If firm profits more from its scale, it has to bear more responsibility for environmental costs: Supreme Court
GS3Economy · S&T · Environment · Security· Environmental laws, EIA & institutions· Prelims + Mains·
Why in news
The Supreme Court upheld an NGT order imposing a ₹5 crore environmental compensation on builder Rhythm County for violating green norms in Pune.
Background
The Supreme Court upheld the National Green Tribunal's (NGT) order against Rhythm County for construction violations in Pune. The court ruled that firms with higher turnover and scale must bear greater responsibility for their environmental footprint.
Facts for Prelims
- BodyNational Green Tribunal (NGT): A specialized body for adjudication of environmental disputes.
- FactRhythm County was ordered to pay ₹5 crore in environmental compensation.
For Mains
Q. Discuss the principle of 'polluter pays' and the judicial reasoning behind scaling environmental compensation based on a firm's turnover and scale.
Dimensions to cover in your answer
- Regulatory enforcement: Difficulty in monitoring large-scale construction projects for environmental clearance compliance
- Judicial activism: Balancing corporate growth with the 'polluter pays' principle to internalize environmental externalities
Keywords: Polluter Pays Principle · Environmental Compensation · Green Norms · Judicial Oversight · Environmental Footprint
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