The Supreme Court recently called upon the government to clarify why they have not yet established an “Independent Environment Regulator” tasked with overseeing green clearances. This directive follows the order initially issued by the Supreme Court in the Lafarge Umiam Mining Private Limited v. Union of India case (2011). The court had then stipulated that a regulatory body should be set up under the Environment (Protection) Act of 1986 to provide independent oversight of green clearances.
The Proposed Regulator: Role and Responsibilities
The envisaged regulator would have two core functions: appraisal and approval, and monitoring and implementation.
Firstly, the regulator would conduct impartial, objective, and transparent reviews and approvals of projects for environmental clearness. Secondly, it would supervise the implementation of conditions outlined in the clearance documents and impose penalties on those who violate them. In carrying out these duties, the regulator would ensure the proper execution of the National Forest Policy of 1988.
Existing Issues with Environmental Impact Assessment
The current system for environmental clearance is fraught with challenges. These issues primarily stem from the existing Expert Appraisal Committee (EAC), which is responsible for issuing environmental clearances at the national level. The EAC operates on an ad-hoc basis and often lacks the necessary legislative power and institutional support to properly execute its mandate.
State-level appraisal committees, too, function without much regulatory support. Moreover, members and chairpersons of the EAC have been criticized on several occasions for lack of expertise. Further complications arise from the multiple regulations and the escalating costs associated with obtaining environmental clearance.
The Inherent Need for an Independent Regulator
The lack of an independent body means there could be potential political interest in decision-making around environmental clearances. Standard-setting by a regulator could address major concerns regarding compliance monitoring and ex-post regularization, as per Environmental Impact Assessment norms.
The importance of regulatory capacity and independence is evident in the present scenario where state and central level pollution control boards overseeing environmental controls are often found lacking in these respects. A credible independent regulator could also assist in reducing regulatory delays – a balance that is crucial for ensuring robust environmental protection.
The Temporary Remedy Offered
In the absence of an Independent Regulator, the Supreme Court has directed the Environment Ministry to compile a list of accredited institutions. Project proponents will then only be able to seek Rapid Environmental Impact Assessment (EIA) from these recognized bodies.
A Path Forward
To truly succeed, a regulatory body should exhibit independence in standard-setting, monitoring, and enforcement. It is crucial for such an independent body to be put in place before undertaking piecemeal revamps of environmental laws.
The future of environmental regulation revolves around a second-generation reform – a model which not only safeguards environment and community rights but also reduces time and transaction costs for industries. Simplifying procedures, removing outdated laws, and reducing redundancy are key steps in achieving this goal.
Last Modified: February 11, 2024