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Supreme Court stays recovery of Environmental Compensation imposed by NGT on thermal power plants for Non- achievement of 100% Fly Ash Utilisation

Supreme Court stays recovery of Environmental Compensation imposed by NGT on thermal power plants for Non- achievement of 100% Fly Ash Utilisation

 

Supreme Court on 08.09.2020 in a Civil Appeal filed by Association of Power Producers (APP) along with some of its members, has stayed the recovery of ‘Environmental Compensation’ imposed by the National Green Tribunal (NGT), for non-achievement of 100 % Fly Ash utilization and disposal by Thermal Power Plants (TPPs).

NGT vide its Order dated 12.02.2020, had imposed an ‘Environment Compensation’ on all TPPs who were unable to meet/achieve 100% Fly Ash Utilization in terms of Ministry of Environment & Forest & Climate Change notification dated 25.01.2016. NGT had taken a view that the cutoff date (31.12.2017), prescribed in the said notification is sacrosanct and all such projects who were not able to ensure/achieve 100% Fly Ash Utilization till such date, are liable to pay Environmental Compensation to the Central Pollution Control Board (CPCB). CPCB had issued en masse notices to various TPPs in India including members of APP demanding Environment Compensation.

APP and its members (including Essar, Sembcorp, DB Power, Adani Power Ltd. CP India Ltd. etc.) who were the original appellants before the Supreme Court as well as some intervening parties ( including Jaiprakash Power Ventures Limited, Sasan Power Limited, Hinduja National Power Corporation Limited, RKM Powergen Private Limited and ACB India Ltd.) had filed Civil Appeal/ Application challenging the Environmental Compensation levied by NGT.

In the hearing on 08.09.2020, the Supreme Court stayed the recovery of the Environmental Compensation from such projects, who had received notices of payment by CPCB. APP and its members including the Intervening Members were all represented by SKV Law Offices.

Please find link to Order here

SKV Law Offices Partner Shri Venkatesh along with colleagues Vikas Maini and Anant Singh were involved in strategizing, drafting the pleadings and contesting the matter on behalf of APP and its members.