No. J-21011/8/98-IA. II (I)



Paryavaran Bhawan

CGO Complex, Lodi Road,

New Delhi - 110 003.


Dated: 14 May 2002



Attention is invited to the EIA Notification of 27 January 1994 and subsequent amendments thereof wherein thirty categories of projects are required to obtain environmental clearance from this Ministry.  In the past it was noticed that several units had come up in violation of this notification. A view was then taken in this Ministry that such units are permitted to apply for environmental clearance by 31 March 1999. This Ministry’s Circular No. J-21011/11/98-IA.I dated 5 November 1998 refers. Simultaneously, the State Pollution Control Boards were instructed to issue notices to all such units to apply for environmental clearance by the above date. The matter was reviewed later in consultation with State Governments and State Pollution Control Boards / Pollution Control Committees in December 2000 and the period to apply for environmental clearance was extended upto 30th June 2001. Also, all State Boards / Pollution Control Committees were advised to submit a comprehensive Action Taken Report by 31 July 2001. This Ministry’s circular No. J-21011/8/98 IA.I (Part) dated 27 December 2000 refers.


2.0     A review of the Action Taken Reports submitted by the State Government agencies as well as an analysis of representations and applications received from industries have been carried out. While some SPCBs issued the notices, others did not. This is a matter of grave concern. It is also seen that though 30th June 2001 was the last date for the delinquent units to apply for environmental clearance, applications have been received / were being received even after that date. In some cases, proponents had approached the Board for the conduct of Public Hearing before the due date, but public hearing could not be arranged in time. In a few other cases, public hearing proceedings had not been forwarded before the due date.


3.0     Keeping the foregoing in view, it has been decided to extend the deadline upto 31 March 2003 so that defaulting units could avail of this last and final opportunity to obtain ex-post-facto environmental clearance. This would apply to all such units, which had commenced construction activities/operations without obtaining prior environmental clearance in violation of the EIA Notification of 27 January 1994. However, for those SSI units located in notified/designated industrial areas/industrial estates/areas earmarked for industries under the jurisdiction of Industrial Development Authorities, Public Hearing will not be required. Further, it has also been decided to permit cluster EIA for units located in industrial estates/areas with operational Common Effluent Treatment Plants (CETP).


4.0     Further, all those defaulting units which are required to avail of this extension shall have to earmark a separate fund for eco-development measures including community welfare measures in the project area as follows:



Projects with investment upto Rs. 100 crores


1% of the project cost with a minimum of Rs. 50,000



Projects with investment beyond Rs. 100 crores and upto Rs. 1,000 crores

0.5% of the project cost subject to a minimum of Rs. 1.00 crore and a maximum of Rs. 2.5 crores



Projects with investment exceeding Rs. 1000 crores

0.25% of the project cost subject to a maximum of Rs. 5.00 crores



5.0     It is therefore, necessary that all the SPCBs / PCCs issue fresh notices forthwith to all such defaulting units asking them to apply for environmental clearance without any delay and, in any case, not later than 31 March 2003 with complete information. In future, while issuing No Objection Certificate/Consent to Establish, it shall be clearly stipulated that no construction activity preliminary or otherwise shall commence without first obtaining environmental clearance wherever required. Suitable directions shall be issued by all States / UTs under the Environment (Protection) Act to units to stop construction activities / operations of all such units that fail to apply for environmental clearance by 31 March 2003. Units which fail to comply with these directions shall be proceeded against forthwith under the relevant provisions of the Environment (P) Act, 1986 without making any reference to this Ministry.


6.0     Action Taken Reports shall be submitted to the Ministry by 31 October 2002 and 30 April, 2003.



(Dr. V. Rajagopalan)

Joint Secretary to the Govt. of India


To all chairman SPCBs / PCCs and

Secretary (E&F) of all State Governments