LexThe Compensatory Afforestation Act, 2016
Chhattisgarh · state statute
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EXTRAORDINARY
1-"fTTTll- ~ I
PART II-Section I
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PUBLISH ED BY AUTHORI T Y
.,--~ ~. ~tfqR, 3T7l"m 3, 2016/.P..TTcfUT 12, 1938 (~rcn)
No. 451 NEW DELHI, WEDNESDAY, AUG\IST 3, 21116/SIIIUV/\N/\ 12, 19311 (Si\l( A)
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MINISTRY OF LAW AND JUSTICE
(Lcgislntivc Department)
New De/1,i, the 3rd August, 20 I 6/Shrava11a 12, 1938 (Saka)
The lollowing Act or Pnrliumenl received the assent or the President on lhe 3 rd August, 20 16, and is hereby published lor general informalion:-
TH E COMPENSATORY Ar-FORESTATIO N FUND ACT, 20 16
No. 38 OF 2016
[3rd il11g11st, 20 16.)
An /\ct to provide for the establishment of funds under the public accounts of India and the public accounts of each Stale and crediting thereto the monies received from the user agencies towards compensatory a fforestation, additional compensatory a fforestation, penal c ompensatory afforestation, net present value and all other amounts recovered from such agencies under the Forest (Conservation) Act, 1980; constitution of an authority at national level and at each of the S tate a nd Union t erritory Administration for administration of the funds a nd to utilise the monies so collected for undertaking artificial regeneration (plantations), assisted n atural regeneration, protection of forests, forest related infrastructure development, Green India Programme, wildlife protection and other related activities and for matters connected therewith or incidental thereto.
W11r:REAS lhc Supreme Court in its order in T.N. Godavarman Thiru111 ulpad vs. Union or India and Others (Writ Petition (Civil) No. 202 of 1995), dated the 30th October, 2002, observed that u Compensatory Afforestation Fund be crcnlcd in which all the monies received from the user agencies t owards compensatory afTorestation, u<lditional compensatory anbrcstalion, penal compensatory nfforeslation, net present value or the diverted forest land or cntehmcnt urea lrcatment plnn shall be deposited;
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2 THE GAZETTE OF INDlA EXTRAORDINARY [PART II-
AND WHEREAS it had also been observed that the money received from the user
agencies in cases where forest land diverted falls within protected areas, that is,
the areas notified under the Wild Life (Protection) Act, 1972 for undertaking 35 or 1972. activities
related to protection of biodiversity or wildlife shall also be deposited
in the Fund;
AND WHEREAS the Supreme Court has directed that, besides artificial regeneration
(Plantations), the Fund shall also be utilised for undertaking assisted natural
regeneration, protection of forests, infrastructure development, wildlife protection
and other related activilies and an independent system of concurrent monitoring
and evaluation should be evolved and implemented through the Compensatory
Afforestation Fund to ensure effective and proper utilisation of funds;
AND WIIEREAS the Supreme Court in its judgment dated 26th September, 2005 in the said Writ Petitiion observed that the Fund generated for protecting ecology and
providing regeneration should not be treated as a Fund under article 266 and article
283 of the Constitution;
AND WHEREAS in its d irection dated the 5th May, 2006, the Supreme Court had
directed that since the Government has not constituted a Compensatory
Afforestation Fund Management and Planning Authority (hereinaflcr referred to as
Authority), an ad hoc Authority should be constituted till the Compensatory
Afforestation Fund Management and Planning Authority becomes operational and directed to centrally pool the money recovered on behalf of the said Authority lying
in the States and Union territories into the ad hoc Compensatory Afforestation Fund Management and Planning Authority;
AND WHEREAS Central Government formulated guidelines dated the 2nd July, 2009
on the subject of State Authority for utilisation of funds lying w ith the ad hoc Authority;
A No WIIEREAS in its direction dated the I 0th July, 2009, the Supreme Court had directed that the guidelines and structure of the Stale Authority prepared by the Central Government may be notified and implemented;
AND WHEREAS in its directions dated the 10th July, 2009, the Supreme Court further
directed that till an alternative system is pul in place, allcr obtaining permission from the S upreme Court, the money towards compensatory afforestation, net present value and protected areas (national parks, wildlife sanctuaries) shall continue to be deposited in the ad hoc Authority;
AND WIIEREAS in compliance or the directions of the Supreme Court including its order dated the 5th May, 2006, over rupees thirty eight thousand crores as collected
by the State Governments and Union territory Administrations have been placed
under the ad hoc Authority, and deposited in the nationalised banks;
AND WIIEREAS absence of permanent institutional mechanism for utilisation of funds
collected by the Stale Governments and Union territory Administrations is the main reason for accumulation of huge unspent funds in the ad hoc Authority;
Now, THEREFORE, based on the above orders, directions and observations of the
Supreme Court to ensure safety, security and expeditious utilisation in a transparent manner of funds accumulated with the ad hoc Authority and the funds to be
collected by the State Governments and Union territory Administrations. it is
proposed to create a National Compensatory Afforestation Fund and a N~tional Compensatory Afforestation Fund Management and P lanning Authority at the
national level, and a State Compensatory Afforestation Fund and a S tate
Compensatory Afforestation Fund Management and Planning Authority in each State and Union territory, by an Act of Parliament.
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Si:c. 11 Tl-IE G/\ZETl'E OF INDI/\
J
69 or 1980.
69 of 1980.
69 of 1980.
EXTR/\ ORDIN/\R Y
13£! it enacted by Purliamenl in the Sixty-seventh Year of the Republic or India as follows:-
Cl-1/\PTER I
PRELIMINARY
I. (/) This /\cl may be called the Compensatory /\(forestation found /\cl, 2016.
(2) IL extends Lo the whole of India except the State of Jammu and Kashmir.
(J) Save as otherwise provided in this Act, it shall come into force on such dale as the Central Government may, by notification in the Official Gazelle, appoint.
2. In this Act, unless the context otherwise requires,-
(a) "ad hoc Authority" means the ad hoc Compensatory Afforestation Fund Management and Planning Authority constituted under the order dated the 5th May, 2006 of the Supreme Court in T.N. Godavarman Thirumulpad vs. Union or India and Others, [Writ 1>etilion (Civil) No. 202 or 1995);
(b) "Chairperson, National Authority" means the Chairperson of the governing body of the National Authority;
(c) "Chairperson, State Authority" means the Chairperson of the governing body of the State Authority;
(d) "compensatory aliorestation" means afforestation done in lieu of the diversion or forest land for non-forestry use under the Forest (Conservation) Act,
1980; (e) "environmental services" includes-
(i) provision of goods such as wood, non-timber forest products, fuel, fodder, water and provision of services such as grazing, tourism, wildlife protection and li fe support;
(ii) regulating services such as nood moderation, carbon sequestration and health of soil, air and water regimes;
(iii) supporting such other services necessary for the production or ecosystem services, biodiversity, nutrient cycling and primary production including pollination and seed dispersal;
(j) "Head of the regional office" means the senior-most officer appointed by the Central Government at regional office to deal with the forest conservation matters under the Forest (Conservation) Act, 1980;
(g) "monitoring group" means a group o r experts lo monitor the activit ies undertaken from amounts released from the National found and State Fund constituted under sub-section (J) or section 9;
(h) "National Authority" means National Compensatory Afforestation Fund Management and Planning Authority constituted under section 8;
(i) "National Fund" means the National Compensatory Afforestation Fund established under sub-section (/) of section 3;
(j) "net present value" means the quantification of the environmental services provided for the forest area diverted for non-forestry uses, as may be determined by an expert committee appointed by the Central Government from time to time in this regard;
(k) "penal compensatory afforestation" means afforestation work to be undertaken over and above the compensatory afforestation specified in the guidelines issued under the Forest (Conservation) Act, 1980, in lieu of the extent of area over which non-forestry activities have been carried out without obtaining prior approval or the competent authority under the Forest (Conservation) Act, 1980;
Shon 1i1lc,
CXICIII ant.I
co11u,1cnco11cn1
Dclinitions.
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Establish111c111
of National
Fund.
THE GAZET rE Of- INDIA EXTllAORDINARY [PM<T ll-
(/) "prescribed" means prescribed by rules made by the Central Government in
consultation with the State Governments under this Act;
(111) "Stale Authority" means the State Compensatory Afforestation r-und
Management and Planning Authority constituted under section IO;
(n) "State r-und" means the State Compensatory Afforestation r-und established
by each State under sub-section (/) or section 4;
(o) "State Government" includes Union territory Administration;
(p) "user agency" means any person, organisation or company or department or
the Central Government or State Government making a request for diversion or
de-notification or forest land for non-forest purpose or using forest land for non-forest
purpose in accordance with the provisions contained in the Forest (Conservation)
Act, 1980 and the rules made and guidelines issued, thereunder. 69 of 1980.
CHAPTER II
ESTAOLISHMENT, MANAGEMENT AND UTILI SATION OF NATI ONAL COMPENSATORY AFFOR ESTATION
FUND AND STATE COMPENSATORY AffORESTATION FUNDS
3. (/) With effect from such date as the Central Government may, by notification in
the Onicial Gazelle, appoint in this behalf, there shall be established for the purposes or
this Act, a special Fund to be called the "National Compensatory Afforestation Fund"
under the public account or India.
(2) The National Fund shall be under the control or the Central Government and
managed by the National Authority in such manner as may be prescribed.
(3) On the date of establishment of the National r-und, all monies collected by the
State Governments and Union territory Administrations which has been placed under the
ad hoc Authority and deposited in the nationalised b anks shall be transrerred to the
National Fund.
(4) There shall also be credited into the National Fund, by each State on yearly
basis, ten per cent. of the funds realised from the user agencies in respect or the forest
land diverted in their favour, which have been credited directly into the State Fund.
(5) There shall also be credited to the National Fund-
(a) grants-in-aid received, if any, by the National Authority;
(b) any loan taken or any borrowings made by the National Authority;
(c) any other sums received by the National Authority by way or benefaction,
gift or donations.
(6) The monies received in the National Fund shall be an interest bearing fund
under public accounts of India.
(7) The balance in the National Fund shall be non-lapsable and get interest as per
the rate declared by the Central Government on year to year basis.
Establishment 4. (I) With effect from such date as each Stale Government may, by notification in of State fund. the Official Gazette, appoint in this behalf, there shall be established for the purposes of
this Act, a special Fund to be called the "State Compensatory Afforestation Fund-.. ...... .
(name of State)" under public accounts of such State:
Provided that in case of Union territory having no legislature, such fund shall be
established under the public account of Union of India with effect from such date as the
Union territory Administration may, by notification in the Official Gazette, appoint in
this behalf.
(2) TI1e Stale Fund in each State shall be under the control of the State Government of such
Stale and managed by the State Authority of such Stale, in such manner as may be prescribed.
(J) There shall be credited into the State Fund of a State-
(i) the unspent balance of all monies which has been transferred by ad hoc
Authority to the Stale Compensatory A(Torestation Compensatory Afforestatio11 funds
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69 of 1980.
53 of 1972.
Sue. 11 TIIE GAZE'ITE OF INDIA EXTRAORDINAl{Y 5
Mnnagemenl nnd Plnnning Authority conslilutcd in such Stale in compliance of guidelines dated the 2nd July, 2009;
(ii) all monies transferable from the National Fund under clause (a) or section 5;
(iii) all monies realised from user agencies by such State towards compensatory nfforcstation, additional compensatory a!Torcstation. penal compensatory afforestation, net present value, catchment nrea trcntmcnt plan or any money lor compliance or conditions stipulated by the Central Government while according approval under the provisions of the Forest (Conservation) Act, 1980; and
(iv) the funds recoverable from user agencies by such State in cases where forest land diverted falls within the protected areas, that is, areas notilicd under sections 18, 26A or 35 of the Wild Life (Protection) Act, 1972 for undertaking activities relating to the protection of biodiversity and wildlife.
( 4) A State Government may also credit to the State Fund constituted by it
(i) grants-in-aid received, if any, by the State Authority;
(ii) any loan taken or any borrowings made by the State Authority;
(iii ) any other sums received by the State Authority by way of benefaction, gin or donations.
(5) The monies received in the State Fund shall be an interest bearing rund under public accounts.
(6) The balance in each Stale Fund shall be non-lapsable and get interest as per the rate declared by the Central Government on year to year basis.
5. Save as otherwise provided in this Act, the monies available in the National Fund shall be disbursed and utilised in the following manner, namely:-
(a) ninety per cent. of the all monies collected by a State, which has been placed under the ad hoc Authority and the interest accrued thereon, shall be transferred to the State Fund established in such state under sub-section (1) of section 4;
(b) the balance ten per cent. of all monies collected by the States and Union territory Administrations, which has been placed under the ad hoc Authority and the interest accrued thereon, and all fresh accrual to the National Fund, as provided in sub-section (4) of section 3, and the interest accrued thereon, shall be utilised for mceting-
(i) the non-recurring and recurring expenditure for the management of the National Authority including the salary and allowances payable to its officers and other employees;
(ii) the expenditure incurred on monitoring and evaluation or works executed by the National Authority and each State Authority;
(iii ) the expenditure incurred on specific schemes approved by governing body of the National Authority.
Expla11atio11.-for the purposes of this section, "scheme" includes any institute, society, centre of excellence in the lield of forest and wildlife, pilot schemes, standardisation or codes and guidelines and such other related activities for the forestry and wildlife sector.
6. Save as otherwise provided in this Act, the monies available in a Stale Fund shall be disbursed and utilised in the following manner, namely:-
(a) the money received for compensatory afforestation, additional compensatory n!Torestation, penal compensatory afforestation, catchment area treatment plan and
Disbursement
and utilisation
of National
Fund.
Disbursement
and
utilisation of
State Fund.
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Accounting
procedure.
Constitution
of National
Authority.
6 Tl-IE G/\ZETl'E OF INDI/\ EXTR/\ORDIN/\llY ll'AIH 11-
for any other site specific scheme may be used as per site-specific schemes submitted by the Stale along with the approved proposals for diversion or forest land under the Forest (Conservation) /\cl, 1980; 69 nf 1980
(b) the monies received towards net present value and penal net present value shall be used for artificial regeneration (plantation), assisted natural regeneration, forest management, forest protection, forest and wildlife related infrnstruclure development, wildlire protection and management, supply or wood and other forest produce saving devices and other allied activities in the manner as may be prescribed;
(c) the interest accrued on funds available in a State Fund and the interest accrued on all monies collected by the Slate Governments, which has been placed under the ad hoc Authority and deposited in the nationalised banks, in compliance or the directions or the Supreme Court dated the 5th May, 2006, shall be used for conservation and development of forest and wildlife in the manner as may be prescribed;
(d) all monies realised from the user agencies in accordance with the decision taken by the Standing Committee or the National Board for Wild Li fc constituted under section 5/\ of the Wild Life (Protection) Act, 1972 or the orders or the Supreme Court involving JS of' 1972. cases or diversion of forest land in protected areas shall form the corpus and the income therefrom shall be used exclusively for undertaking protection and conservation activities in protected areas of the State including facilitating voluntary relocation from such protected areas and in exceptional circumstance, a part or the corpus may also be used subject to prior approval of the National Authority;
(e) ten per cent. of amount realised from the user agencies, which has been credited directly into the Stale Fund in a year shall be transferred to the National Fund to meet expenditure as provided in clause (b) of section 5;
(j) the non-recurring and recurring expenditure for the management of a State Authority including the salary and allowances payable to its officers and other employees may be met from a part of the interest accrued on the amounts available in the State Fund, in the manner as may be prescribed;
(g) in case of trans-boundary forestry or environmental implication or diversion or forest land for non-forest purposes in a particular Stale, if found expedient and necessary by the National Authority, it may, in consultation with the concerned Sate Authorities order that such sum as may be justified for reparation of the trans-boundary effects, be transferred to State Fund of such Stale or States;
(h) State Authority shall release monies to agencies identified for execution of activities in pre-determined installments as per the annual plan of operation finalised by steering committee of such State Authority and executive committee of the National Authority.
7. The accounting procedure lo regulate the manner of crediting the monies to the National Fund and State Fund in a year shall be in such manner as may be prescribed.
CHAPTER Ill
CONSTITUTION OF NATIONAL AUTHORITY AND STATE AUTIIORITIES
8. (/) With effect from such date as the Central Government may, by notification in the Official Gazette, appoint in this behalf, there shall be constituted a Nationa l Authority to be called the "National Compensatory Afforestation Fund Management and Planning Authority".
(2) The National Authority shall manage and utilise the National Fund for the purposes of this Act.
(3) The National Authority shall consist of a governing body and shall be assisted by an executive committee, monitoring group and administrative support mechanism.
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l .·
SEC. lj Tl IE O/\ZE'ITE OF INDI/\ EXTR/\ORDIN/\ RY 7
( 4) The governing body of the Notional /\uth ority shall consist or the fol lowing,
namely:-
(i) Minister for Environment, rarest and Climnte Change, Government or
India- Chairperson, ex officio;
(ii) Secretaries of Ministries dealing w ith Environment, forest, Climate
Change, f inance (Expenditure), Rural Development, Land Resources, Agriculture,
Panchayati Raj, Tribal Development, Science, Technology, Space and Earth
Sciences and Chief Executive Officer, National Institution lor Transforming India
/\yog, Government of India-Members, ex officio;
(iii) Director General of Forests and Special Secretary, Ministry of Environment,
forest and Climate Change, Government of India-Member, ex officio;
(iv) Additional Director General of Forests (Forest Conservation), Ministry of
Environment, Forest and Climate Change, Government of India-Me mber, ex officio;
(v) Additional Director General of Forests (Wildlife), Ministry of Environment,
Forest and Climate Change, Government of India-Member , ex officio;
(vi) Mission Director, National Mission for a Green India, Ministry of
Environment, Forest and Climate Change, Government of India-Mem ber, ex officio;
(vii) Financial Adviser, Ministry of Environment, Forest and Climate
Change, Government of India-Me mber, ex officio;
(viii) five Principal Chief Conservator of Forests, not more than one rrom
each of the ten regions, to be nominated by the Ministry of Environment, forest
and Climate Change, Government of India on rotation basis for a period of two
years, al a time- Members, ex officio;
(ix) Inspector General of Forests (Forest Conservation), Ministry of
Environment, Forest and Climate Change, Government of India-Member, ex officio;
(x) live experts, one each from environmentalists, conservationists, scientists,
economists, and social scientists appointed by the Central Government for a period
of two years subject lo not more than two consecutive terms- Members.
(5) The Central Government may appoint an officer of the rank of an Additional
Director General of Forests as the Chief Executive Officer of the National Authority who
shall be the Member- Secretary of the governing body and the executive committee of the
National Authority.
9. (/) The governing body of the National Authority shall, in performance of its
functions and powers under the Act, be assisted by the executive committee and the
monitoring group.
(2) The executive committee of the National Authority shall consist of the
following, namely:-
(i) Director General of Forests and Special Secretary, Ministry of Environment,
Forest and Climate Change, Government of India-C hairperson, ex officio;
(ii) Additional Director General of Forests (Forest Conservation), Ministry of
Environment, Forest and Climate Change, Government of India-Mcmbc_r, ex officio;
(iii) Additional Director General of Forests (Wildlife), Ministry of Environment,
Forest and Climate Change, Government of India-Mem ber, ex officio;
(iv) Mission Director, National Mission for a Green India, Ministry of
Environment, Forest and Climate Change, Government of India-Member, ex officio;
Executive
comminee
and
monitori ng
group of
National
Authority.
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Cons 1i1u1ion
of Stale
A uthority.
8 Tl IE GAZETTE Or- INDIA EXTRAORDINARY ll'MT II-
(r) Financial Adviser, Ministry or Environmenl, Forcsl and Climalc Change,
Government of India- Member, ex officio;
(vi) Head of all regional omces of the Ministry of Environment, r-orest and
Climale Change, Government or India -Membe rs, ex officio;
(vii) lnspcclor General of Foresls (Forest Conservation), Ministry of
Environment. r-orest and Climate Change, Government of India- Member, ex officio;
(viii) a professional ecologist, not being from the Central Government, to be
appointed by the Central Government- Member;
(ix) three experts, one each in the fields of forestry, tribal developme~t, foresl
economy development, nol being from the Central Government, to be appomted by
the Central Government- Members;
(x) Chief Executive Onicer of the National Authority-Member-Secretary.
(J} The monitoring group shall consist of six experts in the fi eld of environment,
economics, wildli fo, forest, remote sensing and geographical information system and
social sector and the Director General, forest Survey of India, Ministry of Environment,
Foresl and Climate Change, Government of India.
(4) The following officers shall be appointed by the National Authority for a period
not exceeding five years, lo assisl the executive committee in performance o f its
functions and powers under the Act, namely:-
(i) Joint Chief Executive Officer of the rank of Inspector General of Forests;
(ii ) Financial Advisor and Chief Accounts Officer of the rank of Director in
the Government of India; and
(iii) Deputy Chief Executive Officers of the rank of Deputy Inspector General
of Forests.
(5) The governing body of the National Authority may with the prior concurrence
of the Central Government create posts in the National Authority at the level or Assistant
Inspector General of Forests and other oflieials lo assist t he executive committee and
monitoring group in performance of its functions under the Act.
10. (/ ) With efTect from such date as the Central Government may, by notilication
in the Official Gazette, appoint in this behalf, there shall be constituted a State Authority
lo be called the "State Compensatory A fforestation Fund Management and Planning
Authority" in each State.
(2) The Central Government may, if so desires, appoint different dates for
constitution of State Authority in each of the States.
(J) The State Authority c onstituted in a S tate s hall be responsible for the
management of the State Fund of such State and its utilisation for the purposes of the Act.
(4) The State Authority shall consist ofa governing body and shall be assisted by a
steering committee and an executive committee.
(5) The governing body of a State Authority shall consist of the following, namely:-
(i) Chief Minister of the S tate and in case of a U nion territory having no
legislature, the Lieutenant Governor or the Administrator, as the case may be
Chairpcrson, ex officio;
(ii) Minister of Forests-Me mber, ex officio;
(iii) Chief Secretary- Member, ex officio;
(iv) Principal Secretaries of the Departments dealing w ith Environment,
Finance, Planning, Rural Development, Revenue, Agriculture, Tribal Development,
Panchayali Raj, Science and Technology- Members, ex officio;
( v) Principal Chief Conservator of Forests (Head of Forest Force)-Member,
ex officio;
(vi) Chief Wildlife Warden- Member, ex officio;
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SEC. I]
EXTRAORDINARY
THE GAZETfE OF INDIA
9
69 of 1980 .
(6) Principal Secretary in-charge or the r-orcsl Department in a Stale shall be
Member Secretary of'the Stale Authority in such Stale.
(7) The State Government sha ll appoint an ofticcr of the rank not below the _rank or
a Chief Conservator of Forests as the Chief Executive Officer of the Stale Aulhonly who
shall be the Member-Secretary of the steering committee and the e xec utive comm ittee of
the State Authorit y.
11. (/) The governing body of the State Authority shall, in performance of its functions
and powers under the Act, be assisted by the steering committee and the executive committee.
(2) The steering committee of a Slate Authority shall consist of the following,
namely:- (i) Chief Secretary-Chairperson , ex officio;
(ii) Principal Secretaries of the Department s dealing with r-orcsls,
Environment, Finance, Planning , Rural Development, Revenue, Agriculture, Triba l
Development , l'anchayati Raj, Science and Techno logy-Members, ex officio;
(iii) Principal Chier Conservator of r-orests (Head or forest forcc)-
Member, ex officio;
(iv) Chief Wildlife Warden-Member , ex officio;
(v) Nodal Officer, the forest (Conservation) Act, 1980-M embcr, ex officio;
(vi) Head of the concerned regional office of the Ministry of Environment ,
Forest and Climate Change- Member, ex officio;
(vii) Nodal Oflicer, Slate Forest Development Agency-Member , ex officio;
(viii) an expert on tribal matters or a representative of tribal communities to
be appointed by the State Government-Memb er;
(ix) Chief Executive Officer, Stale Aulhorily-Membcr-Sccrelary.
(J) The executive commillee of a Stale Authority shall cons ist or the loll owing,
namely:-
(i) Principal Chief Conservator of forests (Head or forest force}
Chairperson, ex officio;
(ii) Chief Wildlife Warden-Member , ex officio;
(iii) an officer not below the rank of a Chief Conservat or of Forests dea ling
with forest and wildl ife related scheme s-Member, ex officio;
(iv) an olliccr not below the rank of a Chier Conservntor of Forests dealing
with forestry research-Memb er, ex officio;
(11) Nodal Ofticer, Stale Forest Developme nt Agency - Member , ex offic io;
(vi) a representative each of the Department s dealing w ith Environment,
Finance, Planning, Rural Development, Revenue, Agriculture, Trib al Development,
Panchayati Raj, Science and Technology-Members, ex officio;
(vii) Financial Controller or Financial Adviser, lo be nominated by the
Finance Department-M ember , ex officio;
(viii) two eminent non- government organisations lo be appointed by the
State Government-Membe rs;
(ix ) two representative s of dist rict level Panchayati Raj Institution s to be
appo inted by the Stale Government-Members;
S1ccri11g
co111mi11cc
and executive
commincc of
State
Authority.
(x) an expert on tribal matters o r a representative of tribal community to be
appoi nted by the State Government-Member ;
(xi) Chief Executive Officer, Stale Authority -Member-Secretary.
( 4) The Stale Authority may appoint the following officers for a period not
exceeding five years, to assist the steer ing committee and execut ive committ ee in
performance of its functions under the Act, namely: -
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10 THE GAZETTE 017 IND!/\ EXTRAORDINI\RY
(i) Joint Chief Executive Officer of the rank not below the rank or a
Conservator of forests;
[l'AR r II-
(ii) r-inancial Advisor and Chief Accounts Officer of the rank not below the
rank of a Deputy Secretary in the State Government;
(iii) Deputy Chief Executive Officer of the rank not below the rank of a
Deputy Conservator of forests .
(5) The governing body of the State Authority may with the prior concurrence of
the State Government create posts in the State Authority at the level or l\ssisla nl
Conservator of forests and other officials 10 assist the steering committee and executive
commillee in performance of its functions under the Act.
Tenn of office 12. Save as otherwise provided in this /\ct , the terms of office and other conditions
and conditinns of the service of the members of the National l\uthority, executive committee, monitoring
of scrviceof group, Chief Executive Officer and officials appointed by the National Authority,
members . · I S members of State Authority, steering committee and executive commillee of eac 1 talc
Authority shall be such as may be prescribed.
Disqualilications . 13. A person shall be disqualified for being appointed as a member of the National
Powers and
fu11c1 ions of
National
Authority.
Authority, executive commillee of the National Authority, a State Authority, steering
committee and executive committee of a State Authority, monitoring group, if hc-
(i) has been convicted and sentenced to imprisonment for an offence which,
in the opinion of the Central Government, involves moral turpitude; or
(ii) is an undischarged insolvent; or
(iii) is of unsound mind and stands so declared by the competent courl; or
(iv) has been removed or dismissed from the service of the Government or
organisation or undertaking owned by the Government; or
(v) has, in the opinion of the Central Government, such financial or other
interest in the National Authority or the concerned State Authority as is likely to
affect the duties discharged by him of his function as a member.
CHAPTER IV
POWERS AND FUNCTIONS OF NATIONAL AUTHORITY AND STATE AurnORITIES
14. (/) The governing body of the National Authority shall-
(i) formulate broad p olicy framework for functioning of the National
Authority and State Authorities as may be notified by the Central Government;
(ii) approve the annual report and audited accounts of the National Authority;
(iii) review reports on decision taken by executive committee and monitoring
group ofthc National l\uthority including investment decisions;
(iv) approve the proposal for the schemes specified in sub-clause (iii) of
clause (b) of section 5;
(v) approve the proposals for creation of posts in the National Authority,
subject lo prior permission of the Central Government;
(vi) provide a mechanism to Stale Authorities to resolve issues of inter-State
or Centre-Stale character;
(vii) formulate such procedures for delegation of financial and administrative
powers to the National Authority and State Authorities as may be notified by the
Central Government.
(2) The governing body of the National Authority shall meet at least once in six
months.
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SEC. I) Tl-IE GAZETTE OF !NOIA EXTRAORDINARY 11
(J) The governing body and executive commillcc of the National Authority and the
monitoring group of the National Authority shall meet at such places and shall observe
such rules and procedures in regard to transaction of business at its meeting. including the
quorum thereat, as may be prescribed.
15. (/) The executive commillee of the N:itional Authority shall-
(i) approve within three months from the dale of receipt, annual plan or
operations of State Authorities, with such amendments as il deems lit and proper;
(ii) formul:ite proposals for schemes specified in sub-cl:iuse (iii) of clause (b)
or section 5;
(iii) execute schemes specified in sub-clause (iii) of clause (b) of section 5;
(iP) deploy staff on contract or 011 deputation basis to the posts in the
National Authority;
(v) lom1ulatc proposals for creation or posts in the National Authority at the
level of Assist:int Inspector General or Forests and other officers;
(vi) invest surplus amounts av:iilablc in the National Fund;
(vii) execute other day-lo-day work in =peel of receipt of amounts in the Nationol
Fund;
(viii) maintain books of account and such other records;
(ix) facilitate scientific, technological and other assistance that may be
required by State Authorities;
(x) present its decisions to the governing body of the National Authority for
information;
(xi) maintain and update a public information system on the National
Authority and present all information on its transaction in the public domain;
(xii) undertake any other work as may be assigned by the governing body or
the National Authority or the Central Government, from time to time.
(2) The executive committee of the National Authority shall meet at least once in
every three months.
Powers and
functions or
CX«.."CUtivc
commiucc or
Nntional
Authority.
16. (/) The monitoring group shall- Func11011s of
mon11or1nc
(i) evolve independent system for concurrent monitoring and evaluation of gmur.
the works implemented in the States and Union territories utilising the runt.ls
released by the National Authority and St:itc Authorities to ensure e!Tcctive and
proper utilisation of funds by utilising the services of the regional offices, or the
Central Government in the Ministry of Environment, Forest and Clim:llc Ch:rngc:
Provided lhal lhe Central Government may also undcnake third party monitoring
and evaluation of the works implcmcnted in the States and Union h:rritories utilising the
funds released by the Nationnl Authority and State Authorities through individual and
institutional experts including remote sensing agencies;
(ii) inspect and undertake financial audit of \\'Orks executed by utilising the
funds released by the National Authority and State Authorities in the Stntc and
Union territories;
(iii) devise measures for transparency and uccountnbilily.
(2) The monitoring group shall meet al least once in three months.
17. (/) The governing body of a State Authority shall-
(i) lay down the broad policy framework for the functioning of such State
Authority within the overall fr.imework notified by the Central Government on the
recommendations of the National Authority;
Powers and
functions of
State
Authority.
j
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Power s and
functil'llS of
st~cring
committee of
State
i\uthori ty.
Functions and
powers of
executive
committee of
State
Authority .
Budget of
National
Authority .
12 THE GAZETTE OF INDIA EXTRAORD INARY [PART 11 -
(ii) review the working oflhe Stale Authority from lime lo time.
(2) The governing body of a Stale Authority shall meet at least once in six month s.
(3) The governing body, steering commillcc and executive committee of a State
Author ity shall meet at such places and shall observe such rules and procedures in regards to
transaction or business at its meeting, including the quorum thereat, as may be prescribed.
18. (/) The steering commillee or a Stale Author ity shall-
(i) scrutinise and approve with such amendments as it may deems fit and
proper the annual plan of operations prepared by the executive committee of such
Stale Authority and send the same lo the executive committee of the National
Authority for final approval;
(ii) monitor the progress of the utilisation of funds released from the Stale Fund;
(iii) review reports on decision taken by executive comm ittee including
inves tment decisions;
(iv) approve, subject to prio r concurrence oflhe Slate Government, proposals
formulated by the exec utive committee for creation of posts in the State Authority;
(v) approve annual report of the State Authority and send the same to the
Stale Government to lay it, each year, in each House oflhe Slate Legislature;
(vi) ensure inter-departmental coordination.
(2) The steerin g committee of a Slate Authority shall meet at least once in every
three month s.
19. (/)The executive commillee o f a State Authority shall-
(,) formulate and submit annual plan of operations to the steeri ng committee
of the State Authori ty for its concurrence;
(ii) undertake qualitative and quantitative supervision, monitoring and evaluation
of the works being implemented from amounts available in the State Fund;
(iii) invest surp lus amounts avai lable in the State Fund of such State;
(iv) maintain books of account and othe r records;
(v) submit reports to the steeri ng committee of the Stale
Authority; (vi) prepare annua l report of the Stale Authority;
(vii) deploy staff on contractual basis or on deputation to the posts in the
Slate Authority;
(viii) formulate proposals for creation of posts in the State Authority; (ix)
be responsible for delegation of financial or administrat ive powers;
(x) be responsible for other day-to-day working in respect of the State Authority;
(xi) maintain and update public information system on the State Authority
and present all information on its transaction in the publ ic domain;
(xii) undertake any other work as may be assigned by the governing body or
steering commillee oflhe Stale Authority or the Stale Government, from time lo Lime.
(2) The executive committee of a State Authority shall meel at least once in every
three months.
CHAPTER V
F INANCE, ACCOUtmi, AUDIT AND ANNUAL REPORT
20. (/) The National Author ity shall prepa re its budget for the next financial year,
showing the estimated receipts and expenditure of the National Authority and forward the
same to the Centra l Government, in such form and al such time in each financial year as
may be prescribed.
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SEC. I] THE GAZE1TE OF INDI.-\ E~TRAORDlN:\RY
(2) The Notional Authority. shall adopt tin:.mcial regulati<,n nml rl'(X-eduri.";'>.. in
particular the procedure for drnwing up :md implementing the budget l,r the N:1ti~,nal
Authority as may be prescribed.
2 I. The National Authority may invest its fund$. including :my rc$en·c fond. in the
securities of the Central GO\·emment :ind in scheduled oonks in such m:mncr us may lk•
prescribed:
Provided that the gr.mis rcceh·ed fr()m the Ccntrnl Go,·ernment shall nN be
invested and shall be utilised for the purpcises and in the manner nttnd1ed 10 it.
22. (/) The National Authority shnll maintain proper ncrounts and other rcle,-:1111
records and prepare an annual statement or accounts in such forn1 us may oc prcscritx--d in
consultation with the Comptroller and Auditor-General of India.
(2) The accounts of the National Authority shall be uuditcd by the Comptroller and
Auditor-General of India at such interrnls as may be specified by him and :my
expenditure incurred in connection with such audit shall be paynble by the Nnti0nal
Authority to the Comptroller and Auditor-General.
(3) The Comptroller and Auditor-General and any oih.::r person appointed by him in
connection with the audit of the accounts of the National Authority shall have the sanK· right
and privileges and authority in connection with such audit as the Comptroller and Auditl,r
General generally has in connection with the audit of the Government accounts and. in
particular, shall have the right to demand the production of books. accounts. connected
vouchers and other documents and papers and to inspect the ollicc of the National Authority.
(./) The accounts of the National Authority as certified by the Comptrolkr and ,\uditor
Gcneral or any othcr person appointed by him in this behalf together with the audit rcp0rt
thereon, shall be forwarded annually to the Ce111ral Government by the N:itional ,\uthority .
(5) The Comptroller and Auditor-General shall, within a period of six months from
the date o f commencement of the Act, audit the nccounts o r the all monies collected by
the State Governments and Union territory Administrations. which has been plnccd under
the ad hoc Authority and deposited in the nation:ilised banks and submit the report to the
Central Government under this section.
(6) The Central Government shall hnvc the power to conduct the special :1udit or
performance audit of the National Fund and of the Nntional Authority through the
Comptroller and Auditor- General.
23. (/) The National Authority shall prepare, its annual report, giving a full account of
its activities during the previous financial year and forward a copy thereof to th.: Centml
GovernmcnL in such form :ind at such time. for ench financinl ycnr. ns may be prescribed.
(2) The annual report shall, imer afia , provide for-
(i) the summary or monitoring and evaluation of activities undi:rtaken from
amounts released from the Nntional Fund and Stnte Funds during the year;
(ii) the summary of specific schemes specified in sub-clause (iii) or clause (b)
of section 5 executed during the year;
(iii ) the amount of money received :ind expended.
24. The Central Government shall cause the annual report and audit rep ort together
with a memorandum or action taken on the recommendntions contnined therein to be laid
as soon as may be after the reports are received before each House or Parliament.
lnws1111<·01
c,f riinds t,~
N~lll'll.ll
Auth,'fl~ .
Al'\.'\'111\ IS an,!
miJII ,,f
N:111,,nal
,\ 11111\•rit~.
Anmml report
of National
Authority.
Annual rcpot1
and audit
report of
Nutil111JI
Authority lo llC
lnid h<:lorc
l'nrliamcnt.
-·I
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Budget of
Stale
Authority .
Investment
or funds by
State
Au1hori1y
Accounts and
aud11 of Stale
Authority .
Annua l rcpon
of State
Authority .
14 THE GAZETTE OF INDIA EXTRAORDINARY [l',\RT 11-
25. (/) Each Stale Authority shall prepare its budget for the next financial year,
showing the estimated receipts and expenditure of the State Authority and forward the
same lo the Stale Government, in such form and al such time, in each financial year. as
may be prescribed.
(2) Each Stale Authority shall adopt financial regulation and procedures, in
particular the procedure for drawing up and implementing the budget or the State
Authority as may be prescribed.
26. State Authority may invest funds available in the State Fund of such State in
the securities of the Central Government and in scheduled banks in such manner as may
be prescribed:
Provided that the grants received from the State Government shall not be inveslcd
and shall be utilised for the purpose and in the manner prescribed.
27. (1) Each State Authority shall maintain proper accounts and other relevanExcerpt shown. Open the full act in Lexace.