There has been much discussion about bringing the GDP growth on track and the need for expediting infrastructure projects in this regard. At the Planning Commission Meeting to approve the Twelfth Five Year Plan, last month, there were concerns about the  implementation of such  projects because of the delay in the grant of environment and forest clearances. In this context, there has been talk of setting up a singular body that will grant approvals for large infrastructure projects. News reports suggest that the government is considering forming a National Investment Approval Board (NIAB). The NIAB will be responsible for expediting the clearances for mega project proposals above a certain financial threshold. The Board would be headed by the Prime Minister and will have the authority to provide the ‘final decision’ on investment projects. According to news reports, the NIAB will be the final decision making body. The Ministry of Environment & Forests (MoEF) has raised concerns that this would create ambiguity in the current process of granting clearance for projects. While the formation of the NIAB is still being deliberated and discussed, it would be relevant to understand the process that the MoEF follows before granting clearance to a project and look at data on number of clearances granted and pending. The MoEF has developed certain processes to examine the potential environmental impact of new projects or expansion of existing projects. These are contained in the Environment Impact Assessment Notification, 2006. This notification empowers the Expert Appraisal Committees (EAC) to review the environmental impact of projects. The EAC carries out a combination of these steps depending on the classification of the project:

  • Screening: To determine whether the project requires further study for preparing the Environmental Impact Assessment (EIA).
  • Scoping: Setting clear guidelines that state the environmental concerns identified in the project.
  • Public Consultation: To ascertain the concerns of the local persons affected by the environmental impacts of the project.
  • Appraisal: The EAC studies the application, final EIA report, and outcome of the public consultations and makes its recommendations to the MoEF.

The MoEF considers the grant of environmental clearance to development projects in terms of the provisions of EIA Notification, 2006. From July 13, 2011 to July 12, 2012 the MoEF has given environmental clearances to 209 development projects. For a sector wise break up see Table 1. Table 1: Number of Environment Clearances Accorded

Sector No.  of  projects accorded EC
Industry (Steel & Cement)

88

Thermal Power

29

River Valley and Hydro-electric

6

Coal Mining

29

Non-Coal Mining

25

National Highways

32

Total

209

Source: “Environmental Clearance accorded from 13.07.2011 to 12.07.2012”, MoEF A total of 593 proposals are pending for environmental clearance as on August 13, 2012.[i] It remains to be seen how the process of granting clearances as established by the MoEF will be reconciled with the expedited process of the NIAB.


[i] MoEF, Lok Sabha, Unstarred Question no. 637, August 13, 2012,

In a recent case, the Supreme Court directed the appropriate government to enact a law by June 2011.  The case, Gainda Ram & Ors. V. MCD and Ors.[1], concerned the legal framework for regulating hawking in Delhi.  The judgement lays out the background to this case by stating that the regulation of hawking in Delhi had been proceeding under directions issued by the Supreme Court in previous cases, and was being implemented by municipal authorities such as the New Delhi Municipal Corporation (NDMC). The NDMC and the MCD have also framed schemes to regulate hawkers as per a policy of the government framed in 2004.  However, since these schemes were not laid before Parliament, the Court held that these schemes cannot be called ‘law’ or drafted under the authority of any law.  The Court also stated that there is an urgent need to enact a legislation to regulate hawking, and the rights of street vendors. It referred to a Bill which had been framed by the government, and stated that since the government has already taken the first step in the legislative process by drafting a Bill, the legislative process should be completed.  On the basis of this, and other reasons, it directed the government to enact a law by June 2011.  This judgement raises three issues:

  1. The government is not the law making body in India.  Enacting a law is the function of Parliament and state legislatures.
  2. Even if the Court were to address the correct authority, Courts in India have no authority to direct the legislature to frame a law, let alone specify a time-period.  This may be said to violate the basic principle of “separation of powers” which states that the executive, legislature and judiciary should function independently of each other.  Under the Indian Constitution, the Supreme Court and the High Courts have the power to protect fundamental rights and to interpret law.  The Constitution does not give power to Courts to direct the framing of a law.
  3. Persons can be held in contempt of court for not following its directions.  In this case, it is not clear who would be held in contempt for not enacting a law by June 2011.  The Supreme Court can either hold the Speaker of the Parliament in contempt for not enacting a law by the specified date (it is uncertain whether the Court has this power since no such past instance has arisen). Or it can hold the concerned government official in contempt for not enacting the law within the time period specified (the government in this case, having no power to enact a law).

[1] Decided on October 8, 2010