Supreme Court of India.
Supreme Court Reinstates Environmental Clearance for Industrial, Educational Buildings: New Delhi – In a significant judgment for environmental protection, the Supreme Court today struck down a government notification that had exempted industrial sheds, schools, colleges, and other educational institutions from the requirement of obtaining prior environmental clearance.
The Bench of Chief Justice of India (CJI) BR Gavai and Justice K Vinod Chandran delivered the verdict in the case of Vanashakti vs Union of India, partially allowing a petition that challenged the Ministry of Environment, Forests and Climate Change’s (MoEFCC) notification dated January 29, 2025.
The Court specifically struck down Note 1 to Clause 8(a) of the notification, deeming the exemption “arbitrary and liable to be set aside.” The remaining parts of the notification were upheld.
The petition, filed by the non-profit organization Vanashakti, argued that the exemption for industrial and educational buildings up to 1,50,000 square meters constituted a dilution of the existing Environmental Impact Assessment (EIA) Notification of 2006 without any scientific justification. The plea highlighted concerns that this exemption would allow large-scale construction projects to bypass crucial environmental checks, particularly in eco-sensitive and critically polluted zones.
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During the hearing, the Supreme Court agreed with the petitioner’s core argument. The bench stated that “any construction activity in an area more than 20,000 sq ft will naturally have an effect on the environment even if the building is for educational purpose.” It further noted that the exempted categories lacked any mechanism for expert-led impact assessment, such as that provided by the State Environment Impact Assessment Authorities (SEIAAs).
“We see no reason to discriminate the other buildings with the buildings constructed for industrial or educational purposes,” the Court said, emphasizing that the nature of the construction activity, and not its eventual use, should be the primary factor for environmental scrutiny.
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The MoEFCC had attempted to justify the exemption by issuing guidelines for adherence to environmental aspects, but the Court found this insufficient, noting the absence of an expert evaluation process. “We see no reason behind the exemption of 2006 notification for the industry and educational buildings,” the bench stated.
While the Court’s decision revokes the controversial exemption, it upheld other parts of the notification, including the revised framework for environmental clearance processing through SEIAAs. The Court affirmed that these bodies are competent to consider project proposals within their respective states, provided they are properly constituted.
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In its final order, the Court held: “While upholding the impugned notification dated 29th January 2025 we hold that the Note 1 to clause 8(a) is arbitrary and therefore is liable to be set aside. The petition is partially allowed. The impugned notification is upheld except Note 1 to clause 8(a), which is set aside.”
The petitioner had also challenged a subsequent Office Memorandum from January 30, 2025, which sought to expand the definition of “industrial sheds” and “educational institutions.” However, the Court did not make specific observations on this memorandum in its final ruling.
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