credit pipeline. Many plantations that "qualified" under the old rules may not qualify under the new ones.
As of government data, 57,986 hectares of degraded forest land have been registered under GCP. The revised rules are expected to significantly improve the ecological credibility of credits issued going forward.
MoEFCC Green Credit Rules 2023 — notified 12 October 2023 under Environment (Protection) Act, 1986
MoEFCC notification — 29 August 2025 (revised GCP methodology)
GCP official portal — moefcc-gcp.in
Anaxee Digital Runners: 'Green Credit 2025: What Corporates Must Know' — September 2025
Vajiramandravi: 'Green Credit Programme — Revised Rules for Tree Plantation' — September 2025
Drishti IAS: 'Revised Norms of Green Credit Programme (GCP)' — current affairs analysis
CSR Cares: 'Implementation of India's Green Credit Program' — July 2025