"Environmental clearance doesn't need to be renewed if..," says Bombay HC

In latest hearing in the case on Tuesday, September 4, the panel of the Bombay Hight Court (HC) instructed Vasai Virar City Municipal Corporation (VVCMC) to take into consideration applications submitted by Ace Property Developers, Shree Swastick Builder, Kailas Developers, and Sunshine Developers for OC without a new or renewed environmental clearance (EC).

This development came after its previous hearing held on August 24 where the court had ruled that EC received for construction projects does not need to be renewed at any later stage. This decision overturns an order issued by the VVCMC on December 10, 2021.

In December 2021, VVCMC rejected Cosmos Prime Projects Ltd.'s requests for an occupancy certificate (OC) for three of their projects in Virar West. These projects are Cosmos Legend, Cosmos Solitaire, and Cosmos Regency. In response to this, Cosmos Prime Projects moved to the high court.

A division bench of justices Gautam Patel and Kamal Khata gave the go-ahead to the requests for OC for the projects without the renewal of the EC.

The court asserted, "The Vasai Virar City Municipal Corporation (VVCMC) seems to be under the impression that it can make the same untenable demand from every developer by insisting on a revalidation or something like a revalidation of an environmental clearance already obtained. Without it, the VVCMC will not process an occupancy certificate application."

The judges noted that in March 2023, another division bench had determined that this demand by the VVCMC in the Velson Developers case was illegal. That bench had asked the civic body to change its position about the new EC at the time the project was finished. Later, the developer's OC was issued.

Justice Patel made the conclusion that once an EC was acquired, it did not need to be renewed at a later stage of project completion. This is because an EC is given at the project proposal stage. According to the bench, no idea of an ongoing cycle of environmental clearances exists.

However, a "Consent to Operate" from the Maharashtra Pollution Control Board (MPCB) may need to be renewed on a recurring basis. "Once that is done, the VVCMC, or any other civic body, cannot insist on a 'renewal' of the environmental clearance," the bench said.

It was made clear that MPCB authorization is necessary for operating solid waste and sewerage treatment facilities. The adherence to criteria laid down at the time of EC is ensured by periodic renewals of "Consent to Operate".