Sakunjay Vyas
Published on: March 26, 2022 at 17:59 IST
The two-judge bench of Justice Indira Banerjee and Justice J.K. Maheshwari of the Supreme Court dismissed the appeal against the order passed by the Principal Bench of the National Green Tribunal (NGT) at New Delhi, which held that the establishments such as the manufacturing units of the Appellants, which did not have prior Environmental Clearance (EC) could not be allowed to operate.
The Supreme Court recently ruled that a unit contributing to the economy and providing employment without causing any harm to the environment shall not be closed down for not obtaining prior Environmental Clearance.
The two-judge bench of Justice Indira Banerjee and Justice J.K. Maheshwari heard an appeal against the Principal Bench of the National Green Tribunal (NGT) at New Delhi, wherein National Green Tribunal held that the establishments such as the manufacturing units of the Appellants, which did not have prior Environmental Clearance (EC) could not be allowed to operate.
The Apex Court stated that words and phrases and/or sentences in a judgment could not be read in the manner of a statute and that too out of context. That the relaxation made by the division bench once was permissible and it cannot be construed as if it cannot be done more than once. Further, the Apex Court was of the opinion that the High Court has fallen in error in staying the said office memorandum by relying on observations made by this Court in Alembic Pharmaceuticals Ltd, which is distinguishable from the present matter in hand.
The Apex Court stated that a unit like the appellant’s, which is economically sound and providing employment, shall not be closed only because it does not have a prior Environmental clearance without considering that is the unit actually causing pollution.
“The manufacturing units of the Appellants appoint about 8,000 employees and have a huge annual turnover. An establishment contributing to the economy of the country and providing livelihood ought not to be closed down only on the ground of the technical irregularity of not obtaining prior Environmental Clearance irrespective of whether or not the unit actually causes pollution.” the Court said.
The Apex Court further stated that there is no doubt that the need to comply with the requirement to obtain EC is non-negotiable. All the units should comply with the requisite environmental norms. It is not advisable to grant environmental clearances ex post facto routinely, but rather only in exceptional circumstances when all relevant environmental factors have been considered. A permit should be granted in accordance with the law, in strict compliance with the applicable rules, regulations, and/or notifications in situations where the adverse consequences of denying ex post facto approval outweigh the benefits of regularizing operations.
“Where the adverse consequences of denial of ex post facto approval outweigh the consequences of regularization of operations by grant of ex post facto approval, and the establishment concerned otherwise conforms to the requisite pollution norms, ex post facto approval should be given in accordance with law, in strict conformity with the applicable Rules, Regulations and/or Notifications.” the Court said.
As a result, the Apex Court allowed the appeal against the judgment of National Green Tribunal (NGT) by stating that the Union of India shall, within three working days from the date of receipt of a copy of this judgment and order, inform the Appellants in writing of whether anything further is required to be done by the Appellants, and if so what is required to be done. The Appellants shall, within a week thereafter, do the needful. The final decision on the Appellants’ application for EC shall be taken within three weeks thereafter.