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Supreme Court of India

KARNATAKA INDUSTRIAL AREAS DEVELOPMENT BOARDversusSRI C. KENCHAPPA & ORS.

Citation
2006 INSC 323
Decided
12 May 2006
Disposal
Appeal(s) allowed

Holding

Land acquisition for industrial development must be preceded by a proper environmental impact assessment and the allottee must obtain mandatory clearance from the Karnataka State Pollution Control Board and the Department of Ecology and Environment; the High Court’s buffer‑zone direction is set aside.

Summary

The Karnataka Industrial Areas Development Board (KIADB) appealed against a Karnataka High Court order that quashed a notification under Section 3(1) of the KIADB Act and directed a one‑kilometre green‑belt around villages, on the ground that the lands were needed for industrial development. The Supreme Court examined whether the notification could be issued without hearing, the validity of the High Court’s buffer‑zone direction, and whether the Act’s Sections 28 and 47 permitted acquisition of grazing, agricultural and residential lands. It held that environmental impact must be assessed before acquisition and that the allottee must obtain mandatory clearance from the State Pollution Control Board and the Department of Ecology and Environment. Consequently, the High Court’s directions were set aside and the appeal was allowed, with the Court directing KIADB to incorporate the clearance condition in future allotments.

Issues considered

  • Whether a notification under Section 3(1) of the Karnataka Industrial Areas Development Board Act, 1966, can be issued without hearing the affected parties.
  • Whether the High Court had jurisdiction to direct a one‑kilometre buffer zone and quash the notification.
  • Whether Sections 28 and 47 of the KIADB Act allow acquisition of lands reserved for grazing, agriculture and residential purposes.
  • Whether environmental clearance should be made a mandatory condition before land allotment for industrial projects.
  • How principles of sustainable development, the public trust doctrine, precautionary principle and polluter‑pays principle apply to the case.

Subjects

environmental lawsustainable developmentpublic trust doctrineprecautionary principlepolluter pays principleland acquisitionKarnataka Industrial Areas Development Board Actenvironmental clearancebuffer zoneArticle 21Article 14Article 48AArticle 51A(g)

Judgment

A      KARNATAKA INDUSTRIAL AREAS DEVELOPMENT BOARD
                                           v.
                           SRI C. KENCHAPPA & ORS.

                                     MAY 12, 2006

B
                 [RUMA PAL AND DALVEER BHANDARI, JJ.]

         Environmental Law


c 3(1), Karnataka
        28 and 47
                  Industrial Areas Development Board Act, 1966: Sections



          Environment-Environmental degradation and its cunsequences·-
    Ecological balance-Industrial development and ecological preservation---
    Balance between-Sustained develupment--Agriculturists, who were affected
D    by the acquisition of lands of different villages, filed a writ petition for a
    direction to the Industrial Development Board to refrain from converting
    their lands for any industrial or other purposes and to retain their lands for
     use by the agriculturists for grazing their cattle - Agriculturists alleged that
    notification under S. 3(1) was issued without hearing the affected parties-
     High Court quashed the notification and consequential proceedings to the
E
    extent of lands which were reserved for grazing cattle. agricultural and
    residential purposes·- -Correctness al-Held: Before acquisition of lands for
    development, the consequence. and adverse impact of development on
    environment must be properly comprehended-The lands acquired for
    development must not gravely impair the ecology and environment---// is
F    mandatory for the a//ottee to obtain the necessary clearance for the project
    from the State Pollution Control Board and the Department of Ecology and
     Environment before execution of the agreement-This is a mandatory
    condition-High Court judgment set aside-Constitution of India, 1950,
    Arts. 14, 21, 48A and 5/A(g).
G
          Doctrines I Principles :

          "Sustained deve/upment"--Meaning of--Explained.

H         "Public Trust Doctrine" Explained
                                          362
            KARNATAKA INDL. AREA DEVP. BOARD v. SRI C. KENCHAPPA             363

          The respondents-agriculturists, who were affected by the acquisition      A
     of lands of different villages, filed a writ petition before the High Court
     for a direction to the appellant-Board to refrain from converting their
     lands for any industrial or other purposes and to retain their lands for
     use by the respondents for grazing their cattle. The respondents had
--   alleged that the appellant and the State Government had violated the
     zonal regulations in allotting the land to respondent No. 3. The respondents
                                                                                    B
     had also alleged that Without hearing the affected parties, notification
     under Section 3(1) of the Karnataka Industrial Areas Development Board
     Act, 1966 had been issued.

           The High Court directed that the notification issued under Section       C
     3(1) of the Act and consequential proceedings be quashed to the extent
     oflands which were reserved for grazing cattle, agricultural and residential
     purposes. The High Court also directed that the appellant-Board must
     leave a one km buffer zone from the outer periphery of the village as a
     'free zone' or 'green area' towards preservation of land for grazing of
     cattle and to maintain ecological equilibrium. Hence the appeal.               D

          Allowing the appeal, the Con rt

          HELD: 1. It should be mandatory for the allottee to obtain the
     necessary clearance for the project from the Karnataka State Pollution         E
     Control Board and the Department of Ecology and Environment before
     execution of the agreement. Consequently, the appellant is directed to
     incorporate this condition in the letter of allotment requiring the allottee
     to obtain clearance before putting up any industry. The condition has to
     be mandatory. (372-F)
                                                                                    F
          2.1. The need of the hour is inculcating the sense of urgency in
     implementing the rules relating to environmental protection which are
     not strictly followed. Its result would be disastrous for the health and
     welfare of the people. (381-D, E)

          2.2. The concept of sustainable development whose importance was          G
     the resolution of environmental problems is profound and undisputed.
                                                                   [381-E)

         Indian Council for Enviro-Legal Action v. Union of India, (1996) 5
     SCC 281; Ve/lore Citizens Welfare Forum v. Union of India, (1996) 5 SCC        H
    364                 SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.

A   647; Subhas Kumar v. State of Bihar, AIR (1991) SC 420; A.P. Pollution
    Control Board fl v. M.V. Nayudu, (20011 2 SCC 62; Narmada Bachao
    Ando/an v. Union of India, (2000) IO SCC 664 and Af.C Mehta v. Union
    o/fndia, (19911 2 sec 137, relied on.

          Essar Oil Ltd v. Halar Utkarsh Samiti, (2004) 2 SCC 392, referred
B   to.

          Professor Michael van Hauff: "The Contribution of Environmental
    Management Systems to sustainable Development: Relevance of the
    Environmental Management and Audit Scheme", Sir Edmund Hillary:
C   "learning About the Prohlems", /:,'cology 2000, P. Sands: "International Law
    in the field of Sustainable Development", 19 7 2 Stockholm Conference on
    "Human Environment', 1972 Stockholm Conference Declaration, 1992, The
    Earth Summit, 1992, Brundtland Report, 1987: "Our Common Future", The
    United Nations Conferenw on Environment and Development, Rio de Janeiro,
    1992, 'The World Summit on Sustainable Development', Johannesburg, 2002,
D   Rio Declaration on Environment and Development (Principle 27: Report of
    the UN Conference on Environment and Development) and The United
    Nations Water Conference, 1977, referred to.

         3. The concept of public trusteeship may be accepted as a basic
E   principle for the protection of natural resources of the land and sea. The
    public trust Doctrine (which found its way in the ancient Roman Empire)
    primarily rests on the principle that certain resources like air, water and
    the forests have such a great importance to the people as a whole that
    it would be wholly unjustified to make them a subject of private ownership.
F   The said resources being a gift of nature should be made freely available
    to everyone irrespective of their status in life. The doctrine enjoins upon
    the Government and its instrumentalities to protect the resources for the
    enjoyment of the general public. (384-F, G J

         Ve/lore Citizens Welfare Forum v. Union of India, [1996[ 5 SCC 647,
G   M.C. Mehta v. Union of India, [1997[ 2 SCC 353 and Indian Council for
    Enviro-legal Action v. l:nion of India, [1996[ 3 SCC 212, relied on.

         Professor Ben Boer "Implementing Sustmnahilit) " and Carolyn
    Shelbourn: "Historic Pollutwn-Does the Polluter Pay?". Journal ofPlanning
H   and Environmenlul law, Aug. 1974 issue, referred to.
      KARNATAKA INDL. AREA DEVP. BOARD v. SRI C. KENCHAPPA          365

     4. If the directions given in the impugned judgment are properly       A
implemented then perhaps, the appellant cannot acquire any land for
development. This may not have been the underlying idea behind the
judgment but it seems to be the obvious consequence of a direction given
by the Division Bench in this case. The said directions given in the
impugned judgment are set aside. [388-C)
                                                                            B
      A.P. Pollution Control Board fl v. M V. Nayudu, (2001) 2 SCC 62;
MC. Mehta v. Union of India, [19971 2 SCC 353 and intellectual Forum
v. State of A.P., (20061 3 SCC 549, relied on.

     National Audubon Society v. Superior Court ofAlpine County 33 Cal.     C
3d 419 and Portugalv. F.C. Council 3 C.M.L.R. 331 (1997) (ibid Columbia
Journal of Environmental Law, p. 283), referred to.

      Professor Joseph L. Sax: "Public Trust Doctrine in Natural Resource
Law: Effective Judicial Intervention", Michigan Law Review, Vol. 68, Part
l p. 473 and UN Declaration on the Right to Development, 1986, referred     D
to.

     5. While development of industry is essential for the growth of ·
economy, at the same time, the environment and the ecosystem are
required to be protected. The pollution created as a consequence of
development must not exceed the carrying capacity of ecosystem. The
                                                                            E
Courts in various judgments have developed the basic and essential
features of sustainable development. In order to protect sustainable
development, it is necessary to implement and enforce some of its main
components and ingredients such as - Precautionary Principle, Polluter
Pays and Public Trust Doctrine. The foundation of these ingredients can     F
be traced in a number of judgments delivered by this Court and the High
Courts after the Rio Conference, 1992. [388-G, H 389-AI

     6. The importance and awareness of environment and ecology is
becoming so vital and important that the appellant must insist on the
conditions emanating from the principle of 'Sustainable Development'.       G
                                                              [389-B]

     (a) It is directed that, in future, before acquisition of lands for
development, the consequence and adverse impact of development on
environment must be properly comprehended and the lands be acquired         H
    366                  SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.

A   for development that they du not gravely impair the ecology and
    environment. (389-CI

          (b) The appellant is directed to incorporate the condition of allotment
    to obtain clearance from the Karnataka State Pollution Control Board
    before the la!!d is allotted for development. The said directory condition
B   of allotment of lands be converted into a mandatory condition for all the
    projects to be sanctioned in future. (389-DI

         7. This has been an interesting judicial pilgrimage for the last four
    decades. This is a significant contribution of the judiciary in making
C   serious endeavour to preserve and protect ecology and environment in
    consonance with the provisions of the Constitution. (389-EJ

         8. Sustainable use of natural resources should essentially be based
    on maintaining a balance between development and ecosystem.
    Coordinated efforts of all concerned would be required to solve the
D   problem of ecological crisis and pollution. Unless one adopts an approach
    of sustainable use, the problem of environmental degradation cannot be
    solved. (389-F)

         CIVIL APPELLATE JURISDICTION               Civil Appeal No. 7405 of
E   2000.

        From the Final Order dated 26.11.1999 of High Court of Karnataka at
    Bangalore in Writ Petition No. 36638/1999.

         K.K. Venugopal, Sr. Adv., Ms. Kiran Suri and Amit J.S., Advs. with
F   him for the Appellant.

        Manmohan, Sr. Adv., A.R. Madhav Rao, Alok Yadav, Ms. Bina Gupta,
    Ms. lnklee Barooah, Ms. Simanti Chakrabarti, Mrs. Rakhi Ray, P.N.
    Ramalingam, Advs. with him, for the Respondents.

G         The Judgment of the Court was delivered by

         DALVEER BHANDARI, J. : In consonance with the principle of
    'Sustainable Development', a serious endeavour has been made in the
    impugned judgment to strike a golden balance between the industrial
H   development and ecological preservation.
  KARNATAKA !NOL. AREA DEVP. BOARD v. SRI C. KENCHAPPA [BHANDARI, l]       367

     This appeal is directed against the judgment passed in writ petition no.      A
3663 8 of 1999 dated 26.11. I 999 by the High Court of Kamataka at
Bangalore.

      The respondent agriculturists, who were affected by the acquisition of
 lands of different villages, filed a writ petition under Article 226 of the
Constitution with a prayer that the appellant Kamataka Industrial Areas
                                                                                   B
Development Board (in short KIADB) be directed to refrain from converting
the lands of the respondents for any industrial or other purposes and to retain
the lands for use by the respondents for grazing their cattle. The respondents
have filed a writ petition indicating that they are residents of villages and
their lands bearing Survey Nos. 79 and 80 ofNallurahalli village are gomal         c
lands (grazing lands for cattle), Survey No. 81 is part of the green-belt in
the comprehensive development plan and Survey No. 34 is reserved for the
residential purposes. According to the respondents, if the entire land is
acquired and an industrial area is developed, the villagers would lose the
gomal lands, causing grave hardship to them as well as their cattle. It was        D
also submitted that there would be an adverse impact on the environment
of the villages as the industrial area increases. Their prayer in the petition
was that the gomal lands and the lands reserved for the residential purposes
in the green-belt should not be acquired and allotted for non-agricultural
purposes, including industrial purposes.
                                                                                   E
      It was submitted by the respondents that deprivation of their land is
violative of their fundamental rights guaranteed under Articles 14 and 21 of
the Constitution. The respondents have alleged that the appellant and the
State of Karnataka have violated the zonal regulations in allotting the lands
to Gee India Technology Centre Pvt. Ltd. (respondent no. 3 in the writ             F
petition). It was submitted that the allotment was made hurriedly without
following the regular procedure and therefore, the same was illegal and
arbitrary.

      The respondents also submitted that without hearing the affected
parties, notification under Section 3(1) of the Kamataka Industrial Areas          G
Development Board Act, 1966 (for short the Act) has be~n issued.

      The appellant and the State Government have denied the allegations
[evelled in the writ petition. It was submitted by them that the said lands were
not used as gomal lands (as alleged) as urbanization had spread in the area        H
    368                  SUPREME COURT REPORTS L20061SUPP.2 S.C.R.

A   and a number of industries had come up.

          The appellant submitted that the State has ample power to issue
    notification under Section 31 of the Act and acquire the land under Section
    28 of the Act. It was submitted that the entire procedure of law was duly
    followed by the appellant.
B
          It was submitted that Gee India Technology Centre Pvt. Ltd was going
    to establish only a Research and Development Project and they were not
    acquiring the lands for manufacturing process which may emit any polluted
    air or create polluted atmosphere.

C         It was also stated in the counter affidavit filed by the appellant and the
    state of Karnataka in the writ petition that the land allotted to Gee India
    Technology Centre Pvt. Ltd. was a government land to the extent of 20 acres
    and the remaining land was acquired by the appellant from private owners.
    In case, the respondents have any objection, it was open for them to take
    appropriate steps in the proceedings when taken under Section 28 of the Act.
D
    It was submitted that there was no provision under Section 3(1) of the Act
    for issuing notice to the land owners before the declaration is published under
    Section 3( I) of the Act. It was submitted that the appellant has followed the
    entire procedure meticulously and there was no violation of procedure or any
    irregularity in the declaration and allotment of land to Gee India Technology
E   Ct:ntre Pvt. Ltd .. It was submitted that Gee India Technology Centre Pvt. Ltd.
    was going to set up Research and Development Project built as per their
    world class environmental health and safety standards employing latest
    technology in handling waste disposal. Therefore, the apprehension of the
    respondents that the project would cause environmental degradation is
F   wholly misconceived. The environment. health and safety standards of the
    present project, according to Gee India Technology Centre Pvt. Ltd., would
    exceed or equal to their GE's international standards. It was stated in the
    High Court that Gee India Technology Centre Pvt. Ltd., recognizing the
    intellectual talent, has established a world class research and development
    centre to conduct high value research and development activities to reverse
G   the process of 'brain drain' that is taking place in India. It was also submitted
    that they have paid a price for allotment of the lands.

         It was stated that Gee India Technology Centre Pvt. Ltd. was going to
    employ about 500 scientists and [ 50 staff members and another additional
H   250 technical pt:ople.
  KARNATAKA INDL. AREADEVP. BOARD v. SRI c·. KENCHAPPA [BHANDARI, J.]       369

      The Division Bench specifically observed that having regard to the            A
circumstances of the case and the nature of establishment of Gee India
Technology Centre Pvt. Ltd. and its activities, which is essential for the
growth of the computer industry and research and development in information
technology, the Court did not wish to disturb the allotment of lands made
to Gee India Technology Centre Pvt. Ltd .. The Court in the impugned
judgment directed that the notification under Section 3( I) of the Act and
                                                                                    B
consequential proceedings or notification are orders issued in regard to the
other disputed lands in the writ petition are quashed, to the extent of the lands
which were reserved for gazing cattle, agricultural and residential purposes.

      The Division Bench in the impugned judgment held that for maintaining         C
ecological equilibrium and pollution free atmosphere of the villages, the
KIADB be directed to leave a land of one kilo metre (for short one k.m.)
as a buffer zone from the outer periphery of the village in order to maintain
a 'green area' towards preservation of land for grazing of cattle, agricultural
operation and for development of social forestry and to develop the area into
                                                                                    D
a green belt. This measure would preserve the ecology without hindering the
much needed industrial growth, thus striking a balance between the industrial
development and ecological preservation. The Court further directed that
whenever there was an acquisition of land for industrial, commercial or non-
agricultural purposes, except for the residential purposes, the authorities must
leave one k.m. area from the village limits as a free zone or green area to         E
maintain ecological equilibrium.

     The appellant KlADB preferred a special leave petition before this
Court on the ground that the directions given in the impugned judgment are
contrary to the express statutory provisions, in particular Section 3(1) and        F
Section 47 of the KIADB Act.

      According to the appellant, the High Court has committed a serious
error in issuing directions to leave one k.m. area from the village limits as
a free zone or for the green belt. According to the appellant, the effect of
the impugned judgment will be that, in future, the appellant would not be           G
able to acquire lands for the establishment and development of the industrial
area in the State of Kamataka.

      The appellant also submitted that the High Comt has exceeded its
jurisdiction under Article 226 of the Constitution by issuing blanket directions    H
    370                  SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.

A   'h h1ch tantamount to judicial legislation.



          The appellant further submitted that the High Court has failed to
    appreciate that the lands in question have lost their agrarian character a few
    decades ago. It was also submitted that the fact of the matter was that,
    because of rapid urbanization; these villages have no longer remained
B   villages. but have become part and parcel of the city of Bangalore.

          The appellant also mentioned that the High Court has failed to
    appreciate 'that the impugned notification was dated 24.11.1998 and thereafter,
    the industrial layout was formed, earth work was done, roads were constructed,
C   water supply lines had been laid and other infrastructural facilities were
    created spending substantial sum of money.

          The respondents have kept quiet all the while when civil construction
     in the area was going on. The appellant has prayed that the impugned
    judgment of the High Court be set aside and, during the pendency of this
D
    appeal, this Court may grant stay of the operation of the impugned judgment
    passed by the High Court. This Court, on 28.2.2000, while issuing notice
    to the respondents, directed stay of the operation of the impugned judgment
    of the High Court.

E         Mr. K.K. Venugopal, learned senior counsel appearing for the appellant,
    submitted that the entire compensation has been paid to the respondents and
    in view of the stay of the impugned judgment of the High Court granted by
    this Court, the entire developmental work has been completed and the
    respondents' writ petition has now become infructuous. He submitted that,
F   perhaps, for this reason, the respondents had lost interest in this litigation
    and have not appeared before this Court. Since, at the time of hearing of this
    appeaL no one appeared on behalf of the respondents, therefore, this Court
    requested Mr. A. R. Madhav Rao, advocate, to assist the Court as an amicus
    curiae The appeal was adjourned for a week to enable Mr. Rao to prepare
    the case and when the case was taken up on 25.4.2006 again, no one appeared
G   for the respondents.

         Mr. Venugopal, submitted that, at the time of issuance of the notice
    under Section 3( 1) of the Act, no notice was required to be given to the land
    owners at that stage according to the scheme of the Act.
H
 KARNATAKA INDL. AREA DEVP. BOAlill v. SRI C. KENCHAPPA [BHANDARI, J.]    371

     Mr. Venugopal referred to the provisions of the Karnataka Industrial         A
Areas De\felopment Act, 1966 and drew our attention to Section 28 of the
Act which armed:the appellant.to acquire any land for the development. The
relevant Section 28( I) of the Act reads as under:

        "28. Acquisition of Land.-(1) !fat any time in the opinion of the
        State Government, any land is required, for the purpose of
                                                                                  B
        development by the Board, or for any other purpose in furtherance
        of the objects of this Act, the State Government may by notification,
        give notice of its intention to acquire such land."

     Mr. Venugopal submitted that the KIADB can acquire 'any land' for            c
the purpose of development or for any other purpose in furtherance of the
object of this Act. According to him, under this Act the appellant could
acquire even the gomal lands. At the stage of issuance of notification under
Section 28 of the Act notices have to be issued to the landowners.

                                                                                  D
     Mr. Venugopal referred to Section 47 of the Act, which reads as under:

         "47. Effect ofprovisions insistent with other laws.- The provisions
         of this Act shall have effect notwithstanding anything inconsistent
         therewith contained in any other law."
                                                                                  E
     He submitted that, according to Section 47 of the said Act, the appellant
could acquire 'any land'. In other words, 'any land' shown either in the
'Master Plan' or 'Town Planning Act' as green belt can be acquired by the
appellant according to the.clear language, spirit and intention of Section 47
of the Act.
                                                                                  F
      He also submitted that the appellant can also acquire the land earmarked
for the residential use under the 'Comprehensive Area Development Plan'.

     Mr. Venugopal further submitted that both the development and
protection of environment were traceable to Article 21 of the Constitution.       G

      Mr. Venugopal contended that the High Court has erroneously applied
the ratio of the judgment of MC. Mehta v. Union of India, [1997] 3 SCC
715. The fact of that case has no application so far as this case is concerned.
He also placed reliance on the other decided cases of this Court.                 H
    372                  SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R

A         Mr. A. R. Madhav Rao, learned amicus curiae, submitted that while
    acquiring the land by the appellant. the impact of industrialization on
    environment of the concerned area has to be taken into consideration in the
    larger public interest.

          Mr. Rao also submitted that there must be a proper assessment of the
B   impact and implications on environmen• and ecology. He has also drawn our
    attention to Clause 12 of the allotment letter which, according to him,
    requires modification. The relevant Clause 12 reads as under:


c
            "You are requ<:stcd to obtain necessary clearance for your project
            from the Karnataka State Pollution Control Board and the Deparnnent
            of Ecology and Environment before execution of agreement wherever
                                                                                       -
            applicable."

          He submitted that the allottee cannot have discretion in the matter of
D   obtaining necessary clearance for the project from the Karnataka State
    Pollution Control Board and the Department of Ecology and Environment
    for execution of the agreement, but it has to be made a mandatory condition.

         We have heard Mr. Venugopal and Mr. Rao, the learned amicus wriae.
    We are of the considen:d view that before acquisition of the land; the
E   appellant must carry out neces:,ary exercise regarding the impact of
    development on ecology and environment. Development and environment
    have to go hand in hand.

          We are also clearly of the considered view that it should be made
F   mandatory for the allottee to obtain necessary clearance for the project from
    the Karnataka State Pollution Control Board and the Department of Ecology
    and Environment before execution of the agreement. Consequently, we
    direct the appellant to incorporate this condition in the letter of allotment
    requiring the allottee to obtain clearance before putting up any industry. The
G   condition has to be mandatory.

          It may be pertinent to ment10n that the High Court had an occasion to
    examine the impact of Section 47 of the Act. The Court observed that, by
    reading the said provision, it is evident that Section 47 has got an overriding:
    effect.
H
  KARNATAKA INDL. AREA DEVP. BOARD v. SRI C. KENCHAPPA [BHANDARI, J.]     373

     In this case, since the respondents have not appeared before us, in our      A
opinion, this Court's decision on Section 47 of the Act may have far reaching
impact and ramification, therefore, we are reserving our opinion. on the
validity of Section 47 of the Act to be decided in an appropriate case.


Environment and Constitutional Provisions
                                                                                  B
     Professor Michael von Hauff of the Institute for Economics and
Economic Policy, University of Kaiserlantem, Germany, in his article "The
Contribution of Environmental Management Systems to Sustainable
Development: Relevance of the Environmental Management and Audit
Scheme" aptly observed that, "it is remarkable that India was the first country   C
in the world to enshrine environmental protection as a state goal in its
Constitution".

     In the impugned judgment serious concern regarding degradation, of
ecology and environment has been seriously articulated.                           D
     According to the impugned judgment, preservation and protection of
environment are part of Article 21 of the Constitution. Article 21 reads as
under:

         "2 I. Protection of life and personal liberty. - No person shall be
                                                                                  E
         deprived of his life or personal liberty except according to procedure
         established by law."

     In the impugned judgment; the High Court also gave reference to the
Directive Principles of the State Policy. In articles 48A and 51-A(g) of the      F
Constitution, a strong foundation has been laid down pertaining to
environment, preservation of forests, wild life, rivers and lakes.

     The Constitutional philosophy enshrined in these Constitutional
Provisions must be implemented. Articles 48A reads as under :                     G
         "48A. Protection and improvement ofenvironment and safeguarding
         offorests and wild life. -The State shall endeavour to protect and
         improve the environment and to safeguard the forests and wild life
         of the country."
                                                                                  H
    374                   SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.

A   The framers of the Constitution expressed concern and importance of
    protection and improvement of forests, lakes, nvers and wild life for
    preserving the environment. According to the spirit of the Constitution, it
    is the bounden duty of all to protect our natural environment. Reference to
    Article 51-A(g) is also very important.

B            Article 51-A(g) reads as under:

             "51-A(g) ......to protect and improve the natural environment including
             forests, lakes, rivers and wild life, and to have compassion for living
             creatures'
c
    Environment degradation and its consequences:

          Experience of the recent past has brought to us the realization of the
    deadly effects of development on ecosystem. The entire world is facing a
    serious problem of environmental degradation due to indiscriminate
D   development. Industrialization, burning of fossil fuels and massive
    deforestation are leading to degradation of environment. Today the atmospheric
    level of carbon dioxide, the principal source of global warming. is 26%
    higher than pre-industrial concentration.

E         The earth's surface reached its record level of wanning in 1990. In fact,
    six of the seven warmest years on record have occurred since 1980,
    according to the World Watch Institute's 1992 report. The rise in global
    temperature has also been confirmed by the Inter-Governmental Panel on
    Climate Change set up by the United Nations in its final report published
F   in August 1990. Th.: Global warming has led to unprecedented rise in the
    sea level. Apart from melting of the polar ice it has led to inundation of low-
    lying coastal regions. Global warming is expected to profoundly affect
    species and ecosystem. Melting of polar ice and glaciers, thermal expansion
    of seas would cause worldwide flooding and unprecedented rise in the sea
    level if gas emissions continue at the present rate. Enormous amount of gases
G   and chemicals emitted by the industrial plants and automobiles have led to
    depletion of ozone layers which serve as a shield to protect life on the earth
    from the ultra-violet rays of the sun.

         The dumping of hazardous and toxic wastes, both solid and liquid,
H   rdea>t:d by the industt ial plants is also the result of environment degradation
 KARNATAKA JNDL. AREA DEVP. BOARD v. SRI C. KENCHAPPA[BHANDARI, J.]      375

in our country.                                                                  A
      The problem of "acid rain" which is caused mainly by the emissions
of sulphur dioxide and nitrogen oxides from power stations and industrial
installations is a graphic example of it. The ill-effects of acid rain can be
found on vegetation, soil, marine resources; monuments as well as on
humans. Air pollutants and acids generated by the industrial activities are
                                                                                 B
now entering forests at an unprecedented scale.

     Sir Edmund Hillary (Tenzing and Edmund Hillary, who scaled Mount
Everest for the first time in world history) in his article "Leaming About the
Problems" published in Ecology 2000 - The changing face of Earth, has            c
mentioned as under:

              "Thirty years ago conservation had not really been heard of.
         On our 1953 Everest expedition we just threw our empty tins and
         any trash into a heap on the rubble-covered ice at Base Camp. We
         cut huge quantities of the beautiful juniper shrub for our fires; and
                                                                                 D
         on the South Col at 26,000 feet we left a scattered pile of empty
         oxygen bottles, tom tents and the remnants of food containers.

              The expeditions of today are not much better in this respect,
         with only a few expectations. Mount Everest is littered with junk       E
         from the bottom to the top"

     He also mentioned that, "one thing that has deeply conemed me has
been the severe destruction that is taking place in the natural environment".
                                                                                 F
     The 1972 Stockholm Conference on 'Human Environment' secured its
place in the history of our times with the adoption of the first global action
plan for the environment. Yet, as increasingly grim statistics indicate, over
the past decades our global environment and the living conditions for most
of the inhabitants of the planet continue to deteriorate. This process has
meant significant setback for both rich and poor.                                G

     The Declaration of the 1972 Stockholm Conference refen-ed; obliquely
to man's environment, adding that 'both aspects of man's environment; the
natural and the man-made, are essential for his well-being and enjoyment
of basic human rights'.                                                          H
    376                  SUPREME COURT REPORTS [2006) SUPP. 2 S.C.R.

A         In Essar Oil Ltd v. Halar Utkarsh Samiti and Ors., [2004] 2 SCC 392,
    this Court aptly observed Stockholm Declaration as "Magna Carta of our
    environment". First time at the international level importance of environment
    has been articulated.

          In the Stockholm Declaration principle number two provides that the
B   natural resources of the earth mcluding air, water, land, flora and fauna
    should be protected. The fourth principle of Stockholm Declaration reminds
    LIS about out responsibility to safeguard and wisely manage the heritage of

    wildlife and its habitat.

c         The Court in said judgment also observed that "this, therefore, is the
    aim, namely, to balance economic and social needs on the one hand with
    environmental considerations on the other. But in a sense all development
    is an environmental threat. Indeed, the very existence of humanity and the
    rapid increase in the population together with consequential demands to
    sustain the population has resulted in the concreting of open lands, cutting
D
    down of forests, the filling up of lakes and pollution of water resources and
    the very air which we bn:athe. However, there need not necessarily be a
    deadlock between development on the one hand and the environment on the
    other. The objective of all laws on environment should be to create harmony
    between the two since neither one can be sacrificed at the altar of the other."
E
         In the said judgment, the passage has been quoted from Indian Council
    for Enviro-Legal Action v. Union of India, [ 1996] 5 SCC 281. We deem it
    appropriate to reproduce the same. Para 31 at page 296 in the said judgment
    reads as under-.
F
                  "While economic development should not be allowed to take
             place at the cost of ecology or by causing widespread environment
             destruction and violation: at the same time the necessity to preserve
             ecology and environment should not hamper economic and other
             developments Both development and environment must go hand in
G            hand, in other words, there should not be development at the cost
             of environment and vice versa, but there should be development
             while taking due care and ensuring the:: protection of environment."

         The Stm:kholm Confen;nce recogniLed the links b<.:tween environment
H   and devdoprn<::nt. But littk was done to mtegrate this concept for international
  KARNATAKA INDL. AREA DEVP. BOARD v. SRI C KENCHAPPA [BHANDARI, J]          377

action until 1987 when the Brundtland Report, 'Our Common Future' was               A
presented to the United Nations General Assembly. The Brundtland Report
stimulated debate on development policies and practices in developing and
industrialized countries alike and called for an integration of our understanding
of the environment and development into practical measures of action.

     Armed with three years of testimony from people at hearings on five            B
continents, the Commission came to one central conclusion:

     i)      The present development trends leave, increasing numbers of
             people poor and vulnerable, while at the same time degrading the
             environment;                                                           c
     ii)     Poverty is a major cause and effect of global environmental
             problems and, therefore, it is futile to attempt to deal with
             environmental problems without a broader perspective that
             encompasses the factors underlying world poverty and international
             inequality; and;                                                       D
      iii)   A new development was required, one that sustained human
             progress for the entire planet into the distant future and that
             sustainable development becomes a goal not just for the developing
             nations but for the industrialized ones as well.
                                                                                    E
     The Earth Summit held in Rio de Janeiro in 1992 altered the discourses
of environmentalism in significant ways. Sustainability, introduced in the
1987 Brundtland Report Our Common Future - and enacted Rio agreements,
became a new and accepted code word for development.
                                                                                    F
     The United Nations Conference on Environment and Development,
held in Rio de Janeiro in 1992, provided the fundamental principles and the
programme of action for achieving sustainable development.

      Peace, security, stability and respect for human rights and fundamental
freedoms, including the right to development, as well as respect for cultural
                                                                                    G
diversity, are essential for achieving sustainable development and ensuring
that sustainable development benefits all.

     The 1992 Rio Declaration on 'Environment and Development'
recognizes the element of integration of environmental and developmental            H
    378                  SUPREME COURT REPORTS (2006] SUPP. 2 S.C.R.

A   aspects, particularly in principles 3 & 4, which are set as under:


    "Principle 3

         The right to development must be fulfilled so as to equitably meet
    developmental and environmental needs of present and future generations.
B
    Principle 4

    In order to achieve sustainable development, environmental protection shall
    constitute an integral part of the development process and cannot be
C   considered in isolation from it."

          The 1992 Rio Declaration on Environment and Development refers at
    many points to environmental needs, environmental protection, environmental
    degradation and so, but nowhere identifies what these include. Interestingly
    it eschews the term 'entirely' in Principle I, declaring instead that human
D   beings 'are entitled to a healthy and productive life in harmony with nature'.
    One of the few bodies to proffer a definition is the European Commission.
    In developing an 'Action Programme on the Environment', it defined
    "environment as the combination of elements whose complex inter-
    relationships make up the settings, the surroundings and the conditions of
E   life of the individual and of society as they are and as they are felt."

          Some understanding of what 'the environment' may encompass can be
    discerned from other treaty provisions. Those agreements which define
    'environmental effects' 'environmental impacts' or 'environmental damage'
F   typically include harm to flora, fauna, soil, water, air landscape, cultural
    heritage, and any interaction between these factors.

          "The World Summit on Sustainable Development' was held in
    Johannesburg in 2002. The purpose of the same was to evaluate the
    obstacles to progress and the results achieved since the 1992 World Summit
G   at Rio de Janeiro. The same was expected to present "an opportunity to build
    on the knowledge gained, over the past decade, and provides a new impetus
    for commitments of resources and specific action towards global
    sustainability."

H         The priority of developing nations is urgent industrialization and
       KARNAI AKA INDL. AREA DEVP. BOARD v. SRI C. KEN CHAPPA [BHANDARI, J.]     379

      development. We have reached at a point where it is necessary to strike a          A
      golden balance between the development and ecology.

            The development should be such as it can be sustained by ecology. All
      this has given rise to the concept of sustainable development.

·"'                                                                                      B
            'The World Conservation Union' and 'the World Wide . Fund for
      Nature' prepared jointly by UNEP described that "sustainable development,
      therefore, depends upon accepting a duty to seek harmony with other people
      and with nature" according to 'Caring for the Earth', A strategy for
      Sustainable Living. The guiding rules are:
                                                                                         c
           i)     People must share with each other and care for the earth;

           ii)    Humanity must take no more from nature than man can replenish;
                  and,

           iii)   People must adopt life styles and development paths that respect
                                                                                         D
                  and work within nature's limits.

           The International community expressed its commitment to treat
      environment and development in an integrated manner and to cooperate "in
      the further development of international law in the field of sustainable           E
      development. This was part of the Rio Declaration on Environment and
      Development. (Principle 27; Report of the UN Conference on Environment
      and Development]

             P. Sands in his celebrated book 'International Law in the field of
                                                                                         F
      Sustainable Development" mentioned that the sustainable development
      requires the States to e11sure that they develop and use their natural resources
      in ' a manner which is sustainable. According to him, sustainable development
      has four objectives:

           First, it refers to a commitment to preserve natural resources for the        G
      benefit of present and future generations.

           Second, sustainable development refers to appropriate standards for the
      exploitation of natural resources based upon harvests or use (examples
      include use which is "sustainable," "prudent," or "rational," or "wise" or         H
    380                  SUPREME COURT REPORTS (2006] SUPP. 2 S.C.R.

A   "appropriate"') .

         Third, yet other agreements require an "equitable'' use of natural
    resources, suggesting that the use by any State must take account of the needs
    of other States and people.

B        And a fourth category of agreements require that environmental
    considerations be integrated into economic and other development plans,
    programmes, and projects, and that the development needs are taken into
    account in applying environmental objectives.


c Sustainable Development: Contribution of Judiciary and Others
          This Court, in Ve/lore Citi=ens Welfare Forum v. Union of India. (1996]
    5 sec 647, acknowledged that the traditional concept that development and
    ecology are opposed to each other, is no longer acceptable. Sustainable
    development is the answer. Some of the salient principles of "Sustainable
D   Development" as culled out from Brundtland Report and other international
    documents, are Inter-Generational Equity. This Court observed that "the
    Precautionary Principle" and "the Polluter Pays Principle" are essential
    features of "Sustainable Development."

          Nation's progress largely depends on development, therefore, the
E   development cannot be stopped, but we need to control it rationally. No
    government can cope with the problem of environmental repair by itself
    alone; peoples' voluntary participation in environmental management is a
    must for sustainable development There is a nt>ed to create environmental
    awareness which may be propagated through formal and informal education
F   We must scientifically assess the ecological impact of various developmental
    schemes. To meet the challenge of current environmental issues; the entire
    globe should be considered the proper arena for environmental adjustment.
    Unity of mankind is not just a dream of the enlightenment but a biophysical
    fact.

G        In Subhas Kumar v. State of Bihar, AIR ( 1991) SC 420, this Court has
    given directions that, under Article 21 of the Constitution, pollution free
    water and air are the fundamental rights of the people.

        In the case ofA.P. Pollution Control Board II~. Ji i~ Nayudu, [2001]
H   2 sec 62, thi~ Coun observed that the right to have access to drinking water
  KARNATAKA JNDL. AREA DEVP. BOARD v. SRI C. KENCHAPPA [BHANDARl,l]       3 81

is fundamental to life and it is the duty of the State under Article 21 to        A
provide clean drinking water to its citizens.

     The United Nations Water Conf~rence in 1977 observed as under:

              "All people, whatever their stage of development and their
         social and economic conditions, have the right to have access to
                                                                                  B
         drinking water in quantum and of a quality equal to their basic
         needs."

     Similarly, this Court in Narmada Bachao Ando/an v. Union of India,
[2000] I 0 SCC 664, observed as under:                                            C
              "Water is the basic need for the survival of human beings and
         is part of the right to life and human rights as enshrined in Article
         21 of the Constitution of India ..... "

    In MC Mehta v. Union of India, [1991] 2 SCC 137, this Court gave
                                                                                  D
number of directions to reduce the pollution created by vehicles.

      The need of the hour is inculcating the sense of urgency in implementing
the rules relating to environmental protection which are not strictly followed.
Its result would be disastrous for the health and welfare of the people.          E
     The concept of sustainable development whose importance was the
resolution of enviionmental problems is profound and undisputed.

     Professor Ben Boer, Environmental Law, Faculty of Law, University            p
of Sydney, New South )Vales, Australia, in his article "Implementing
Sustainability" observed as under:

              "Strategies for sustainable development have been formulated
         in many countries in the past several years. Their implementation
         through legal and administrative mechanisms is underway on a             G
         national and regional basis. The impetus for these strategies has
         come from documents such as the Stockholm Declaration of 1972,
         the World Conservation Strategy, the World Charter for Nature of
          1982 and the report of the World Commission on Environment and
         Development, our Common Future. The initiatives are part of a            H
    382                  SUPREME COURT REPORTS (2006] SUPP. 2 S.C.R.

A            world wide movement for the introduction of National Conservation
             Strategies based on the World Conservation Strategy. Over 50
             National Conservation Strategies have been introduced over the
             past decade, all of which incorporate concepts of sustainable
             development. The document Caring for the Earth is the chief
             successor to the World Conservation Strategy.
B
          In the same article, Professor Boer further observed in the said article
    as follows:

                  "Sustainability' is defined in 'Caring for the Earth' as "a
c            characteristic or state that can be maintained indefinitely" whilst
             "development" is defined as "increasing the capacity to meet human
             needs and improve the quality of human life. What this seems to
             mean is "to increase the efficiency of resource use in order to
             improve human living standards".

D                  In, 'Caring/or the Earth' the term "sustainable development"
             is derived from a rough combination of these two definitions:

                  Improving the quality of human life while living within the
             carrying capacity of supporting ecosystems."
E
    Adherence to Following Principles is imperative for Preserving Ecology

    (/) The Precautionary Principle:

         This Court in Ve/lore Citizens' Welfare Forum (supra) has recognized
F   the Precautionary Principle. Again, this principle has been reiterated in the
    case of MC. Mehta v. Union vf India, (1997] 2 SCC 353. In the said case,
    the Precautionary Principle has' been explained in the context of municipal
    law as under:

                  "(i) Environmental measures - by the State Government and
G            the statutory authorities - must anticipate; prevent and attack the
             causes of environmental degradation.

                  (ii) Where there are threats of serious and irreversible damage,
             lack of scientific certainty should not be used as a reason for
H            postponing measures to prevent environment degradation.
  KARNATAKA INDL. AREA DEVP. BOARD v. SRI C. KENCHAPPA [BHANDARI, J.]     383

              (iii) The 'onus of proof is on the actor or the developer/          A
         industrialist to show that his action is environmentally benign."

      The Precautionary Principle was stated in Article 7 of the Bergen
Ministerial Declaration on Sustainable Development in the ECE Region,
May 1990, as incorporated in the said article of Professor Ben Boer. It reads
as follows:
                                                                                  B

              "Environmental measures must anticipate prevent, and attack
         the causes of environmental degradation. Where there are threats of
         serious or irreversible damage; lack of scientific certainty should
         not be used as a reason for postponing measures to prevent               C
         environmental degradation."

     The Precautionary Principle can be culled out from the following
observations of the Australian Conservation Foundation. (This also has been
incorporated in the Professor Boer's said article. )
                                                                                  D
              "The implementation of this duty is that developers must
         assume from the fact of development activity that harm to the
         environment may occur, and that they should take the necessary
         action to prevent that harm; the onus of proof is thus placed on
         developers to show that their actions are environmentally benign."       E
     (2) Polluter Pays:

      This Court had an occasion to deal with this main principle of
sustainable development in the case of Indian Council for Environ-Legal           F
Action v. Union ofIndia, [1996] 3 SCC 212. Carolyn Shelbourn in his article
"Historic Pollution - Does the Polluter Pay?" (published in the Journal of
Planning and Environmental Law, Aug. 1974 issue), mentioned that the
question of liability of the respondents to defray the costs of remedial
measures can be looked into from another angle, which has come to be
accepted universally as a sound principle, viz., the "Polluter Pays" principle.   G

         The Court in the said judgment observed as under:

              "The Polluter Pays principle demands that the financial costs
         of preventing or remedying damage caused by pollution should lie         H
    384                  SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.

A            with the undertakings which cause the pollution, or produce the
             goods which cause the pollution. Under the principle it is not the
             role of Government to meet the costs involved in either prevention
             of such damage or in carrying out remedial action. because the
             effect of this would be to shift the financial burden of the pollution
             incident to the taxpayer. The 'Polluter Pays· principle was promoted
B            by the Organisation for Economic Cooperation and Development
             (OECD) during the 1970s when there was great public interest in
             environmental issues. During this. time there were demands on
             Government and other institutions to introduce policies and
             mechanisms for the protection of the environment and the public
c            from the threats posed by pollution in a modern industrialised
             society. Since then there has been considerable discussion of the
             nature of the Polluter Pays principle, but the precise scope of the
             principle and its imp! ications for those involved in past, or potentially
             polludng activities have never been satisfactorily agreed."
D
          This principle has also been held to be a sound principle in the case
    of Ve/lore Citizens 'Welfare Forum (supra). The Court observed that the
    Precautionary Principle and the Polluter Pay5 Principle have been accepted
    as part of the law of the land. The Court in the said judgment, on the basis
E   of the provisions of Articles 47. 48-A ·and 51-A(g) of the Constitution,
    observed that we have no hesitation in holding that the Precautionary
    Principle and the Polluter Pays Principle are part of the environmental laws
    of the country

          (3) The Public Trust Doctrine.
F
          The concept of public trusteeship may be accepted as a basic principle
    for the protection of natural resources of the land and sea The Public Trust
    Doctrine (which, found its way in the ancient Roman Empire) primarily rests
    on the principle that certain resources like air, sea. water and the forests have
G   such a great importance to the people as a whole that it would be wholly
    unjustified to make them a subject of private ownership. The said resources
    being a gift of nature should be made freely available to everyone trn:spective
    of their status in life The doctrine enjoins upon the Government and its
    instrumentalitie5 to protect the resources for the enjoyment of the general
H   public.
     KARNA TAKA INDL. AREA DEVP. BOARD v. SRI C. KENCHAPPA [BHANDARI,)]        385

         This Court in the case of A.P. Pollution Control Board !I (supra)             A
    mentioned that there is a need to take into account the right to a healthy
    environment along with the right to sustainable development and balance
    them.

          In the case of MC. Mehta v. Kamal Nath, [1997] I SCC 388, this Court
    dealt with the Public Trust Doctrine in great detail: The Court observed: as       B
    under:

                   "35. We are fully aware, that the issues presented in this case
             illustrate the classic struggle between those members of the public

-            who would preserve our rivers, forests, parks and open lands in their
             pristine purity and those charged with administrative responsibilities,
                                                                                       C

             who, under the pressures of the changing needs of an increasingly
             complex society, find it necessary to encroach to some extent upon
             open lands heretofore considered inviolate to change. The resolution
             of this conflict in any given case is for the legislature and not the
                                                                                       D
             court. If there is a law made by Parliament or the State Legislatures
             the courts can serve as an instrument of determining legislative
             intent in the exercise of its powers of judicial review under the
             Constitution. But in the absence of any legislation, the executive
             acting under the doctrine of public trust cannot abdicate the natural
             ~espurces and convert them into private ownership, or for commercial      E
             use."The aesthetic use and the pristine glory of the natural resources,
             the environment and the ecosystems of our country cannot be
             permitted to be eroded for private, commercial or any other use
             unless the courts find it necessary, in good faith, for the public good
             and in public interest to encroach upon the said resources:"              p

         Joseph L. Sax,.Professor of Law, University of Michigan - proponent
    of the modem Public Trust Doctrine - in an erudite article "Public Trust
    Doctrine in Natural Resource Law: Effective Judicial Intervention" Michigan
    Law Review; Vol. 68, Part I p. 473, has given the historical background of
    the Public Trust Doctrine as under:                                                G

                   "The source of modem public trust law is found in a concept
             that received much attention in Roman and English law - the nature
             of property rights in rivers, the sea, and the seashore. That history
             has been given considerable attention in the legal literature, need       H
    386                  SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.

            not be repeated in detail here. But two points should be emphasized.
A
            First, certain interests, such as navigation and fishing, were sought
            to be presented for the benefit of the public; accordingly; property
            used for those purposes was distinguished from general public
            property which the sovereign could routinely grant to private
            owners. Second, while it was understood that in certain common
B           properties - such as the seashore, highways and running water -
             'perpetual use was dedicated to the public', it has never been clear
            whether the public had an enforceable right to prevent infringement
            of those interests. Although the State apparently did protect public
             uses, no evidence is available that pubic, rights could be legally
c            asserted against a recalcitrant government."

           The Public Trust Doctrine primarily rests on the principle that certain
                                                                                      -
    resources like air, sea, waters and the forests have such a great importance
    to the people as a whole that it would be wholly unjustified to make them
    a subject of private ownership. The, said resources being a gift of nature,
D
    they should be made freely available to everyone irrespective of the status
    in life. The doctrine enjoins upon the Government to protect the resources
    for the enjoyment of the general public rather than to permit their use for
    private ownership or commercial purposes. According to Professor Sax the
    Public Trust Doctrine imposes the following restrictions on governmental
E   authority:

                  "Three types of restrictions on governmental authority are
             often thought to be imposed by the public trust: first; the property
             subject to the trust must not only be used for a public purpose, but
F            it must be held available for use by the general public; second, the
             property may not be sold, even for a fair cash equivalent; and third
             the property must be maintained for particular types of uses."

         The Supreme Court of California in National Audubon Society v.
    Superior Court of Alpine County, (33 Cal. 3d 419) observed as under:
G
                   "Thus, the public trust is more than an affirmation of State
             power to use public property for public purposes. It is an affirmation
             of the duty of the State to protect the people's common heritage of
             streams, lak~s, marshlands and tidelands, surrendering that right of
H            protection only in rare cases when the abandonment of that right
       KARNATAKA INDL. AREA DEVP. BOARD v. SRI C. KENCHAPPA [BHANDARI, J.]     387

              is consistent with the purposes of the trust... .."                      A
           In a recent case of Intellectuals Forum v. State of A. P., [2006] 3 SCC
     549, this Court has reiterated the importance of the Doctrine of Public Trust
,,   in maintaining sustainable development.

          The right to sustainable development has been declared by the UN             B
     General Assembly to be an inalienable human right (Declaration on the right
     to Development) ( 1986).

           Similarly, in 1992 Rio Conference it was declared that human beings
     are at the centre of concerns for sustainable development. Human beings are       c
     entitled to a healthy and productive life in harmony with nature. In order
     to achieve sustainable development, environmental protection shall constitute
     an integral part of development process and the same cannot be considered
     in isolation of it.

          The same principle was articulated in the 1997 "Earth Summit".
                                                                                       D

          The European Court of Justice, emphasised in Portugal v. F. C. Council
     the need to promote sustainable development while taking into account the
     environment. (report in 3 C.M.L.R. 331) ( 1997) (ibid Columbia Journal of
     Environmental Law, p.283)                                                         E
          In the case of MC. Mehta v. Union of India, [1997] 2 SCC 353, this
     Court gave a number of directions to 292 industries located nearby Taj
     Mahal. This Court, in this case, observed that the old concept that development
     and ecology cannot go together is no longer acceptable. Sustainable
                                                                                       F
     development is the answer. The development of industry is essential for the
     economy of the country, but at the same time the environment and ecosystem
     have to be protected. The pollution created as a consequence of environment
     must be commensurate with the carrying capacity of our ecosystem. In any
     case, in view of the precautionary principle, the environmental measures
     must anticipate, prevent and attack the causes of environmental degradation.      G

          The directions which have been given in the impugned judgment are
     perhaps on the lines of directions given by this Court in MC. Mehta v. Union
     of India, [1997] 3 SCC 715. This Court observed that the preventive
     measures have to be taken keeping in view the carrying capacity of the            H
    388                 SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.

    ecosystem operating in the environmental surroundings under consideration.
A
    Badkhal and Surajkund lakes are popular tourist resorts almost next door to
    the capital city of DelhL Two expert opinions on the record - by the Central
    Pollution Control Board and by the NEER! make it clear that the large-scale
    construct10n activity in the close vicinity of the two lakes is bound to cause
    adverse impact on the local ecology. NEER! has recommended green belt
                                                                                     ,.
B   at one k.m. radius all around the two lakes.

          The directions given in the said judgment based on NEERl's
    recommendations were capable of proper implementation.

C         If the directions given in the impugned judgment are properly
    implemented then perhaps, the appellant cannot acquire any land for
    development, This may not have been the underlying idea behind the
    judgment but it seems to be the obvious consequence of a direction given
    by the Division Bt:nch in this case. In this view of the matter, the said
D   directions given in the impugned judgment are set aside.

         We see significant developments when we carefully evaluate the entire
    journey of judicial pilgrimage from the decade of 1960 till this date. In the
    decade of ! 960s, hardly anyone expressed concern about ecology and
    environment. The statement of Sir Edmund Hillary quoted in the earlier part
E   of the judgment indicates that Mount Everest was littered with junk from the
    bottom to the top, and nobody hardly spoke about it or was any serious
    concern shown about environmental degradation. In the decade of 1970s, a
    serious concern about the degradation of ecology and environment was
    articulated. The Stockholm Conference of 1972 was a major watershed in
F   the history of the world. It was realised that for a civilised world both
    development and ecology are essential.

          In the Rio Conference of 1992 great concern has been shown about
    sustainable development. "Sustainable development"' means 'a development
    which can be sustained by nature with or without mitigation·. ln other words;
G   it is to maintain delicate balance between industrialization and ecology.
    While development of industry is essential for the growth of economy, at
    the same time, the environment and the ecosystem are required to be
    protected. The pollution created as a consequence of development must not
    exceed the carry mg rnpauty of ~cosystem. The Courts in various judgments
H   have developed the basic and essential features of sustainable development
      KARNA TAK.A INDL. AREA DEVP. BOARD,-. SRI C. KENCHAPPA [BHANDARI, J.]   389

    In order to protect sustainable development, it is necessary to implement and     A
    enforce some of its main components and ingredients such as - Precautionary
    Principle, Polluter Pays and Public Trust Doctrine. We can trace foundation
    of these ingredients in number of judgments delivered by this Court and the
    High Courts after the Rio Conference, 1992.

                                                                                      B
         The importance and awareness of environment and ecology is becoming
    so vital and important that we, in our judgment, want the appellant to insist
    on the conditions emanating from the principle of 'Sustainable Development'.




-   (I) We direct that, in future, before acquisition of lands for development,
    the consequence and adverse impact of development on environment must
    be properly comprehended and the lands be acquired for development that
    they do not gravely impair the ecology and environment.
                                                                                      c

    (2) We also direct the appellant to incorporate the condition of allotment to
    obtain clearance from the Kamataka State Pollution Control Board before           D
    the land is allotted for development. The said directory condition of allotment
    of lands be converted into a mandatory condition for all the projects to be
    sanctioned in future.

         This has been an interesting judicial pilgrimage for the last four
    decades. In our opinion, this is a significant contribution of the judiciary in
                                                                                      E
    making serious endeavour to preserve and protect ecology and environment
    in consonance with the provisions of the Constitution.

         Sustainable use of natural resources should essentially be based on
    maintaining a balance between development and ecosystem. Coordinated              F
    efforts of all concerned would be required to solve the problem of ecological
    crisis and pollution. Unless we adopt an approach of sustainable use, the
    problem of environmental degradation cannot be solved.

        The concept of sustainable development was propounded by the 'World           G
    Commission on Environment and Development', which very aptly and
    comprehensively defined it as 'development that meets the needs of the
    present without compromising the ability offuture generations to meet their
    own needs'. Survival of mankind depends on following the said definition
    in letter and spirit.
                                                                                      H
    390                 SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.

A         Before we part with this case, we would like to place on record our
    deep appreciation for the able assistance rendered by Mr. A. R. Madhav Rao,
    the learned amicus curiae.

          The appeal is allowed and disposed of in tenns of the aforementioned
    directions. In the facts and circumstances of the case, we direct the parties
B   to bear their own costs.

    v.s.s.                                                      Appeal allowed.



                                                                                    ..


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