Punjab's Carbon Credit Initiative: A Sustainable Future for Farmers

Introduction

In a pioneering move towards environmental sustainability and farmer welfare, Punjab’s Forest Department, in collaboration with The Energy and Resource Institute (TERI) and an international company, has launched a carbon credit compensation programme. This initiative financially rewards farmers for planting and maintaining trees, contributing to CO2 reduction and providing an additional income stream.

What is the Carbon Credit Compensation Programme?

The carbon credit compensation programme pays farmers for the environmental benefits of planting trees on their agricultural land. The goal is to reduce carbon emissions and improve air quality by encouraging farmers to grow trees instead of traditional crops like wheat and paddy. Farmers receive financial compensation based on the amount of carbon dioxide their trees absorb.

Key Elements of the Programme

• Eligibility and Registration
  • Farmers from regions like Hoshiarpur, Ropar, Mohali, Pathankot, and Nawanshahr are eligible.
  • A total of 3,686 farmers have registered under the Rs 45 crore pilot project.
• Compensation Structure
  • Farmers receive payments in four installments over five years.
  • The first installment of Rs 1.75 crore was recently distributed to 818 farmers in Hoshiarpur.
• Tree Maintenance Requirements
  • Farmers must maintain the trees for at least five years to qualify for carbon credits.
  • After five years, farmers can sell the mature trees to industries like paper, furniture, and plywood, which further helps in carbon storage.

Benefits of the Programme

• Environmental Impact
  • The programme helps reduce carbon emissions and pollution.
  • It promotes agro-forestry, which requires fewer pesticides and fertilizers compared to traditional crops.
• Economic Benefits
  • Farmers receive regular income through carbon credit payments.
  • They can earn additional income by selling mature trees after five years.
• Agricultural Advantages
  • Agro-forestry improves soil quality and requires less water and labor compared to traditional farming.
  • Intercropping during the initial years provides farmers with immediate agricultural benefits.

Success Stories

Several farmers have successfully registered and received compensation, showing the programme’s effectiveness.

Challenges and Future Prospects

While the programme has shown significant promise, there is a need for greater awareness among farmers to maximize participation. Punjab, with its low forest cover, urgently needs initiatives like these to enhance environmental sustainability and control pollution. The success of this pilot project could set a precedent for similar schemes across India.

Conclusion

Punjab’s carbon credit compensation programme is a groundbreaking initiative that benefits both the environment and the farming community. By encouraging tree plantation, the programme helps reduce carbon emissions, improve air quality, and provide farmers with a sustainable source of income. As more farmers join the programme, it has the potential to create a significant positive impact on the environment and the economy.

Frequently Asked Questions (FAQs)

Q1. What are carbon credits?
Answer: Carbon credits are tradable certificates representing the right to emit a specific amount of carbon dioxide or greenhouse gases, with one credit typically equal to one tonne of CO2 removed from the atmosphere.

Q2. How does the carbon credit system work in this program?
Answer: Farmers earn carbon credits by planting and maintaining trees, which absorb CO2. The amount absorbed is calculated, converted into credits, and sold to offset emissions, providing financial compensation to farmers.

Q3. Why is this program considered groundbreaking?
Answer: This initiative links environmental conservation directly to farmer welfare, providing financial incentives for sustainable practices, marking a significant step in India’s approach to agriculture and climate action.

Q4. What types of trees are included in this program?
Answer: Fast-growing and commercially valuable species, such as poplar and eucalyptus, suited to local conditions are preferred for planting, promoting both economic and environmental benefits.

Q5. How does this program address water scarcity issues in Punjab?
Answer: The programme promotes agro-forestry, which typically requires less water than traditional crops, encouraging sustainable practices in water-stressed regions, thus helping to alleviate water scarcity.

UPSC Practice MCQs

Question 1: What is the main objective of Punjab's carbon credit compensation programme?
A) To increase wheat production
B) To promote tree plantation
C) To reduce fertilizer use
D) To enhance traditional crop yield
Correct Answer: B

Question 2: How many farmers have registered under the pilot project?
A) 2,500
B) 3,686
C) 4,000
D) 1,500
Correct Answer: B

Question 3: Which type of farming does the programme promote instead of traditional crops?
A) Monoculture
B) Agro-forestry
C) Organic farming
D) Hydroponics
Correct Answer: B