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Supreme Court of India

VANASHAKTIversusUNION OF INDIA

Citation
2025 INSC 718
Decided
16 May 2025

Holding

Ex post facto environmental clearances are illegal and ultra vires; the 2017 Notification and the 2021 Office Memorandum are struck down.

Summary

The petitioners challenged the Ministry of Environment, Forest and Climate Change's 2017 Notification and the 2021 Office Memorandum, which sought to grant ex post facto environmental clearances for projects that had commenced without prior clearance under the 2006 EIA Notification. The Court examined whether such retrospective clearances violated the Environment (Protection) Act, 1986, the EIA Notification, and fundamental rights under Articles 21, 14 and 51A(g) of the Constitution. Relying on earlier judgments (Common Cause, Alembic Pharmaceuticals, Electrosteel Steels, etc.), the Court held that the concept of ex post facto clearance is alien to environmental law and the precautionary principle. It found both the 2017 Notification and the 2021 OM to be arbitrary, illegal and ultra vires, striking them down while preserving clearances already granted. The Court restrained the Central Government from issuing any future orders that would regularise violations through retrospective clearances. The writ petitions and associated civil appeals were allowed.

Issues considered

  • The legality and validity of the 2017 Notification granting ex post facto environmental clearances under the 2006 EIA Notification.
  • The legality and validity of the 2021 Office Memorandum prescribing a SOP for granting clearances to projects already in violation.
  • Whether granting ex post facto clearances violates the Environment (Protection) Act, 1986 and its Rules.
  • Whether such retrospective clearances infringe fundamental rights under Articles 21, 14 and 51A(g) of the Constitution.

Legislation cited

Headnote

Issue for Consideration Whether the 2017 Notification issued by the Ministry of Environment, Forest and Climate Change (MoEFCC) in the context of the EIA Notification 2006 for grant of ex post facto environmental clearances (EC) is legal and valid; Whether the 2021 Office Memorandum (OM) issued by Procedure (SOP) for projects that have commenced without an EC is legal and valid. Headnotes† Environment (Protection) Act, 1986 – EIA Notification 2006 – MoEFCC’s 2017 Notification established process for grant of ex post facto or retrospective Environmental Clearance

Subjects

Environment ProtectionEnvironmental interestEnvironmental Impact AssessmentEnvironmental clearanceBuilt up areaEducational institutionMitigation and compensatory measuresSustainable developmentSubordinate legislationConstruction projectsEx post facto

Judgment

                 [2025] 5 S.C.R. 2618 : 2025 INSC 718

                                Vanashakti
                                    v.
                               Union of India
                      (Writ Petition (C) No. 1394 of 2023)
                                 16 May 2025
               [Abhay S. Oka* and Ujjal Bhuyan, JJ.]


                            Issue for Consideration
       Whether the 2017 Notification issued by the Ministry of Environment,
       Forest and Climate Change (MoEFCC) in the context of the EIA
       Notification 2006 for grant of ex post facto environmental clearances
       (EC) is legal and valid; Whether the 2021 Office Memorandum
       (OM) issued by the MoEFCC laying down the Standing Operating
       Procedure (SOP) for projects that have commenced without an
       EC is legal and valid.

                                  Headnotes†
       Environment (Protection) Act, 1986 – EIA Notification 2006 –
       MoEFCC’s 2017 Notification established process for grant
       of ex post facto or retrospective Environmental Clearance
       (EC) – Ex post facto EC is illegal – In violation of law laid
       down by the Court – Writ petitions and appeals accordingly
       allowed:
       Held: Under EIA Notification 2006, construction of new projects
       or activities, expansion or modernisation of existing projects or
       activities cannot be undertaken with prior EC – 2017 Notification
       sought to protect project proponents who committed gross
       illegality by commencing construction, operation or process without
       obtaining prior EC – Common Cause, Alembic Pharmaceuticals,
       and Electrosteel Steels followed – Very concept of grant of ex
       post facto EC is illegal – Even as a one-time measure illegal –
       EIA Notification was eleven years old when 2017 Notification
       issued – No equity in favour of those who committed such gross
       illegality – 2017 Notification struck down. [Paras 17, 18]

       EIA Notification 2006 – 2021 Office Memorandum issued by
       MoEFCC – EC granted under 2021 OM regularises the illegality


* Author
[2025] 5 S.C.R.                                                           2619

                       Vanashakti v. Union of India


     done by commencing construction or commencing the project
     without prior EC – In substance, what is provided is grant of
     ex post facto EC – Completely prohibited under the law – OM
     struck down:
     Held: MOEFCC issued 2021 OM in purported compliance of
     National Green Tribunal’s order to prepare a Standard Operating
     Procedure (SOP) for grant of EC in cases of violation – Meaning
     of ex post facto considered – In effect, EC granted under 2021
     OM regularises illegality done by commencing construction or
     commencing project without prior EC – In substance, what is
     provided is grant of ex post facto EC – Prohibited under Common
     Cause and Alembic Pharmaceuticals – Even though words ex post
     facto not used – OM is completely arbitrary and illegal – 2021
     OM does something which was not permissible under the 2017
     Notification – Deprecate such effort on part of Central Government.
     [Paras 29, 30]

     Constitutional law – Article 21 – Right to live in a pollution-free
     environment – Right to health – Infringed by 2021 OM – Article
     51A(g) – Even the Central Government has duty to protect and
     improve the natural environment – Arbitrary action violative
     of Article 14:
     Held: Right to live in a pollution-free environment guaranteed
     under Article 21 – Measures such as 2021 OM violate this right –
     Also infringes on right to health guaranteed under Article 21 – OM
     deals with project proponents who have consciously flouted EIA
     Notification – Shown scant respect to the law and their duty to
     protect environment – Action is completely arbitrary – Violative of
     Article 14 – Article 51A(g) – Even the Central Government has a
     duty to protect and improve the natural environment. [Paras 32, 33]

     Environmental law – Relief – Central Government restrained
     from issuing granting ex post facto EC in any form or manner –
     Ex post facto ECs already granted not to be disturbed:
     Held: Central Government restrained from issuing circulars/orders/
     OMs/ notifications providing for grants of ex post facto EC in any
     form or manner or for regularising acts done in contravention of
     the EIA Notification – ECs under the 2017 Notification and the
     2021 OM remain unaffected – Clarified. [Paras 35, 36]
2620                                                        [2025] 5 S.C.R.

                        Supreme Court Reports


                             Case Law Cited
    Common Cause v. Union of India & Ors. [2017] 13 SCR 361 :
    (2017) 9 SCC 499; Alembic Pharmaceuticals v. Rohit Prajapati
    [2020] 10 SCR 677 : (2020) 17 SCC 157; Electrosteel Steels
    Ltd. v. Union of India and Ors. [2021] 14 SCR 863 : (2023) 6 SCC
    615; M.C. Mehta v. Union of India [2004] 3 SCR 126 : (2004) 12
    SCC 118 – followed.
    Puducherry Environment Protection Association v. Union of India,
    2017 SCC OnLine Mad 7056; Appaswamy Real Estates Limited v.
    Puducherry Environment Protection Association, 2018 SCC OnLine
    Mad 1283 – followed.

                               List of Acts
    Environment (Protection) Act, 1986; Environment (Protection) Rules,
    1986; Wild Life (Protection) Act, 1972; Ancient Monuments and
    Archaeological Sites and Remains Act, 1958; Constitution of India.

                            List of Keywords
    Environment Protection; Environmental interest; Environmental
    Impact Assessment; Environmental clearance; Built up area;
    Educational institution; Mitigation and compensatory measures;
    Sustainable development; Subordinate legislation; Construction
    projects; Ex post facto.

                           Case Arising From
    CIVIL ORIGINAL JURISDICTION: Writ Petition (C) No. 1394 of 2023
    Under Article 32 of The Constitution of India
    With
    Writ Petition (C) No. 118 of 2019, Writ Petition (C) No. 115 of 2024
    and Civil Appeal No(s). 381-382 of 2025

                        Appearances for Parties
    Advs. for the Petitioner:
    Gopal Sankaranarayanan, Sanjay Parikh, P.S. Patwalia, Nikhil Goel,
    Sr. Advs., Vanshdeep Dalmia, Ms. Anisha Jain, Ms. Shambhavi
    Singh, Ms. Trisha Chandran, Dhaval Mehrotra, Rahul Garg,
    Abhishek Singh, Ms. Aditi Desai, M/S. K Ashar & Co., Ms. Sanjana
    Grace Thomas, Ms. Kritika, D.P. Singh, Ms. Tara Elizabeth Kurien,
    Ms. Srishti Agnihotri, T.V.S. Raghavendra Sreyas, Naveen Hegde,
    Zulfiker Ali P. S, Ms. Lakshmi Sree P., Ms. Lebina Baby.
[2025] 5 S.C.R.                                                         2621

                      Vanashakti v. Union of India


     Advs. for the Respondent:
     Ms. Aishwarya Bhati, A.S.G. Ms. Ruchi Kohli, Ms. Swarupama
     Chaturvedi, Sr. Advs., Gurmeet Singh Makker, Ketan Paul, Rajat
     Nair, Kanu Agrawal, Rohan Gupta, Ms. Sharmishtha Shukla,
     Abhinav Aggarwal, C. K. Sasi, Ms. Meena K Poulose, Naresh
     Kumar, K. P Rajagopal, Jaimon Andrews, Piyo Harold Jaimon,
     Harikrishna R.
     Advs. for the Applicant:
     Ms. Aishwarya Bhati, ASG, Vinay Navare, Devadatt Kamat, Dr.
     A.M. Singhvi, Atmaram N.S. Nadkarini, V. Chitambaresh, Sanjay
     Upadhyay, Ms. Aishwarya Bhati, Vivek Chib, Amar Dave, Sr.
     Advs., Saket Mone, Ms. Anshula Vijay Kumar Grover, Lenpithang
     Sithlou, Vanshdeep Dalmia, T.V.S. Raghavendra Sreyas, Naveen
     Hegde, Mrs. Gayatri Gulati, Prabhat Ranjan Raj, Ayush P Shah,
     Arijit Dey, Mehul Kumar Garg, Nishanth Patil, Mahesh Agarwal,
     Arshit Anand, Shashwat Singh, Siddhant Sahay, E.C. Agrawala,
     Anuj Bhandari, M/S. S-legal Associates, Samit Shukla, Ms. Saakshi
     Saboo, M/S. Trilegal Advocates On Record, Tarun Gupta, Satyajit
     A. Desai, Abhinav K. Mutyalwar, Mrs. Anagha S. Desai, Ms. Neha
     Bhosale, Ms. Anuja Divadkar, Yashwant Singh, Satya Kam Sharma,
     Pallav Mongia, Ms. Mayuri Raghuvanshi, Vyom Raghuvanshi, Ms.
     Akanksha Rathore, Ms. Kinjal Sharma, Karthik S.D., C. Govind
     Venugopal, Siddhant Kohli, Kaustabh Bhattacharjee, Ms. Garima
     Jain, Shubham Upadhyay, Ms. Mansi Bachani, Anand Varma, Ms.
     Apoorva Pandey, Zulfiker Ali P. S, Vipul Ganda, Kunal Cheema,
     Ms. Anuradha Arputham, Gudapati G. Kashyap, Ms. Manisha
     Ambwani, Sandeep Sudhakar Deshmukh, Nishant Sharma,
     Ankur S. Savadikar, Kunal Mimani, Ms. Nandini Gore, Ms. Sonia
     Nigam, Akhil Abraham Roy, Mohammad Shahyan Khan (for M/S.
     Karanjawala & Co.), Ms. Charanya Lakshmikumaran, Anil Kumar
     Verma, Aditya Soni, A. Karthik.

                Judgment / Order of the Supreme Court

                               Judgment

     Abhay S. Oka, J.

1.   Part IV-A of the Constitution of India containing fundamental duties
     as set out in Article 51A was incorporated in the Constitution by the
     42nd Amendment Act with effect from 3rd January 1977. Clause (g)
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     of Article 51A provides that it shall be the duty of every citizen of
     India to protect and improve the natural environment including
     forests, lakes, rivers and wildlife, and to have compassion for living
     creatures. This Court in several decisions has held that the right to
     live in a pollution free atmosphere is a part of the fundamental right
     guaranteed under Article 21 of the Constitution of India.
2.   The world changed rapidly after World War II. From the late 1960s
     and early 1970s, slowly there was a realisation about the drastic
     consequences of the destruction of environment and pollution of
     various kinds. In June 1972, at Stockholm, the United Nations
     Conference on Human Environment was held. In the said conference,
     several decisions were taken by the world community to protect the
     environment.
3.   In our country, it took fourteen years thereafter for the legislature
     to come out with a law for protection and improvement of the
     environment. The Environment (Protection) Act, 1986 (for short, ‘the
     1986 Act’) was brought into force with effect from 19th November
     1986. As can be noticed from several orders of this Court and the
     High Courts, the progress of implementation of the 1986 Act has
     been very slow.
4.   The 1970s and 1980s saw growth of industrialisation in our country.
     The activities such as mining, gas exploration, thermal power plants,
     petroleum refining industries, various other industries, building and
     construction projects, such as, highways started growing.
5.   Again, it took twenty years after the 1986 Act came into force to
     exercise the power under sub-section (1) and clause (v) of sub-
     section (2) of Section 3 of the 1986 Act read with clause (d) of
     sub-rule (3) of Rule 5 of the Environment (Protection) Rules, 1986
     (for short, ‘1986 Rules’) for coming out with the Environment Impact
     Assessment Notification, 2006 (for short, ‘the EIA notification’). The
     EIA notification was issued on 14th September 2006. It provided
     that the projects or activities mentioned in clause (2) thereof shall
     require prior Environmental Clearance (for short, ‘the EC’) from the
     concerned regulatory authority. The concerned regulatory authority
     in the Central Government is the Ministry of Environment Forests
     and Climate Change (for short, ‘the MoEFCC’) for matters falling
     under Category ‘A’ in the Schedule, and at the State level, the State
     Environment Impact Assessment Authority (for short, ‘the SEIAA’) for
[2025] 5 S.C.R.                                                          2623

                           Vanashakti v. Union of India


      the matters falling in Category ‘B’. In the Schedule, Categories ‘A’ and
      ‘B’ were incorporated setting out industries and other development
      work. The entire controversy in this group of petitions is about ex
      post facto grant of EC.
6.    On 14th March 2017, a notification was issued by the MoEFCC. The
      said notification is hereafter referred to as ‘the 2017 notification’. The
      said notification was made applicable to the projects or activities that
      have started the work on site, expanded the production beyond the
      limit of the EC, or changed the production mix without obtaining EC.
      The 2017 notification provided that in case of such works, ex post
      facto EC can be granted. It provided that the projects or activities
      which are in violation of the EIA notification as on 14th March 2017
      were eligible to apply under the 2017 notification for ex post facto
      EC within a period of six months from 14th March 2017.
7.    The National Green Tribunal (for short, ‘the NGT’) vide order
      dated 24th May 2021 directed the MoEFCC to prepare a Standard
      Operating Procedure (for short, ‘the SOP’) for grant of EC in the
      cases of violation so as to address the gap in the binding law and
      practice being currently followed. In purported compliance with the
      said direction, Office Memorandum dated 7th July 2021 (for short,
      ‘the 2021 OM’) was issued.
8.    In the meanwhile, the 2017 notification was challenged by way
      of a writ petition before the High Court of Madras in the case of
      Puducherry Environment Protection Association v. Union of India1,
      which was decided by order dated 13th October 2017. During the
      course of hearing of the case before the Madras High Court, when it
      was pointed out that the outer limit for making applications for grant
      of ex post facto EC have been repeatedly extended, the Union of
      India gave a categorical undertaking that the 2017 notification was
      only a one-time measure. By recording the said submission made on
      behalf of the Union of India that the 2017 notification was certainly
      and clearly only a one time measure, the High Court disposed of
      the petition. Later on, by order dated 14th March 2018 passed by
      the High Court of Madras in another case, the time period under the
      2017 notification for submission of proposals by project proponents
      was extended by a further period of thirty days.


1    2017 SCC OnLine Mad 7056
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9.   In Writ Petition (C) No.1394 of 2023, the first prayer is for quashing
     the 2021 OM on the ground that it was arbitrary, illegal and ultra
     vires the provisions of the 1986 Act. The second prayer is for issuing
     a writ of mandamus directing the MoEFCC and SEIAA/SEACs not
     to process and entertain any application for ex-post facto EC after
     13th May 2018. As stated earlier, the time granted under the 2017
     notification to apply was lastly extended till 13th April 2018.
10. In Writ Petition (C) No.118 of 2019, the challenge is to the 2017
    notification issued by the MoEFCC. A prayer was made seeking
    directions to the respondents to produce a list of real estate projects
    and project proponents who have undertaken real estate development
    projects without obtaining EC under the 2006 notification.
11. In Writ Petition (C) No.115 of 2024, the challenge is to the 2017
    notification and the 2021 OM. A prayer for writ of prohibition is made
    for restraining the MoEFCC from issuing any notification or office
    memorandum permitting ex-post facto EC.
12. The High Court of Madras by judgment and order dated 30th August
    2024 quashed the 2021 OM and another OM dated 19th February
    2021. The challenge in Civil Appeal No.381-382 of 2025 is to this
    decision of the High Court of Madras. In the judgment and order
    dated 30th August 2024, the Madras High Court declared that
    its order will operate only prospectively and applications under
    consideration will remain unaffected. The challenge in this appeal
    is only to the extent of giving prospective effect to the impugned
    judgment.

     THE EIA NOTIFICATION
13. Firstly, we come to the EIA notification. It has been issued in exercise
    of powers under sub-Section (1) and clause (v) of sub-Section (2)
    of Section 3 of the 1986 Act read with clause (d) of sub-Rule (3)
    of Rule 5 of the 1986 Rules. Section 3 of the 1986 Act reads thus:
          “3. Power of Central Government to take measures to
          protect and improve environment.—(1) Subject to the
          provisions of this Act, the Central Government shall
          have the power to take all such measures as it deems
          necessary or expedient for the purpose of protecting
          and improving the quality of the environment and
[2025] 5 S.C.R.                                                          2625

                       Vanashakti v. Union of India


           preventing, controlling and abating environmental
           pollution.
           (2) In particular, and without prejudice to the generality
           of the provisions of sub-section (1), such measures may
           include measures with respect to all or any of the following
           matters, namely:—
           (i) co-ordination of actions by the State Governments,
           officers and other authorities—
                (a) under this Act, or the rules made thereunder; or
                (b) under any other law for the time being in force
                which is relatable to the objects of this Act;
           (ii) planning and execution of a nation-wide programme for
           the prevention, control and abatement of environmental
           pollution;
           (iii) laying down standards for the quality of environment
           in its various aspects;
           (iv) laying down standards for emission or discharge of
           environmental pollutants from various sources whatsoever:
           Provided that different standards for emission or discharge
           may be laid down under this clause from different sources
           having regard to the quality or composition of the emission
           or discharge of environmental pollutants from such sources;
           (v) restriction of areas in which any industries,
           operations or processes or class of industries,
           operations or processes shall not be carried out or
           shall be carried out subject to certain safeguards;
           (vi) laying down procedures and safeguards for the
           prevention of accidents which may cause environmental
           pollution and remedial measures for such accidents;
           (vii) laying down procedures and safeguards for the
           handling of hazardous substances;
           (viii) examination of such manufacturing processes,
           materials and substances as are likely to cause
           environmental pollution;
2626                                                     [2025] 5 S.C.R.

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        (ix) carrying out and sponsoring investigations and research
        relating to problems of environmental pollution;
        (x) inspection of any premises, plant, equipment,
        machinery, manufacturing or other processes, materials
        or substances and giving, by order, of such directions to
        such authorities, officers or persons as it may consider
        necessary to take steps for the prevention, control and
        abatement of environmental pollution;
        (xi) establishment or recognition of environmental
        laboratories and institutes to carry out the functions
        entrusted to such environmental laboratories and institutes
        under this Act;
        (xii) collection and dissemination of information in respect
        of matters relating to environmental pollution;
        (xiii) preparation of manuals, codes or guides relating to
        the prevention control and abatement of environmental
        pollution;
        (xiv) such other matters as the Central Government deems
        necessary or expedient for the purpose of securing the
        effective implementation of the provisions of this Act.
        (3) The Central Government may, if it considers it necessary
        or expedient so to do for the purposes of this Act, by order,
        published in the Official Gazette, constitute an authority or
        authorities by such name or names as may be specified
        in the order for the purpose of exercising and performing
        such of the powers and functions (including the power to
        issue directions under Section 5) of the Central Government
        under this Act and for taking measures with respect to
        such of the matters referred to in sub-section (2) as may
        be mentioned in the order and subject to the supervision
        and control of the Central Government and the provisions
        of such order, such authority or authorities may exercise
        the powers or perform the functions or take the measures
        so mentioned in the order as if such authority or authorities
        had been empowered by this Act to exercise those powers
        or perform those functions or take such measures.”
                                                 (emphasis added)
[2025] 5 S.C.R.                                                             2627

                       Vanashakti v. Union of India


     13.1 Sub-section (1) of Section 3 sums up the very object of the
          1986 Act. Therefore, the EIA notification has been issued
          not only for the purposes of protecting and improving the
          quality of the environment but also for preventing and abating
          environmental pollution. Sub-section (1) of Section 3 confers
          general power of taking measures on the Central Government.
          Sub-section (2) confers specific power for taking measures in
          the matters set out in clauses (i) to (ix) thereof. Clause (v) of
          sub-section (2) of Section 3 empowers the Central Government
          to take measures for putting restrictions of areas in which any
          industries, operations or processes shall not be carried out or
          shall be carried out subject to safeguards.
14. Rule 5 of the 1986 Rules reads thus:
            “5. Prohibition and restriction on the location of
            industries and the carrying on of processes and
            operations in different areas.—(1) The Central
            Government may take into consideration the following
            factors while prohibiting or restricting the location of
            industries and carrying on of processes and operations
            in different areas:
            (i) Standards for quality of environment in its various
            aspects laid down for an area.
            (ii) The maximum allowable limits of concentration of
            various environmental pollutants (including noise) for
            an area.
            (iii) The likely emission or discharge of environmental
            pollutants from an industry, process or operation proposed
            to be prohibited or restricted.
            (iv) The topographic and climatic features of an area.
            (v) The biological diversity of the area which, in the opinion
            of the Central Government needs to be preserved.
            (vi) Environmentally compatible land use.
            (vii) Net adverse environmental impact likely to be caused
            by an industry, process or operation proposed to be
            prohibited or restricted.
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        (viii) Proximity to a protected area under the Ancient
        Monuments and Archaeological Sites and Remains
        Act, 1958 or a sanctuary, National Park, game reserve
        or closed area notified as such under the Wild Life
        (Protection) Act, 1972 or places protected under any
        treaty, agreement or convention with any other country
        or countries or in pursuance of any decision made in
        any international conference, association or other body.
        (ix) Proximity to human settlements.
        (x) Any other factor as may be considered by the Central
        Government to be relevant to the protection of the
        environment in an area.
        (2) While prohibiting or restricting the location of industries
        and carrying on of processes and operations in an area,
        the Central Government shall follow the procedure
        hereinafter laid down.
        (3) (a) Whenever it appears to the Central Government
        that it is expedient to impose prohibition or restrictions on
        the location of an industry or the carrying on of processes
        and operations in an area, it may, by notification in the
        Official Gazette and in such other manner as the Central
        Government may deem necessary from time to time, give
        notice of its intention to do so.
        (b) Every notification under clause (a) shall give a
        brief description of the area, the industries, operations,
        processes in that area about which such notification
        pertains and also specify the reasons for the imposition of
        prohibition or restrictions on the location of the industries
        and carrying on of processes or operations in that area.
        (c) Any person interested in filing an objection against
        the imposition of prohibition or restrictions on carrying on
        of processes or operations as notified under clause (a)
        may do so in writing to the Central Government within
        sixty days from the date of publication in the notification
        in the Official Gazette.
        (d) The Central Government shall within a period of one
        hundred and twenty days from the date of publication
[2025] 5 S.C.R.                                                              2629

                       Vanashakti v. Union of India


            of the notification in the Official Gazette consider all the
            objections received against such notification and may
            [within [seven hundred and twenty-five days [,and in
            respect of the States of Assam, Meghalaya, Arunachal
            Pradesh, Mizoram, Manipur, Nagaland, Tripura, Sikkim
            and Jammu and Kashmir in exceptional circumstance
            and for sufficient reasons within a further period of one
            hundred and eighty days,]] from such date of publication]
            impose prohibition or restrictions on location of such
            industries and the carrying on of any process or operation
            in an area:
            [Provided that on account of COVID-19 pandemic, for
            the purpose of this clause, the period of validity of the
            notification expiring in the financial year 2020-2021 and
            2021-2022 shall be extended up to [30th June, 2022] or
            six months from the end of the month when the relevant
            notification would have expired without any extension,
            whichever is later.]
            [(4) Notwithstanding anything contained in sub-rule (3),
            whenever it appears to the Central Government that it
            is in public interest to do so, it may dispense with the
            requirement of notice under clause (a) of sub-rule (3).]”
     14.1 For issuing the EIA notification, power has been exercised
          under clause (d) of sub-rule (3) of Rule 5 which empowers
          the Central Government to impose prohibition or restrictions
          on location of such industries and the carrying on any process
          or operation in an area. There is a power to impose complete
          prohibition on carrying on any process or operation in an area.
          Clause (2) of the EIA notification reads thus:
            “2. Requirements of prior Environmental Clearance
            (EC):- The following projects or activities shall require prior
            environmental clearance from the concerned regulatory
            authority, which shall hereinafter referred to be as the
            Central Government in the Ministry of Environment and
            Forests for matters falling under Category ‘A’ in the
            Schedule and at State level the State Environment Impact
            Assessment Authority (SEIAA) for matters falling under
            Category ‘B’ in the said Schedule and at District level,
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           the District Environment Impact Assessment Authority
           (DEIAA) for matters falling under Category ‘B2’ for mining
           minerals in the said Schedule, before any construction
           work, or preparation of land by the project management
           except for securing the land, is started on the project
           or activity:
           (i)    All new projects or activities listed in the Schedule
                  to this notification;
           (ii)   Expansion, modernization or any change in the
                  product mix or raw material mix in existing projects
                  or activities listed in the Schedule to this notification
                  with addition of capacity beyond the limits specified
                  for the concerned sector in the said Schedule,
                  subject to conditions and procedure provided in the
                  sub-paragraph (ii) of paragraph 7.”
     14.2 Therefore, without prior EC, construction of new projects or
          activities, expansion or modernisation of existing projects or
          activities listed in the Schedule entailing capacity addition
          with change in process or technology, cannot be undertaken.
          Entire procedure for grant of prior EC is laid down in the EIA
          notification.

     LEGALITY OF THE 2017 NOTIFICATION
15. The 2017 notification refers to the OMs dated 12th December 2012
    and 27th June 2013 by which a process was sought to be established
    for grant of EC in the cases of violation of the EIA notification. It
    also refers to the judgment of the High Court of Jharkhand holding
    these two OMs as illegal. The same OMs were also quashed by
    the NGT as mentioned in the said notification. There are three
    recitals in the said notification which are relevant. Recital Nos.9
    to 11 read thus:
           “9. And whereas, the Ministry of Environment, Forest
           and Climate Change and State Environment Impact
           Assessment Authorities have been receiving certain
           proposals under the Environment Impact Assessment
           Notification, 2006 for grant of Terms of References and
           Environmental Clearance for projects which have started
[2025] 5 S.C.R.                                                             2631

                         Vanashakti v. Union of India


              the work on site, expanded the production beyond the
              limit of environmental clearance or changed the product
              mix without obtaining prior environmental clearance;
              10. Whereas, the Ministry of Environment, Forest
              and Climate Change deems it necessary for the
              purpose of protecting and improving the quality of
              the environment and abating environmental pollution
              that all entities not complying with environmental
              regulation under Environment Impact Assessment
              Notification, 2006 be brought under compliance with
              in the environmental laws in expedient manner;
              11. And whereas, the Ministry of Environment, Forest and
              Climate Change deems it necessary to bring such projects
              and activities in compliance with the environmental
              laws at the earliest point of time, rather than leaving
              them unregulated and unchecked, which will be more
              damaging to the environment and in furtherance of this
              objective, the Government of India deems it essential to
              establish a process for appraisal of such cases of violation
              for prescribing adequate environmental safeguards to
              entities and the process should be such that it deters
              violation of provisions of Environment Impact Assessment
              Notification, 2006 and the pecuniary benefit of violation
              and damage to environment is adequately compensated
              for;”
     15.1 Thus, what was sought to be done was to protect the project
          proponents who committed gross illegality by commencing
          construction or commencing operation or process without
          obtaining prior EC as provided in the EIA notification. The
          2017 notification was a one-time measure. Moreover, this
          Court in the case of Common Cause v Union of India &
          Ors.2, held in no uncertain terms that the concept of ex post
          facto or retrospective EC is completely alien to environmental
          jurisprudence including the EIA notification. The decision in
          the case of Common Cause2 was delivered on 2nd August



2   (2017) 9 SCC 499
2632                                                         [2025] 5 S.C.R.

                           Supreme Court Reports


              2017. Notwithstanding the clear declaration of law which was
              made on 2nd August 2017, the Central Government did not
              withdraw the 2017 notification.
16. We may note here that this is not the first time that the concept of
    prior EC was brought into force. For this purpose, useful reference
    can be made to a decision of this Court in the case of Alembic
    Pharmaceuticals v. Rohit Prajapati3. It records that there was a
    notification of 27th January 1994 mandating prior EC for setting up
    and expansion of industrial projects falling within thirty categories.
    The issue before this Court was about the legality and validity of
    the circular dated 14th May 2002, which permitted obtaining of ex
    post facto EC. This Court specifically dealt with the challenge to the
    circular dated 14th May 2002. In paragraph 12, this Court noted the
    issue to be decided:
              “12. The issue to be adjudicated is whether in view of
              the requirement of a prior EC under the EIA Notification
              of 1994, a provision for an ex post facto EC to industrial
              units could be validly made by means of the Circular
              dated 14-5-2002.”
     16.1 Thereafter, this Court considered Section 3(1) of the 1986 Act.
          In paragraph 21 this Court held thus:
              “21. The omission in the appeal to make any attempt to
              sustain the Circular dated 14-5-2002 with reference to the
              provisions of Section 3 of the Environment (Protection)
              Act, 1986 is significant. For an action of the Central
              Government to be treated as a measure referable
              to Section 3 it must satisfy the statutory requirement
              of being necessary or expedient “for the purpose of
              protecting and improving the quality of the environment
              and preventing, controlling and abating environment
              pollution”. The Circular dated 14-5-2002 in fact does
              quite the contrary. It purported to allow an extension of
              time for industrial units to comply with the requirement of
              an EC. The EIA Notification dated 27-1-1994 mandated
              that an EC has to be obtained before embarking on a


3   (2020) 17 SCC 157
[2025] 5 S.C.R.                                                         2633

                       Vanashakti v. Union of India


            new project or expanding or modernising an existing one.
            The EIA Notification of 1994 has been issued under the
            provisions of the Environment (Protection) Act, 1986
            and the Environment Protection Rules, 1986, with
            the object of imposing restrictions and prohibitions on
            setting up of new projects or expansion or modernisation
            of existing project. The measures are based on the
            precautionary principle and aim to protect the interests
            of the environment. The Circular dated 14-5-2002
            allowed defaulting industrial units which had commenced
            activities without an EC to cure the default by an ex post
            facto clearance. Being an administrative decision, it is
            beyond the scope of Section 3 and cannot be said to be
            a measure for the purpose of protecting and improving
            the quality of the environment. The circular notes that
            there were defaulting units which had failed to comply
            with the requirement of obtaining an EC as mandated.
            The circular provided for an extension of time and
            inexplicably introduced the notion of an ex post facto
            clearance. In effect, it impacted the obligation of the
            industrial units to be in compliance with the law. The
            concept of ex post facto clearance is fundamentally
            at odds with the EIA Notification dated 27-1-1994.
            The EIA Notification of 1994 contained a stipulation
            that any expansion or modernisation of an activity
            or setting up of a new project listed in Schedule I
            “shall not be undertaken in any part of India unless
            it has been accorded environmental clearance”.
            The language of the notification is as clear as
            it can be to indicate that the requirement is of a
            prior EC. A mandatory provision requires complete
            compliance. The words “shall not be undertaken”
            read in conjunction with the expression “unless” can
            only have one meaning : before undertaking a new
            project or expanding or modernising an existing one,
            an EC must be obtained. When the EIA Notification
            of 1994 mandates a prior EC, it proscribes a post
            activity approval or an ex post facto permission. What
            is sought to be achieved by the administrative Circular
            dated 14-5-2002 is contrary to the statutory Notification
2634                                                      [2025] 5 S.C.R.

                       Supreme Court Reports


          dated 27-1-1994. The Circular dated 14-5-2002 does not
          stipulate how the detrimental effects on the environment
          would be taken care of if the project proponent is
          granted an ex post facto EC. The EIA Notification of
          1994 mandates a prior environmental clearance. The
          circular substantially amends or alters the application
          of the EIA Notification of 1994. The mandate of not
          commencing a new project or expanding or modernising
          an existing one unless an environmental clearance has
          been obtained stands diluted and is rendered ineffective
          by the issuance of the administrative Circular dated 14-
          5-2002. This discussion leads us to the conclusion that
          the administrative circular is not a measure protected
          by Section 3. Hence there was no jurisdictional bar on
          NGT to enquire into its legitimacy or vires. Moreover, the
          administrative circular is contrary to the EIA Notification
          1994 which has a statutory character. The circular is
          unsustainable in law.”
                                                  (emphasis added)
    16.2 Ultimately, in paragraph 23, this Court held thus:
          The concept of an ex post facto EC is in derogation
          of the fundamental principles of environmental
          jurisprudence and is an anathema to the EIA
          Notification dated 27-1-1994. It is, as the judgment
          in Common Cause [Common Cause v. Union of
          India, (2017) 9 SCC 499] holds, detrimental to
          the environment and could lead to irreparable
          degradation. The reason why a retrospective EC or
          an ex post facto clearance is alien to environmental
          jurisprudence is that before the issuance of an EC,
          the statutory notification warrants a careful application
          of mind, besides a study into the likely consequences of
          a proposed activity on the environment. An EC can be
          issued only after various stages of the decision-making
          process have been completed. Requirements such as
          conducting a public hearing, screening, scoping and
          appraisal are components of the decision-making process
          which ensure that the likely impacts of the industrial
          activity or the expansion of an existing industrial activity
[2025] 5 S.C.R.                                                             2635

                       Vanashakti v. Union of India


            are considered in the decision-making calculus. Allowing
            for an ex post facto clearance would essentially condone
            the operation of industrial activities without the grant of an
            EC. In the absence of an EC, there would be no conditions
            that would safeguard the environment. Moreover, if the
            EC was to be ultimately refused, irreparable harm would
            have been caused to the environment. In either view of the
            matter, environment law cannot countenance the notion
            of an ex post facto clearance. This would be contrary to
            both the precautionary principle as well as the need for
            sustainable development.”
                                                     (emphasis added)

     16.3 In fact, as noted in paragraph 22.1, the word ‘prior’ was not
          used in the EIA notification dated 27th January 1994. However,
          the words ‘shall not be undertaken’ were used. In the 2006
          EIA notification, the word ‘prior’ appears at multiple places.
17. The issue of ex post facto EC was dealt with in the case of Common
    Cause2, In paragraph 108, a submission was recorded that the
    possibility of getting ex post facto EC was a signal to the mining
    leaseholders that obtaining an EC was not mandatory or that if it
    was not obtained, the default was retrospectively condonable. In
    paragraph 125, this Court held thus:
           “125. We are not in agreement with the learned counsel
           for the mining leaseholders. There is no doubt that
           the grant of an EC cannot be taken as a mechanical
           exercise. It can only be granted after due diligence
           and reasonable care since damage to the environment
           can have a long-term impact. EIA 1994 is therefore
           very clear that if expansion or modernisation of any
           mining activity exceeds the existing pollution load,
           a prior EC is necessary and as already held by this
           Court in M.C. Mehta [M.C. Mehta v. Union of India,
           (2004) 12 SCC 118] even for the renewal of a mining
           lease where there is no expansion or modernisation of
           any activity, a prior EC is necessary. Such importance
           having been given to an EC, the grant of an ex post
           facto environmental clearance would be detrimental
           to the environment and could lead to irreparable
2636                                                           [2025] 5 S.C.R.

                           Supreme Court Reports


            degradation of the environment. The concept of an ex
            post facto or a retrospective EC is completely alien to
            environmental jurisprudence including EIA 1994 and
            EIA 2006. We make it clear that an EC will come into
            force not earlier than the date of its grant.”
                                                      (emphasis added)
18. Therefore, there is already a concluded finding of this Court that the
    concept of ex post facto or retrospective EC is completely alien to
    environmental jurisprudence and the EIA notification. This view was
    reiterated by this Court in the case of Electrosteel Steels Ltd. v.
    Union of India and Ors.4,. In paragraph 72, this Court held thus:
              “72. There can be no doubt that the need to comply
              with the requirement to obtain environment clearance
              is non-negotiable. A project can be set up or allowed
              to expand subject to compliance of the requisite norms.
              Environmental clearance is granted on condition of
              the suitability of the site to set up the project from
              the environmental angle, and existence of necessary
              infrastructural facilities and equipment for compliance of
              environmental norms. To protect future generations, it is
              imperative that pollution laws be strictly enforced. Under
              no circumstances, can industries which pollute be allowed
              to operate unchecked and degrade the environment.”
                                                      (emphasis added)
     18.1 In this case, as well as in the case of Alembic Pharmaceuticals3,
          this Court exercised its jurisdiction under Article 142 of the
          Constitution and permitted ex post facto EC in particular cases
          considering the peculiar factual situation.
19. It is in this context that the legality and validity of the 2017 notification
    will have to be tested. Interestingly, in paragraph 10 of the notification,
    it is recorded that the MoEFCC deems it necessary for the purpose
    of protecting and improving the quality of environment and abating
    environmental pollution that all the entities not complying with
    the environmental regulation under EIA notification be brought


4   (2023) 6 SCC 615
[2025] 5 S.C.R.                                                          2637

                       Vanashakti v. Union of India


     under compliance within the environmental laws in an expeditious
     manner. The object of protecting and improving the environment
     and preventing and abating environmental pollution was achieved
     by the EIA notification. The object of the 2017 notification appears
     to be to protect the industries and entities which violated the EIA
     notification. In fact, paragraph 14 of the 2017 notification is material
     which reads thus:
           “14. The projects or activities which are in violation as on
           date of this notification only will be eligible to apply for
           environmental clearance under this notification and the
           project proponents can apply for environmental clearance
           under this notification only within six months from the date
           of this notification.”
20. Moreover, the 2017 notification is completely in violation of the law
    laid down by this court in the case of Common Cause2 and Alembic
    Pharmaceuticals3. From the recitals of the 2017 notification, it
    is apparent that it was a one-time measure to protect those who
    were in violation as on the date of the 2017 notification. In view of
    the settled law, even a ‘one-time measure’ or ‘one-time relaxation’
    was illegal. The 2021 OM encourages the entities who contributed
    to pollution by not obtaining prior EC. Whenever EC is granted, it
    is always conditional. Certain conditions are imposed to abate or
    reduce the pollution. Such one-time measures add to air and/or water
    pollution. Such measures infringe the right to live in a pollution free
    environment guaranteed by Article 21. Thus, the 2017 notification
    was completely illegal.
21. The Division bench of Madras High Court by judgment dated 13th
    October 2017, in the case of Puducherry Environment Protection
    Association1 dealt with the issue regarding the legality of the 2017
    notification which was subject matter of challenge in a Public Interest
    Litigation. A very specific submission was made before the Madras
    High Court on behalf of the Central Government by the learned
    Additional Solicitor General, which is recorded in paragraph 4(i) of
    the judgment. Relevant portion of paragraph 4(i) reads thus:
           “4(i) With regard to precautionary principle, faced with the
           situation that ex post facto clearance and regularization
           dates have been repeatedly extended time and again
           by series of notifications, learned Additional Solicitor
2638                                                         [2025] 5 S.C.R.

                               Supreme Court Reports


            General at the bar, on instructions, submits that this
            impugned notification shall clearly and certainly be
            only a one time measure. We record this submission
            also.
            ………………………….............……………………………”
                                                       (emphasis added)

     21.1 This statement was treated as an undertaking of the Central
          Government, which is clear from paragraph 4(n) of the said
          judgment:
             “4(n) We are convinced that paragraphs 3,4 and 5 of
             the impugned notification alluded to supra coupled with
             the two undertakings made on instructions by learned
             Additional Solicitor General that (a) public hearing can
             be read into paragraph 5 of the impugned notification
             and (b) this shall certainly and clearly be a one time
             measure, this writ petition can be closed and disposed
             of recording the above submissions. We do so.”
                                                       (emphasis added)

     21.2 It is in view of this undertaking that the High Court did not
          interfere. The Central Government is bound by this undertaking.
          It is the duty of the Central Government to comply with the
          undertaking in its true letter and spirit.
22. The period provided in the 2017 notification to apply for ex-post facto
    EC ended on 13th September 2017. In the case of Appaswamy
    Real Estates Limited v. Puducherry Environment Protection
    Association5, the request of the MoEFCC for extending the time
    provided in the 2017 notification was accepted. As a result, the
    OM dated 16th March 2018 was issued which permitted the project
    proponents to apply under the 2017 notification within thirty days
    from the date of the High Court order. What is pertinent to note is
    that notwithstanding the grant of extension of time to apply, there
    was no modification made to paragraph 14 of the 2017 notification
    which clarified that it is applicable only to those projects and activities


5   2018 SCC OnLine Mad 1283
[2025] 5 S.C.R.                                                       2639

                       Vanashakti v. Union of India


     which were in violation on the date of the said notification. Therefore,
     any project or activity or process which required EC under the EIA
     notification commenced after 14th March 2017 was not protected by
     the 2017 notification.
23. Apart from the fact that the very concept of grant of ex-post facto EC
    is illegal, it is not possible to understand why the Central Government
    made efforts to protect those who committed illegality by not obtaining
    prior EC in terms of the EIA notification. As the EIA notification was
    eleven years old when the 2017 notification was issued, there was
    no equity in favour of those who committed such gross illegality of
    not obtaining prior EC. The persons who acted without prior EC were
    not illiterate persons. They were companies, real estate developers,
    public sector undertakings, mining industries, etc. They were the
    persons who knowingly committed illegality. We, therefore, make it
    clear that hereafter, the Central Government shall not come out with
    a new version of the 2017 notification which provides for the grant
    of ex-post facto EC in any manner.

     LEGALITY AND VALIDITY OF THE 2021 OM

     SUBMISSIONS
24. The learned senior counsel appearing for the Petitioner submitted that
    post a series of judgments of this Court in Alembic3 and Common
    Cause2, it is not permissible to grant ex post facto EC. He further
    submits that the 2021 OM is in violation of the 1986 Act and the
    EIA notification. He submits that EC must be prior and cannot be
    granted ex post facto. While the 2021 OM does not expressly extend
    the timeline under the 2017 notification or mention ex post facto,
    the 2021 OM and its application has effectively allowed grant of ex
    post facto EC.
25. The main submission of the learned Additional Solicitor General
    is that the 2021 OM does not seek to grant ex-post facto EC. It is
    only an SOP. The learned ASG invited our attention to the contents
    of the SOP. Her submission is that it provides for the demolition of
    projects not allowable or permissible for want of EC. It also provides
    for the closure of projects allowable/permissible, if prior EC has not
    been taken as per the EIA notification. She submitted that even if
    EC is granted, it will be effective from the date of the issue, and
    therefore, it is not ex post facto. She submitted that before such EC
2640                                                     [2025] 5 S.C.R.

                       Supreme Court Reports


    is granted, the project proponent will have to pay certain amounts
    as provided therein based on Polluter Pays Principle. Moreover,
    the project proponents will have to undertake activities relating to
    remedial plan and community accommodation plan. She also pointed
    out that the projects which are not allowable or permissible, shall
    be demolished. She also pointed out provisions regarding penalty,
    project proponents furnishing bank guarantee, etc. Thus, in short,
    her submission is that the object of the 2021 OM is to protect those
    projects and industries which could have been granted an EC under
    EIA notification before the date of commencement of activities, but
    proceeded to commence activities without EC. Her submission is
    that this measure has been taken to ensure that the huge spending
    on constructions is not lost and wasted.

    OUR VIEW
26. The basic submission by learned ASG is based on a premise that
    what is provided under the 2021 OM is not grant of ex-post facto
    EC. The relevant part of the 2021 OM is in paragraph 10 and 11,
    which read thus:
         “10.Standard Operating Procedure-Guiding Principles:
         i. Without prejudice to any other consequences, action
         has to be initiated under section 15 read with section
         19 of The Environment (Protection) Act, 1986 against all
         violations.
         ii. Projects not allowable/permissible, for grant of EC, as
         per extant regulations: To be demolished.
         iii. Projects allowable/permissible, if prior EC had been
         taken as per extant regulations: To be closed until EC
         is granted (if no prior EC has been taken) or to revert
         to permitted production level (in case prior EC has
         been granted).
         iv. Polluter pays: Violators to pay for violation period
         proportionate to the scale of project and extent of
         commercial transaction.
         v. Setting up a mechanism for reporting of violation to the
         regulatory authority(ies).
[2025] 5 S.C.R.                                                                2641

                       Vanashakti v. Union of India


           11. SOP for dealing with the violation cases:
           Step 1: Closure or Revision

            Sl no.   Status of EC                   Actions

            1        If no prior EC has been        Order to close its operation
                     taken

            2        If prior EC is available for   Order to revert the activity /
                     existing/old unit              production to permissible
                                                    limits.

            3        If prior EC was not            Restrict the activity /production
                     required for earlier           to the extent to which prior EC
                     production level but is        was not required
                     now required

           Step 2: Action under Environment (Projection) Act,
           1986
           Action under section 15 read with section 19 of the
           Environment (Protection) Act, 1986 shall be initiated
           against the violators.

           Step: 3: Appraisal under EIA Notification, 2006
           The permissibility of the project shall be examined from
           the perspective of whether such activity/project was at all
           eligible for the grant of prior EC.

           A. If not permissible:
           i. The project shall be ordered for the demolition/closure
           after issuing show cause notice and providing an
           opportunity of hearing.
           Ex. If a red industry is functioning in a CRZ-I area which
           means that the activity was, in the first place, not permitted
           at the time of commencement of project. Therefore, the
           activity is not permissible and therefore it shall be closed
           & demolished.
           ii. Respective regulatory authorities shall issue directions
           under section 5 of the Environment (Protection) Act, 1986
           for such closure & demolition of the project/activity.
2642                                                     [2025] 5 S.C.R.

                      Supreme Court Reports


        B. If permissible:
        i. As per extant regulations at the time of scoping, if it is
        viewed that the project activity is otherwise permissible,
        Terms of Reference (TOR) shall be issued with directions
        to complete the impact assessment studies & submit
        Environmental Impact Assessment (EIA) report &
        Environmental Management Plan (EMP) in a time bound
        manner.
        ii. Such cases of violation shall be subject to appropriate
             (a) Damage Assessment
             (b) Remedial Plan and
             (c) Community Augmentation Plan by the Central
             Level Sectoral Expert Appraisal Committees or State/
             Union Territory Level Expert Appraisal Committees,
             as the case may be.
        iii. The Competent Authority shall issue directions to the
        project proponent, under section 5 of the Environment
        (Protection) Act, 1986 on case to case basis mandating
        payment of such amount (as may be determined based
        on Polluter Pays principle) and undertaking activities
        relating to Remedial Plan and Community Augmentation
        Plan (to restore environmental damage caused including
        its social aspects).
        iv. Upon submission of the EIA & EMP report, the project
        shall be appraised by the Central Sectoral Expert Appraisal
        Committees or the State/Union Territory Level Expert
        Appraisal Committees, as the case may be, as if it was a
        new proposal. If, on examination of the EIA/EMP report,
        the project is considered permissible for operation as per
        extant regulations, the requisite Environmental Clearance
        shall be issued which shall be effective from the date
        of issue.
        v. However, during appraisal after examination if it is
        found that even though the project may be permissible
        but not environmentally sustainable in its present
        form/configuration/features then the project shall be
[2025] 5 S.C.R.                                                            2643

                        Vanashakti v. Union of India


           directed to be modified so that the project would be
           environmentally sustainable.
           vi. If, however, it is not considered appropriate to issue EC,
           the project shall be directed to be demolished/ closed. If
           such proposal is a case of expansion, the project shall
           be directed to revert back to the extent of activity for
           which EC had been granted earlier or to revert back
           to the extent of activity for which EC was not required
           (as the case may be).
           vii. Central Sectoral Expert Appraisal Committees or the
           State/Union Territory Level Expert Appraisal Committees,
           as the case may be, may insist upon public hearing to be
           conducted for such categories of projects for which the EIA
           Notification 2006, as amended from time to time, requires
           the public hearing to be conducted.
           viii. The project proponent will be required to submit
           a bank guarantee equivalent to the amount of
           Remediation Plan and Natural & Community Resource
           Augmentation Plan with Central / the State Pollution
           Control Board (depending on whether it is appraised at
           Ministry or by SEIAA). The quantification of such liability
           will be recommended by Expert Appraisal Committee and
           finalized by Regulatory Authority. The bank guarantee shall
           be deposited prior to the grant of environmental clearance
           and will be released after successful implementation
           of the Remediation Plan and Natural & Community
           Resource Augmentation Plan.”
27. In short, it provides for grant of EC to category of ‘allowable/permissible’
    projects. We must remember that the 2021 OM is applicable even
    to the completed projects. The 2021 OM says that grant of EC to
    such projects shall be effective from the date of issue. If the project
    proponent goes ahead with construction which requires EC under the
    EIA notification, it will amount to violation of the provisions of 1986
    Act and 1986 Rules. It will attract penalty under Section 15 of the
    1986 Act. Perusal of the provisions of Section 15 shows that even if
    the penalty is paid by the project proponent, it will not regularise the
    project. Therefore, even after the payment of penalty, if the project
    is under construction, the same has to be stopped and demolished
2644                                                        [2025] 5 S.C.R.

                         Supreme Court Reports


     and even if operation has already commenced, the same has to be
     stopped and demolished. Therefore, the construction work has to
     be demolished.
28. Now, we will consider what is the meaning of “ex post facto”. Various
    dictionary meanings can be summarised as under:
     a)   Having retrospective effect or force;
     b)   From a thing done afterwards;
     c)   Retroactive or affecting something that has already happened.
29. Now, we will take a case of ex post facto EC provided under the
    2017 notification. The effect of grant of ex post facto clearance is
    that if without obtaining EC, construction is in progress, the same is
    allowed to continue. If the construction is complete and operation and
    processes are going on, the same can go on after ex post facto EC
    is granted. Effect of grant of EC under clause (11) of 2021 OM will
    be grant of permission to complete the construction of the project,
    though construction had commenced without prior EC. Where the
    construction is already complete which is being used for processes
    etc., by grant of EC, the process/activities can continue. Thus, in
    effect, the EC granted under clause (11) of 2021 OM regularises
    something which was illegal with retrospective effect. In effect,
    the EC granted under clause (11) of 2021 OM will regularise the
    illegality done by commencing the construction or commencing the
    project without prior EC. Therefore, in substance, what is provided
    is grant of ex post facto EC. In other words what is granted is EC
    with retrospective effect as it regularises illegality committed earlier.
    The grant of EC under the 2021 OM, no doubt, is subject to making
    payment of compensation determined based on Polluter Pays
    Principle and undertaking activities relating to remedial plan. Once
    there is a violation of the EIA notification, the project proponent has
    to compensate following the Polluter Pays Principle. Even if, EC is
    not granted to him he has to pay for remedial plan to remedy the
    damage done to the environment. He has to also pay the penalty
    under Section 15 of the 1986 Act. Therefore, what is done by the
    2021 OM is something which was completely prohibited by this Court
    in the cases of Common Cause2 and Alembic Pharmaceuticals3.
    It is an attempt to bring in an ex-post facto or retrospective regime
    by craftily drafting the SOP. The grant of EC under the 2021 OM in
[2025] 5 S.C.R.                                                         2645

                        Vanashakti v. Union of India


     substance and in effect amounts to ex post facto grant of EC. The
     Court must come down very heavily on the attempt of the Central
     Government to do something which is completely prohibited under
     the law. Cleverly, the words ex post facto have not been used, but
     without using those words, there is a provision to effectively grant
     ex post facto EC. The 2021 OM has been issued in violation of
     the decisions of this Court in the cases of Common Cause2 and
     Alembic Pharmaceuticals3. Therefore, we have no manner of doubt
     that the 2021 OM which permits grant of EC is completely arbitrary
     and illegal. Moreover, the 2021 OM does not refer to exercise of
     any power under the 1986 Act or the 1986 Rules.
30. There is one more aspect which is required to be noted. As per
    paragraph 14 of the 2017 notification, provision for grant of ex post
    facto EC was made only in relation to projects or activities which
    were in violation as of 14th March 2017. Therefore, grant of ex post
    facto clearance was not permitted under 2017 notification for the
    projects and activities which were commenced or continued after
    14th March 2017. The window which was initially for a period of six
    months was eventually extended till completion of 30 days from 14th
    March 2018. Therefore, the 2021 OM is brought in to do something
    which was not permissible under the 2017 notification, the law laid
    down by this Court, and the solemn undertaking given by the Central
    Government to the Madras High Court. We must deprecate such
    effort on the part of the Central Government.
31. The EIA notification is of 14th September 2006. When the 2021
    OM was issued, it was nearly 15 years old. Therefore, all project
    proponents were fully aware of the stringent requirements under the
    EIA notification. The 2021 OM seeks to protect the violations of the
    EIA notification which have taken place or continue to take place
    15 years after the EIA notification came into force. Thus, the 2021
    OM seeks to protect violators who have acted with full knowledge
    of consequences of violating the EIA notification. Those who violate
    the law regarding obtaining prior EC are not only committing gross
    illegality, but they are acting against the society at large. The violation
    of the condition of obtaining prior EC must be dealt with heavy hands.
    In environmental matters, the Courts must take a very strict view of
    the violations of the laws relating to the environment. It is the duty
    of the Constitutional Courts to do so.
2646                                                        [2025] 5 S.C.R.

                         Supreme Court Reports


32. Under Article 21 of the Constitution of India, the right to live in
    a pollution free environment is guaranteed. In fact, the 1986 Act
    has been enacted to give effect to this fundamental right. In 1977,
    fundamental duties of all citizens were incorporated in the Constitution
    which enjoined every citizen of India to protect and improve the
    environment as provided in clause (g) of Article 51A. Therefore,
    even the Central Government has a duty to protect and improve
    the natural environment.
33. Today, in the year 2025, we have been experiencing the drastic
    consequences of large-scale destruction of environment on human
    lives in the capital city of our country and in many other cities. At
    least for a span of two months every year, the residents of Delhi
    suffocate due to air pollution. The AQI level is either dangerous or
    very dangerous. They suffer in their health. The other leading cities
    are not far behind. The air and water pollution in the cities is ever
    increasing. Therefore, coming out with measures such as the 2021
    OM is violative of fundamental rights of all persons guaranteed under
    Article 21 to live in a pollution free environment. It also infringes the
    right to health guaranteed under Article 21 of the Constitution.
34. The 2021 OM talks about the concept of development. Can there
    be development at the cost of environment? Conservation of
    environment and its improvement is an essential part of the concept
    of development. Therefore, going out of the way by issuing such
    OMs to protect those who have caused harm to the environment
    has to be deprecated by the Courts which are under a constitutional
    and statutory mandate to uphold the fundamental right under Article
    21 and to protect the environment. In fact, the Courts should come
    down heavily on such attempts. As stated earlier, the 2021 OM deals
    with project proponents who were fully aware of the EIA notification
    and who have taken conscious risk to flout the EIA notification
    and go ahead with the construction/continuation/expansion of
    projects. They have shown scant respect to the law and their duty
    to protect the environment. Apart from violation of Article 21, such
    action is completely arbitrary which is violative of Article 14 of the
    Constitution of India besides being violative of the 1986 Act and
    the EIA notification.
35. We are, however, conscious of the fact that ex post facto EC may
    have been granted in certain cases both under the 2017 notification
[2025] 5 S.C.R.                                                          2647

                           Vanashakti v. Union of India


     and the 2021 OM. ECs already granted under 2017 notification and
     the 2021 OM, at this stage, should not be disturbed.
36. Hence, we pass the following order:
     a)       We hold that the 2017 notification and the 2021 OM as well
              as all circulars/orders/OMs/notifications issued for giving effect
              to these notifications are illegal and are hereby struck down;
     b)       We restrain the Central Government from issuing circulars/
              orders/OMs/notifications providing for grant of ex post facto
              EC in any form or manner or for regularising the acts done in
              contravention of the EIA notification;
     c)       We clarify that the ECs already granted till date under the 2017
              notification and the 2021 OM shall, however, remain unaffected.
37. The writ petitions and civil appeals are accordingly allowed on the
    above terms.

     Result of the case: Writ Petitions and Civil Appeals allowed.




     †
         Headnotes prepared by: Harshit Anand, Hony. Associate Editor
                                 (Verified by: Shibani Ghosh, Adv.)


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VANASHAKTI versus UNION OF INDIA — 2025 INSC 718 - Legal Desk AI