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Climate Federalism In India After The Forest (Conservation) Amendment Act, 2023: Reallocating Authority And Fiscal Burden




Gauri Dwivedi, LL.B. (Hons.), Amity Law School, Noida


ABSTRACT


The intersection of climate governance and federalism in India presents a complex institutional challenge, particularly in the context of evolving environmental legislation. The Forest (Conservation) Amendment Act, 2023 (FCAA 2023) marks a significant shift in India’s forest governance framework by redefining the scope of forest land, expanding exemptions, and strengthening central control over ecological decision-making. While the Act seeks to facilitate infrastructure development and align domestic policy with international commitments, it raises critical concerns regarding climate federalism, specifically, the distribution of authority, fiscal capacity, and ecological responsibility between the Union and the States. This paper argues that the FCAA 2023 exacerbates existing asymmetries in India’s federal structure by centralizing regulatory authority while devolving the fiscal and environmental consequences to states. Through a doctrinal and policy analysis, the study examines how changes in forest classification impact intergovernmental fiscal transfers, particularly those linked to forest cover in Finance Commission formulas. It further highlights the mismatch between state-specific climate adaptation needs and the existing climate finance architecture, which remains fragmented, conditional, and insufficient. By integrating legal, fiscal, and institutional perspectives, the paper identifies a critical governance gap in India’s climate federalism framework. It concludes by proposing reforms aimed at strengthening ecological fiscal transfers, enhancing transparency, and aligning climate finance mechanisms with state-level adaptation demands.


Keywords: Federalism, Climate, Forest governance, FCAA 2023, Adaptation needs, Finance Commission, Fiscal transfers.



Indian Journal of Law and Legal Research

Abbreviation: IJLLR

ISSN: 2582-8878

Website: www.ijllr.com

Accessibility: Open Access

License: Creative Commons 4.0

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All research articles published in The Indian Journal of Law and Legal Research are fully open access. i.e. immediately freely available to read, download and share. Articles are published under the terms of a Creative Commons license which permits use, distribution and reproduction in any medium, provided the original work is properly cited.

 

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The opinions expressed in this publication are those of the authors. They do not purport to reflect the opinions or views of the IJLLR or its members. The designations employed in this publication and the presentation of material therein do not imply the expression of any opinion whatsoever on the part of the IJLLR.

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