The Supreme Court has simplified industrial approval processes within the Taj Trapezium Zone, allowing over 400 applications to move forward without mandatory court leave. Additionally, the court cleared Maharashtra State Power Generation Company Limited to resume coal mining at its Gare Palma site in Chhattisgarh, provided the National Green Tribunal oversees fresh public consultations.
The Supreme Court has issued a significant order streamlining regulatory hurdles for industrial projects within the Taj Trapezium Zone (TTZ). By modifying its October 2024 directive, the court has allowed the Trapezium Zone Authority to process more than 400 pending applications for new, expanding, or relocating industries without seeking prior court permission for every case.
Under the new framework, the approval process requires the presence of expert representatives from the Central Empowered Committee (CEC) and the National Environmental Engineering Research Institute (NEERI). If both the experts and the TTZ Authority agree that a project is non-polluting, the industry can proceed. However, if the expert panel identifies a project as potentially polluting, the company must still approach the court for clearance. To ensure transparency, the authority must publish all decisions on the CEC website, where they will remain subject to public objections and potential judicial review.
In a separate development impacting the energy sector, the Supreme Court provided relief to Maharashtra State Power Generation Company Limited (MAHAGENCO) regarding its Gare Palma, Sector-II coal mining project in Chhattisgarh. The ruling sets aside a January 2024 order by the National Green Tribunal (NGT) that had previously canceled the company's environmental clearance. While the court acknowledged that a fresh public consultation was necessary, it allowed mining operations to continue. The NGT’s Bhopal office has been tasked with monitoring the new public consultation process to ensure compliance with environmental standards.
Separately, the court has directed the CEC to review applications from the National Highways Authority of India (NHAI) and the Uttar Pradesh Public Works Department regarding the removal of thousands of trees for infrastructure projects within the TTZ. Furthermore, the court reopened a 2016 case concerning forest fire management in Uttarakhand, directing the local High Court to re-examine the issue. The apex court noted that while many previous directives were implemented, the recurring nature of these fires and concerns regarding management practices necessitate ongoing oversight.
For investors and companies operating in these regions, the primary monitorable will be the outcome of the public consultation process for the Gare Palma mining site and the finalization of the TTZ vision document. These developments are critical for assessing the long-term operational timelines and potential regulatory costs for projects situated in ecologically sensitive zones.
