Supreme Court Recalls Verdict on Retrospective Environmental Clearances

Context:

• The Supreme Court of India recalled its May 16, 2024 judgment which had declared retrospective (ex post facto) environmental clearances (ECs) as illegal.

• The recall was justified on grounds of large-scale economic losses and the stalling of critical public infrastructure projects.

• The verdict has significant implications for environmental governance, economic development, and judicial consistency.

Key Highlights:

Judicial Developments

• The recall order was delivered by a Bench led by Chief Justice of India (CJI) B.R. Gavai, supported by Justice K. Vinod Chandran.

• Justice Ujjal Bhuyan dissented, terming the decision a regressive step for environmental jurisprudence.

Earlier May 16 Verdict (Now Recalled)

• Had struck down:

  • 2017 Environment Ministry Notification

  • 2021 Office Memorandum (OM)

• These instruments allowed ex post facto environmental clearances, which the Court earlier termed as a shield for illegal constructions.

Economic and Developmental Concerns

• According to the CJI:

  • Enforcing the May 16 judgment would result in demolition or closure of projects worth nearly ₹20,000 crore.

  • Several public interest projects would be adversely affected.

Projects Likely to be Impacted

• Steel Authority of India Limited (SAIL) projects

• AIIMS Hospital in Odisha

• Greenfield Airport in Karnataka

• Multiple infrastructure and healthcare projects

Key Concepts Involved:

• Ex Post Facto Environmental Clearance (EC):

  • Grant of environmental approval after project commencement or completion.

• Environmental Jurisprudence:

  • Legal principles emphasizing precaution, sustainability, and inter-generational equity.

Relevant Prelims Points:

• Issue: Legality of retrospective environmental clearances.

• Causes:

  • Delays in approvals

  • Pressure for rapid infrastructure development

• Government Initiatives:

  • 2017 notification and 2021 OM permitting ex post facto ECs under certain conditions.

• Benefits:

  • Avoids project demolition

  • Protects public investment and employment

• Challenges:

  • Encourages regulatory violations

  • Weakens precautionary principle

• Impact:

  • Creates tension between environmental protection and economic growth.

Relevant Mains Points:

• Legal & Constitutional Aspects:

  • Article 21 – Right to life includes right to a clean environment.

  • Doctrine of Sustainable Development and Polluter Pays Principle.

• Institutional Framework:

  • Ministry of Environment, Forest and Climate Change (MoEFCC)

  • National Green Tribunal (NGT)

• Key Concerns:

  • Judicial inconsistency affects regulatory certainty.

  • Risk of setting precedent that legalizes illegality.

• Way Forward:

  • Strengthen prior environmental appraisal mechanisms.

  • Impose heavy penalties and remediation costs for violations instead of blanket approvals.

  • Ensure transparent, time-bound clearance processes to prevent post-facto violations.

UPSC Relevance (GS-wise):

• GS Paper 2: Judiciary, separation of powers, governance

• GS Paper 3: Environment conservation, sustainable development

• Prelims: Environmental laws, Supreme Court judgments, EC process