Towards faster environmental clearances

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 Towards faster environmental clearances

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Read more on - Polity | Economy | Schemes | S&T | Environment

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• Environment clearance takes long: Environmental clearance, a requirement that currently causes huge delay in setting up facilities, is essential for attracting global supply chains. The draft Environment Impact Assessment (EIA) notification aims to reduce the time required to obtain clearance. The draft has been opposed by environmentalists. 
• The problem: High environmental standards are good for companies and national brand value. Speedy clearances and high standards are possible at the same time. The challenge is lengthy existing process. Currently, each project undergoes EIA study, followed by review and clarifications from an expert review committee, assessment of the technology proposed to meet environmental standards, and analysis of relief and rehabilitation package adequacy.  
• Promotion of industrial parks:

1. State should develop industrial park on its own or in public-private partnership for different industries with identified area and full production capacities. 
2. EIA study should be carried for such parks and clearance should be obtained.
3. Global best standards for air emissions, liquid discharge and solid waste should be adopted for all new industrial units. These standards could be made a part of the environment clearance for the park and hence apply to each unit in that park. Standards could then be prescribed to new units so every new unit won’t have to get environmental clearance. 
4. This would make the process a lot shorter as after land allotment investor would be able to set up a plant immediately.

• Promotion of investment:

1. Developed land for specific manufacturing activity would be available with emission standards and individual environmental clearance won’t be needed. 
2. Use of sensors for real-time measurement of air and water pollution levels would ensure better compliance. 
3. A plant would need to shut down in case of non-compliance. Hence investors would need to ensure their pollution control technology is up to the mark at all times. 

• Land assembly & development: Current process of permitting direct purchase of agricultural land for industrial use and granting land use change hampers speed of industrialization. It also makes for weak compliance and pollution control standards. Instead, allocation and development for different industries should be state-driven. 
• Waste management: Common effluent treatment plants in parks would be good for management of liquid discharge. Solid waste would be collected, taken to disposal sites and recycled within the industrial park.
• Mining and mineral resources: 

1. Site-specific environmental and forest clearances are necessary for resource-based investments in mining and use of mineral resources for processing. Government should do geographical planning and develop a list of mines and locations for processing of mineral produce in ascending order of environmental impact. It should be done in consultation with environmentalists and other stakeholders. 
2. Each mine chosen for development should be allocated to special purpose vehicles (SPV) to assemble land and obtain forest clearance which could be made faster with the use of satellite images.
3. SPV should be state-promoted to make the process faster and less risky for the investor.
4. Similar approach could be followed for nearby steel and aluminium plants.

• Summary: India needs global supply chains for economic growth. Existing process for environmental clearance causes huge delays. EIA notification aims to make the process faster but it has been opposed by environmentalists. A different approach that comprises park-level clearance, common effluent treatment plants and more, could be fast and environment-friendly. Global best standards and practices for new units would give India a competitive advantage. 

Read more on - Polity | Economy | Schemes | S&T | Environment

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