The Centre is planning to transfer the administration of the Environment Relief Fund (ERF) scheme from United India Insurance Company Limited (UIICL) to the Central Pollution Control Board (CPCB) starting January 1.
According to sources in the Ministry of Environment, Forest, and Climate Change (MoEFCC), the decision is aimed at addressing longstanding issues, including the underutilisation of the fund and significant delays in disbursing compensation to victims of industrial accidents involving hazardous substances.
As per MoEFCC data, the ERF held approximately Rs 1,062 crore as of March 31, 2023. However, no disbursements have been made from the fund since 2019.