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Individual Units Exempted, Clarifies Environment Ministry

New Delhi: In a significant relief to industries and real estate developers, the Ministry of Environment, Forest and Climate Change (MoEFCC) has clarified that individual projects located inside an industrial estate or complex will no longer be required to obtain separate environmental clearance (EC)—provided the industrial complex itself has already received a valid environmental clearance.

The clarification was issued through a formal office memorandum to streamline regulatory procedures and eliminate duplication of approvals. “Those industrial complexes that produce similar products and those with a pre-defined set of activities which have already obtained environmental clearance will not require individual environment clearance for industries and even proposed industrial housing within such estates,” the ministry stated.

What Qualifies as ‘Pre-Defined Set of Activities’

The government has now clearly defined what constitutes a “pre-defined set of activities” for an industrial complex to qualify for this exemption. As per the memorandum, the following details must be included at the time of obtaining environmental clearance for the industrial estate:

• Categories of projects and activities proposed within the complex

• Pollution classification — Red, Orange, Green, Blue and White categories

• Details of common effluent treatment plants (ETPs)

• Comprehensive environmental assessment and pollution load evaluation

Once these details are assessed and approved under a single EC, individual industrial units inside the complex will not need to seek separate clearances.

No Fresh Environmental Clearance Needed If Pollution Load Does Not Increase

In another significant move to reduce regulatory burden, the ministry clarified that:

• No amendment in the environmental clearance will be required for an industrial estate or complex.

• If there is no increase in the pollution load of the estate or complex

This provision is expected to prevent unnecessary delays in the expansion or reconfiguration of industrial units operating within approved environmental limits.

Responsibility Fixed on Industrial Complex Developers

The ministry has placed legal responsibility squarely on the project proponent or developer of an industrial estate or complex. The developer will be obligated to:

• Construct a common infrastructure.

• Set up effluent treatment plants (ETPs)

• Develop a green belt.

• Complete all environmental safeguards within the stipulated time frame

This ensures that environmental compliance is enforced at the planning and infrastructure level itself.

Existing Industrial Estates to Seek Amended Clearance

For existing industrial estates, the ministry has made it mandatory to:

• Submit full details of operating units.

• Provide information on new projects proposed within the estate

Based on this information, the estates will be required to obtain an amended environmental clearance to ensure transparency and ecological accountability.

13 Categories of Small Industries Exempted from Environmental Clearance

In a significant boost to small manufacturing and MSME sectors, the ministry has also exempted 13 categories of industries from environmental clearance entirely. These include:

• Air cooler manufacturing

• Bicycle manufacturing

• Baby carriages

• Baling of waste paper

• Bio-fertilizer production

• Biscuit trays

• Blending/packing of tea

• Block making for printing

• Chalk making

• Compressed oxygen gas

• Cotton and woollen hosiery

• Diesel pump repairing

• Electric lamps, CFLs, and electrical & electronic items

These categories are now exempt from prior environmental clearance requirements, significantly easing compliance and encouraging entrepreneurship.

Industry Welcomes Clarity; Environmental Oversight to Continue at Estate Level

Industry bodies have welcomed the move, stating that it will bring regulatory certainty, faster project execution, and lower compliance costs. The government, however, has emphasised that environmental monitoring and pollution control will continue at the industrial estate level, ensuring that standards are not compromised.