Projects below Rs 100 cr now don't need EIA nod

NEW DELHI: In a move that would benefit a wide range of industries, the Centre has effected a change in the Environmental Impact Assessment notification ’94 which raises the investment limit for new projects from Rs 50 crore to Rs 100 crore.
This means those investing below Rs 100 crore need not seek EIA clearance. The ministry of environment and forests has identified some 16 categories of industries for the relaxation.
Says an industry source: ‘’There were two categories of industry under the EIA — one where investment was not a criterion and the second where a relaxation was given to huge projects. Now, considering the cost escalation, this relaxation limit seems to have been raised.’’
While that may sound like sweet music to industries, environmentalists are aghast over the implications as these categories are not devoid of ‘’pollution potential’’.
Nuclear power and heavy water plants, river valley projects, including hydel power and major irrigation, ports, harbours and airports (not minor ones), petroleum refineries, including crude and product pipelines, chemical fertilisers, petrochemical complexes (olefinic and aromatic), exploration for oil, gas — their production, transportation and storage — synthetic rubber, primary metallurgical industries (like iron, steel, aluminium, copper zinc, lead and ferro alloys), chloralkali, viscose staple fibre and filament yarn, storage batteries, thermal power plants, highway projects, pulp, paper and newsprint and cement are all likely to benefit.
Similarly, all units in these categories that wish to expand or modernise at a project cost of less than Rs 50 crore would also be exempted from environmental clearance.
Says a ministry source: ‘’We wanted to make the process simpler and quicker. Also, several safeguards are being taken at the state level and institutional level and there is no need to duplicate the process.’’Significantly, the manufacture of bulk drugs and pharmaceuticals based on genetic engineering techniques and modernisation projects in irrigation (where additional command area is less than 10,000 ha or the project cost is less than Rs 100 crore) have also been exempted from EIA clearance.
While laying of pipelines (usually seen in oil and gas industries) has been exempted from preparation of an EIA report, environment management policy, including risk management, would be required. However, there is some confusion on how public hearings mandated in every district for both pipelines and highway projects would be possible if there is no need for an EIA report in the first place.
Public hearings for EIA in the case of SSI industries located in designated industrial estates, export processing zones, special economic zones and mining projects with lease area less than 25 ha have been dispensed with. A time limit of 60 days has been prescribed for completion of all public hearings.