The Crossbill News Desk
The Comptroller and Auditor General (CAG) of India has flagged glaring lapses and irregularities in the implementation of compensatory afforestation (CA) and catchment area treatment (CAT) plans in Himachal Pradesh, raising serious questions over both forest conservation and financial accountability in the state.
The findings were detailed in a performance audit report tabled in the Himachal Pradesh Assembly during the ongoing Monsoon Session on Monday (August 25), The Indian Express reported.
Chief Minister Sukhvinder Singh Sukhu presented the report, formally titled Performance Audit Report of the Comptroller and Auditor General of India on Compensatory Afforestation in Himachal Pradesh, under Article 151(2) of the Constitution.
Covering a 15-year period between April 2006 and March 2021 for CA and CAT plans, and April 2016 to March 2021 for implementation of the Forest Conservation Act (FCA), 1980, the audit examined records of the principal chief conservator of forests, the Himachal Pradesh Compensatory Afforestation Fund Management and Planning Authority, and nine forest divisions chosen through stratified random sampling.
The report revealed that statutory meetings of the State Authority were not held as required, leading to poor oversight and underutilisation of funds.
Between 2016-17 and 2021-22, nearly Rs 169.73 crore—20 per cent of funds sanctioned by the National Authority—remained unused. Despite the creation of a state fund in 2019, user agencies continued to deposit money with the National Authority until March 2022, in violation of the Compensatory Afforestation Fund Rules, 2018.
It further noted that Rs 6.51 crore was spent on developing eco-parks between 2019 and 2021 under components earmarked for degraded forest land, contrary to Union Ministry of Environment, Forest and Climate Change (MoEF&CC) guidelines.
The agencies involved included hydroelectric projects, roads, hospitals, educational institutions, and transmission lines. The report also highlighted that the annual financial statements of the State Authority for 2019-20 and 2020-21 had not been finalised, pointing to weak financial oversight.
On forest clearances, the audit revealed that 1,018 proposals were submitted by user agencies during the review period, but 766 cases remained pending—17 per cent within the state Forest Department itself. Where approvals were granted, the process was marred by delays, including a 93 per cent delay between the nodal officer and the state government.
A detailed scrutiny of CA cases showed incomplete application submissions, wrong geospatial data being uploaded on the E-Green Watch portal, and afforestation activities taking place in non-designated areas. In fact, 83 per cent of CA sites examined were located outside open degraded forests, some even inside very dense or moderately dense forests. Encroachments were also recorded, with structures found on six sites and agriculture being carried out on 11 others.
The audit documented that of the mandated 5,213 hectares, only 4,284 hectares were afforested in the sampled divisions. Delays in plantation work led to additional liabilities worth Rs 8.72 crore in 69 cases due to cost escalations, while excess expenditure of Rs 2.03 crore and future maintenance liabilities of Rs 12.87 crore were recorded in 194 cases. In 71 per cent of cases, CA site locations were changed without MoEF&CC approval. The department also failed to recover Rs 5.53 crore in regeneration costs from two project proponents and Rs 1.86 crore for plantations under the Taxus Baccata scheme. A muck rehabilitation plan linked to the Atal Tunnel project, costing Rs 12.09 crore, remained unimplemented even after 13 years.
For catchment area treatment plans linked to hydroelectric projects above 10 MW, the CAG found little monitoring or financial accountability. The department failed to track funds due and received, and did not raise claims for an additional Rs 198.73 crore following project cost escalations, nor Rs 8.48 crore for three projects where capacity was enhanced.
Field inspections of the Bajoli Holi project exposed missed afforestation targets, changes in sites without inspection, and the non-execution of critical tasks such as fire line creation, boundary repairs, and silt observation posts.
The CAG said the lapses pointed to “weak internal controls and absence of coordination among agencies.”
It recommended that the State Authority hold meetings regularly, finalise annual accounts on time, and clear pendency in FCA approvals. It also called for accurate data entry on the E-Green Watch portal, the creation of a centralised database for CA and CAT cases, identification of land banks, and accountability for financial and procedural deviations.
Further, the report urged scientific site selection using GIS data, strict compliance with MoEF&CC conditions, prevention of encroachments through regular patrolling, and prosecution of offenders under the Indian Forest Act, 1927.
The findings were detailed in a performance audit report tabled in the Himachal Pradesh Assembly during the ongoing Monsoon Session on Monday (August 25), The Indian Express reported.
Chief Minister Sukhvinder Singh Sukhu presented the report, formally titled Performance Audit Report of the Comptroller and Auditor General of India on Compensatory Afforestation in Himachal Pradesh, under Article 151(2) of the Constitution.
Covering a 15-year period between April 2006 and March 2021 for CA and CAT plans, and April 2016 to March 2021 for implementation of the Forest Conservation Act (FCA), 1980, the audit examined records of the principal chief conservator of forests, the Himachal Pradesh Compensatory Afforestation Fund Management and Planning Authority, and nine forest divisions chosen through stratified random sampling.
The report revealed that statutory meetings of the State Authority were not held as required, leading to poor oversight and underutilisation of funds.
Between 2016-17 and 2021-22, nearly Rs 169.73 crore—20 per cent of funds sanctioned by the National Authority—remained unused. Despite the creation of a state fund in 2019, user agencies continued to deposit money with the National Authority until March 2022, in violation of the Compensatory Afforestation Fund Rules, 2018.
It further noted that Rs 6.51 crore was spent on developing eco-parks between 2019 and 2021 under components earmarked for degraded forest land, contrary to Union Ministry of Environment, Forest and Climate Change (MoEF&CC) guidelines.
The agencies involved included hydroelectric projects, roads, hospitals, educational institutions, and transmission lines. The report also highlighted that the annual financial statements of the State Authority for 2019-20 and 2020-21 had not been finalised, pointing to weak financial oversight.
On forest clearances, the audit revealed that 1,018 proposals were submitted by user agencies during the review period, but 766 cases remained pending—17 per cent within the state Forest Department itself. Where approvals were granted, the process was marred by delays, including a 93 per cent delay between the nodal officer and the state government.
A detailed scrutiny of CA cases showed incomplete application submissions, wrong geospatial data being uploaded on the E-Green Watch portal, and afforestation activities taking place in non-designated areas. In fact, 83 per cent of CA sites examined were located outside open degraded forests, some even inside very dense or moderately dense forests. Encroachments were also recorded, with structures found on six sites and agriculture being carried out on 11 others.
The audit documented that of the mandated 5,213 hectares, only 4,284 hectares were afforested in the sampled divisions. Delays in plantation work led to additional liabilities worth Rs 8.72 crore in 69 cases due to cost escalations, while excess expenditure of Rs 2.03 crore and future maintenance liabilities of Rs 12.87 crore were recorded in 194 cases. In 71 per cent of cases, CA site locations were changed without MoEF&CC approval. The department also failed to recover Rs 5.53 crore in regeneration costs from two project proponents and Rs 1.86 crore for plantations under the Taxus Baccata scheme. A muck rehabilitation plan linked to the Atal Tunnel project, costing Rs 12.09 crore, remained unimplemented even after 13 years.
For catchment area treatment plans linked to hydroelectric projects above 10 MW, the CAG found little monitoring or financial accountability. The department failed to track funds due and received, and did not raise claims for an additional Rs 198.73 crore following project cost escalations, nor Rs 8.48 crore for three projects where capacity was enhanced.
Field inspections of the Bajoli Holi project exposed missed afforestation targets, changes in sites without inspection, and the non-execution of critical tasks such as fire line creation, boundary repairs, and silt observation posts.
The CAG said the lapses pointed to “weak internal controls and absence of coordination among agencies.”
It recommended that the State Authority hold meetings regularly, finalise annual accounts on time, and clear pendency in FCA approvals. It also called for accurate data entry on the E-Green Watch portal, the creation of a centralised database for CA and CAT cases, identification of land banks, and accountability for financial and procedural deviations.
Further, the report urged scientific site selection using GIS data, strict compliance with MoEF&CC conditions, prevention of encroachments through regular patrolling, and prosecution of offenders under the Indian Forest Act, 1927.
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