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Environmental Clearance License in India

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Environmental Clearance Process in India - Benefits, Fees, Procedure and Documents

Environmental Clearance (EC) is required for project proponents before commencing work on projects listed in the Environmental Impact Assessment (EIA) Notification, 2006. Environmental Clearance Certificate guarantees that all operations meet environmental safety standards while promoting sustainable growth. An Environmental Clearance certificate is required before beginning any on-site work, including land preparation. Environmental Clearance helps protect public health, maintain ecological balance, and avoid negative environmental impacts. Professional Utilities offers services to businesses to acquire Environmental Clearance Certificate efficiently and on time, assuring complete compliance with government laws.

Overview

What is Environmental Clearance Certificate?

Environmental Clearance is a government certificate that allows for project development while assuring compliance with environmental standards. Environmental Clearance certificate evaluates a project’s environmental, social, and economic impacts and recommends mitigation strategies to reduce negative impacts.

The Ministry of Environment, Forest, and Climate Change (MoEF&CC) caters to the Environmental Clearance licence for projects designated as Category A, which have higher environmental hazards and require central-level evaluation. At the state level, the State Environmental Impact Assessment Authority (SEIAA) regulates projects classified as Category B, which have a relatively modest environmental impact.

Benefits of Environmental Clearance

Environmental clearance licence offers several benefits for project developers, stakeholders, and the environment, including sustainable development and regulatory compliance.

  • Environmental Sustainability: Environmental Clearance protects natural resources, biodiversity, and ecosystems by imposing actions to reduce environmental harm. It encourages sustainable methods that maintain long-term ecological balance while still promoting economic development.
  • Public Health: Environmental Clearance protects public health by reducing pollutants and environmental health hazards benefiting nearby populations by improving overall air, water, and soil quality, resulting in a healthier living environment.
  • Stakeholder Engagement: Environmental Clearance licence promotes transparency via obligatory public consultations and allows stakeholders to express their concerns, ensuring that project developers handle environmental and social issues properly, and promoting trust and cooperation.
  • Regulatory Compliance: Obtaining Environmental Clearance guarantees that projects comply with national and state environmental rules and prevents penalties, legal actions, and project delays, resulting in a smoother project execution.
  • Global Recognition: Environmental Clearance projects adhere to international environmental guidelines and sustainable development goals. This improves global competitiveness, increases market opportunities, and displays a commitment to corporate social responsibility.

Projects are classified as Category A and Category B, based on their scale and environmental sensitivity.

To obtain CEIG approval for high-voltage electrical installations, the following documents must be submitted along with the application:

  • Category A:
    • It is regulated by the Expert Appraisal Committee (EAC) under MoEF&CC.
    • It includes large-scale projects such as thermal power plants, major mining operations, and ports.
  • Category B:
    • It is supervised by SEIAA, with recommendations from the State Expert Appraisal Committee (SEAC).
    • It is further divided into:
      • B1: Requires detailed EIA reports.
      • B2: Exempted from EIA but still needs compliance with environmental norms.

Note: Projects near sensitive areas are treated as Category A, even if they fall under Category B.

List of Projects Requiring Environmental Clearance Certificate

An Environmental Clearance certificate to operate is required by specific industrial, infrastructure, and construction projects. A list of projects requiring Environmental Clearance licence is given below:

CategoryProject
Mining, Extraction of Natural Resources, and Power Generation
  • Mining of minerals, including coal and iron ore
  • Oil and gas exploration, development, and production
  • River valley projects
  • Thermal power plants
  • Nuclear power projects
Primary Processing
  • Coal washeries
  • Mineral beneficiation
Materials Production
  • Metallurgical industries (ferrous and non-ferrous)
  • Cement manufacturing units
Materials Processing
  • Petroleum refining industry
  • Coke oven plants
  • Asbestos milling and asbestos-based product manufacturing
  • Chlor-alkali and soda ash industries
  • Leather, skin, and hide processing industries
Construction, Area Development Projects, and Townships
  • Building and construction projects exceeding specified area thresholds
  • Townships and area development projects
Manufacturing and Fabrication
  • Chemical fertilizer production units
  • Pesticides industry and pesticide-specific intermediates
  • Petrochemical complexes and petrochemical-based processing
  • Manmade fibre manufacturing
  • Synthetic organic chemical industries
  • Distilleries and integrated paint industries
  • Pulp and paper manufacturing
  • Sugar industries
  • Induction, arc, and cupola furnaces
Service Sectors
  • Oil and gas transportation pipelines
  • Storage and handling of hazardous chemicals
  • Special Economic Zones (SEZs)
  • Industrial estates and parks
  • Biotech parks and leather complexes
Physical Infrastructure and Environmental Services
  • Airports
  • Ship-breaking yards and units
  • Ports and harbors
  • Highways and expressways
  • Aerial ropeways
  • Common Effluent Treatment Plants (CETPs)
  • Municipal Solid Waste Management Facilities (CMSWMF)

Documents Required for Environmental Clearance

To begin the Environmental Clearance process, project proponents are required to provide several documents to assure compliance with environmental standards. Below is a list of required documents for the Environmental Clearance procedure:

  • Covering Letter
  • Terms of Reference (ToR) or Previous EC and Certified Compliance (if applicable)
  • Form 1, Form 1A, or Other Requisite Forms
  • Land Ownership Documents
  • Land Use Documents with Approval
  • Environment Management Plan (EMP)
  • Pre-Feasibility Report and Conceptual Plan
  • Environmental Impact Assessment (EIA) Report and Compliance with ToR
  • Risk Assessment Report
  • Brief Project Summary
  • GPS File (KML Format)
  • Location Details Relative to Important Features
  • Environment Consultant Details
  • Details of Project Proponent with Undertaking
  • Layout and Building Plan with Site Plan and Tree Mapping (Approved)
  • Traffic Management Plan
  • Application Copy for Wildlife Clearance (if applicable)
  • Previous EC Letter (for Expansion, Modification, or Amendment)
  • Ground Water Details
  • Local Body Approvals

For construction projects, additional documents related to energy conservation, air quality, and waste management are necessary.

Application for Environmental Clearance

The Environmental Clearance process includes several steps, managed by the Expert Appraisal Committee (EAC) at the central level and the State Expert Appraisal Committee (SEAC) at the state level, based on the project category. Step-by-step Environmental Clearance procedure is given below:

Step 1 – Application for Environmental Clearance

  • The project proponent may fill out Form 1, along with Form 1A if applicable, and submit all required documents. Projects in categories 1 to 7 must submit a Pre-Feasibility Report, while projects in category 8 must give a Conceptual Plan.

Step 2 – Application Screening

  • The Appraisal Committee examines the application, which applies to Category B projects only, to determine whether the project requires an Environmental Impact Assessment (EIA). If an EIA is required, the project is classed as Category B1; otherwise, it is classified as Category B2, without the need for thorough environmental evaluations.

Step 3 – Application Scoping

  • The proposed Terms of Reference (ToR) that outline the scope of the environmental studies, are reviewed by the Expert Appraisal Committee (EAC). A site visit may be conducted if necessary. The applicant is notified of the outcome within 60 days if the application is denied.

Step 4 – Public Consultation

  • The State Pollution Control Board (SPCB) or Pollution Control Committee (PCC) organizes a public hearing and written responses for the impacted community to provide feedback during public consultation. The time frame is extended by an additional 45 days if the SPCB does not hold the hearing within that time frame. Before submitting the final documents, the applicant must address the issues brought up during this phase and make revisions to the EIA and Environmental Management Plan (EMP).

Step 5 – Appraisal by the Expert Appraisal Committee

  • The application, the EIA, outcomes of the public consultation, and all submitted documents are examined by the Expert Appraisal Committee. After submission of the final Environmental Assessment Report, the committee has 60 days to make a decision.

Step 6 – Grant of Environmental Clearance Certificate

  • Following the recommendations made by the EAC or SEAC, the applicant is informed of the regulating authority’s decision by the State Environment Impact Assessment Authority (SEIAA) or the Ministry of Environment, Forests, and Climate Change (MoEFCC). After obtaining the recommendations, the Environmental clearance certificate is issued within 45 days.

Environmental Impact Assessment (EIA)

Environmental Impact Assessment (EIA) is a critical component of the Environmental Clearance process, predicting potential impacts and proposing mitigating strategies. The Environmental Impact Assessment includes:

  • Air, water, and soil quality.
  • Biodiversity and vegetation.
  • Noise pollution and aesthetic impacts.
  • Socio-economic aspects and resettlement plans.

Environmental Clearance for Expansion or Modernization

Any expansion in project capacity, area, or technology update has to be done through a new application for Environmental Clearance licence. This ensures that updated environmental standards are consistently met.

Environmental Clearance Validity

An Environmental Clearance in India has a validity ranging from 5 to 30 years, depending on the type of project. Construction projects have a shorter validity period, while large infrastructure and mining projects may have a longer duration. The standard validity periods of Environmental Clearance certificate are:

  • Mining projects: 30 years
  • River valley projects: 10 years
  • All other projects and activities: 5 years

It is important for project proponents to comply with the terms of the Environmental Clearance during its validity period in order to maintain compliance with environmental regulations.

Environmental Clearance Renewal

To extend the validity, submit a renewal application for Environmental Clearance (EC) before the validity has expired. The application must include updated project information, compliance reports, and, if applicable, public hearing records. Authorities will review these submissions to confirm adherence to environmental standards before granting an extension. Missing renewal deadlines may lead to project delays and legal penalties. For construction projects, the project proponent must submit an amended application using Form 1 and additional Form 1A. After consultation with the Expert Appraisal Committee (EAC), the regulating authority may extend the Environmental Clearance validity. However, this consultation is optional and depends on the authority’s discretion.

Conclusion

Environmental Clearance (EC) is a government-certificate that assures project development is consistent with environmental sustainability and regulatory compliance. Environmental clearance licence protects public health, conserves natural resources, and reduces environmental hazards. Obtaining an Environmental Clearance certificate improves project viability, avoids legal complexities, and builds stakeholder trust through public participation. With clear rules for project categories, required documents, and procedural steps, Environmental Clearance promotes responsible industrial and infrastructure growth in India. Professional Utilities simplifies the Environmental Clearance application process by offering expert consultation and compliance assurance to ensure speedy acquisition.