Meghalaya Environment Protection and Restoration Fund (MEPRF)

The Meghalaya Environment Protection and Restoration Fund (MEPRF) is a dedicated financial mechanism established by the Government of Meghalaya to address environmental degradation and restore damaged ecosystems, particularly those affected by unregulated mining activities. It serves as an institutional embodiment of the “polluter pays” principle, ensuring that the proceeds from environmentally harmful practices are channelled back into environmental restoration and sustainable development. The fund represents one of the most structured attempts by a state government in India to integrate ecological restoration with governance and financial accountability.

Background and Establishment

Meghalaya, located in the north-eastern region of India, is endowed with rich natural resources, including coal, limestone, and forests. Over the years, rat-hole coal mining, an unscientific and highly destructive method of extraction, caused extensive damage to land, water bodies, and forest ecosystems in several districts. Unregulated mining led to acid mine drainage, soil erosion, contamination of rivers, loss of biodiversity, and unsafe working conditions.
In 2014, the National Green Tribunal (NGT) intervened and imposed a ban on coal mining and transportation in Meghalaya due to violations of environmental and safety norms. In its subsequent directives, the NGT ordered the state government to establish a dedicated Meghalaya Environment Protection and Restoration Fund. The purpose of this fund was to accumulate proceeds from coal and mineral-related activities—such as transportation levies and environmental compensation—and utilise them for environmental protection, rehabilitation, and restoration of affected areas.

Objectives of the Fund

The MEPRF was created with the primary objective of mitigating environmental damage and promoting sustainable management of natural resources. Its core aims include:

• Restoration of degraded land: Reclaiming abandoned and degraded mining sites through reforestation, soil stabilisation, and slope protection measures.
• Water resource rehabilitation: Cleaning, desilting, and restoring rivers and streams affected by acid mine drainage and pollution from mining and industrial activity.
• Biodiversity conservation: Protecting and reviving local flora and fauna by restoring natural habitats and reducing ecological fragmentation.
• Community-based rehabilitation: Supporting alternative livelihoods for communities affected by the closure of mining operations and promoting sustainable economic activities such as agroforestry and eco-tourism.
• Environmental monitoring and research: Funding studies and monitoring systems for assessing environmental conditions and the impact of restoration activities.
• Awareness and capacity building: Promoting education and awareness among local stakeholders about environmental protection and sustainable practices.

Structure and Administration

The MEPRF is administered by the State Government of Meghalaya, with overall coordination provided by the Department of Forests and Environment. The governance structure includes a State-Level Steering Committee, responsible for oversight, policy formulation, and approval of projects.
At the district level, District Implementation Committees (DICs) identify degraded areas, prepare restoration action plans, and oversee project execution. These committees typically include district officials, technical experts, representatives from local communities, and members of environmental agencies.
Funds collected through MEPRF are kept in a dedicated non-lapsable account, ensuring that unspent amounts are carried forward for future use. Detailed operational guidelines specify the procedures for proposal submission, approval, fund disbursement, utilisation, and monitoring.

Funding Sources

The MEPRF receives its financial resources from multiple streams:

1. Environmental levies and cesses: A portion of the revenue generated from the transportation and sale of coal and other minerals is directed into the fund.
2. Compensation and penalties: Amounts recovered from environmental violations, illegal mining, and judicial orders are credited to MEPRF.
3. Interest earnings and grants: Accrued interest and supplementary grants from the state government or central environmental schemes contribute to the fund.
4. Corporate and external contributions: Voluntary donations, Corporate Social Responsibility (CSR) funds, and external project funding may also be channelled into MEPRF for specific restoration programmes.

This systematic collection ensures that environmental degradation is directly compensated through an earmarked mechanism rather than general state revenues.

Key Activities and Areas of Implementation

The projects financed through the MEPRF focus on restoration, prevention, and sustainable development. Some of the major interventions include:

• Reclamation of mining sites: Filling of abandoned rat-hole pits, stabilisation of mine spoils, and planting of native vegetation to prevent soil erosion.
• Watershed restoration: Rejuvenation of rivers and streams like the Lukha and Myntdu that were heavily polluted by mining runoff.
• Afforestation and forest regeneration: Large-scale plantation drives in degraded catchments, community forests, and hillsides to enhance green cover and carbon sequestration.
• Solid and liquid waste management: Setting up waste treatment facilities in mining-affected towns and improving sanitation systems.
• Biodiversity and wildlife management: Protecting habitats near mining zones and implementing corridor restoration to support wildlife movement.
• Community engagement: Providing training and alternative livelihood opportunities such as fish farming, horticulture, and eco-friendly handicrafts.

Through these interventions, MEPRF seeks to transition Meghalaya from a resource-extractive model to one of restorative and sustainable environmental governance.

Achievements

Since its inception, the MEPRF has led to several notable outcomes:

• Establishment of a statewide database of degraded mining areas and ecological hotspots requiring restoration.
• Initiation of afforestation and land reclamation projects across mining-affected regions, especially in Jaintia Hills and Garo Hills.
• Creation of district-level frameworks for participatory restoration involving local governance bodies and community institutions.
• Enhanced public awareness of the need for ecological restoration and responsible resource management.
• Development of state-level guidelines for project prioritisation, environmental monitoring, and transparency in fund utilisation.

Although implementation has been gradual, MEPRF has laid a strong foundation for long-term ecological rehabilitation in Meghalaya.

Challenges and Limitations

Despite its promising design, MEPRF faces several operational challenges:

• Underutilisation of funds: A significant proportion of collected funds have remained unspent due to bureaucratic delays and limited project proposals at the district level.
• Weak monitoring mechanisms: Lack of regular third-party audits and performance evaluation affects accountability and impact assessment.
• Technical constraints: Many districts face a shortage of trained environmental engineers, soil scientists, and hydrologists required for restoration planning.
• Community participation gaps: While local involvement is encouraged, many communities remain excluded from decision-making or face difficulties accessing alternative livelihoods after mining restrictions.
• Policy coordination: Integration with other state and central environmental schemes remains limited, reducing efficiency and synergy.

Addressing these challenges requires capacity-building, transparency, and stronger coordination between government departments, local communities, and research institutions.

Significance

The Meghalaya Environment Protection and Restoration Fund is significant for several reasons:

• It represents a proactive approach to managing the ecological consequences of mining and industrialisation.
• It institutionalises the “polluter pays” principle, ensuring that environmental costs are internalised within the mining economy.
• It provides a replicable model for other resource-rich Indian states struggling with post-mining restoration and ecological degradation.
• It strengthens environmental governance by linking financial management with ecological accountability.
• It underscores the importance of community participation, sustainability, and the long-term resilience of natural ecosystems.

Future Prospects

Going forward, the effectiveness of MEPRF depends on improving its governance and transparency. Establishing a robust monitoring and evaluation framework using GIS-based mapping, remote sensing, and scientific indicators will help measure restoration success. Collaboration with academic and research institutions can provide technical expertise and develop evidence-based restoration strategies.
Moreover, integrating MEPRF with Meghalaya’s broader State Action Plan on Climate Change and Sustainable Development Goals (SDGs) can enhance its scope beyond mining restoration to include water security, biodiversity conservation, and climate adaptation.
Ultimately, the success of MEPRF will lie in its ability to transform environmental compensation into ecological opportunity—turning degraded landscapes into resilient ecosystems and enabling Meghalaya to balance its rich natural heritage with the imperatives of sustainable development.