Supreme Court Modifies NGT Order on Water Use from Forest Land Diversion for Drinking Water Purposes. The court held that water drawn from forest land diverted for drinking water cannot be used for industrial purposes without specific clearance, and directed the District Collector to monitor surplus water allocation pending MoEF&CC decision.

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Case Note & Summary

The Supreme Court of India heard a batch of civil appeals arising from an order of the National Green Tribunal (NGT) dated 28 November 2018. The dispute concerned the use of water drawn from an intake well constructed on forest land diverted for drinking water purposes. The Government of India, through the Ministry of Environment and Forests (MoEF), had issued guidelines on 15 June 2004 under the Forest (Conservation) Act, 1980, delegating to state governments the authority to permit diversion of forest land up to one hectare for specified public utility projects, including drinking water. On 7 March 2008, the Government of Tamil Nadu approved the diversion of 0.055 hectares of forest land in Srivaigundam Village for construction of an intake well by the Tamil Nadu Water Supply and Drainage Board (TWAD Board) for drinking water purposes. The first respondent, S. Joel, filed a complaint before the NGT alleging that TWAD Board was permitting the use of water for industrial purposes instead of confining it to drinking water. The MoEF&CC submitted that if the proposal involved both drinking water and industrial purposes, it would not fall under the general approval category and required specific clearance. TWAD Board informed the NGT that it had moved the state government to approach MoEF&CC for clearance to use the area for both purposes. The NGT directed TWAD Board to prohibit the use of water for industrial purposes, clarifying that drinking water supply to housing colonies, schools, and hospitals was not prohibited. The NGT had earlier passed interim orders on 31 May 2017 and 7 July 2017, the latter allowing continuation of the pre-existing situation subject to scrutiny and ensuring sufficient drinking water. The Supreme Court, on 11 January 2019, stayed the NGT's order insofar as it affected the Tuticorin Thermal Power Plant, subject to drinking water needs being fully met, and directed TWAD Board to file an affidavit on water availability. TWAD Board filed an affidavit on 31 January 2019 indicating that even after meeting drinking water requirements, surplus water was available for industrial use. The court noted that the state government and MoEF&CC consistently maintained that the 2008 approval was only for drinking water, and any industrial use required separate clearance. The court rejected the appellants' argument that the permission did not prohibit industrial use. The court observed that TWAD Board had moved the state government for clearance from MoEF&CC for industrial use, but the proposal was pending. Considering the affidavit and submissions, the court held that it was necessary to put in place an administrative mechanism to ensure that decisions to release water for industrial purposes are monitored by the District Collector, who shall verify data and ensure that drinking water and irrigation needs are not compromised. The court directed that within a period of two weeks, the District Collector shall assess the water situation and decide on the release of surplus water for industrial purposes, pending the final decision of MoEF&CC on TWAD Board's proposal. The appeals were disposed of accordingly.

Headnote

A) Environmental Law - Forest Conservation - Diversion of Forest Land - Sections 2, 3 Forest (Conservation) Act, 1980 - General Approval Guidelines - The Government of India delegated authority to state governments to permit diversion of forest land up to one hectare for specified public utility projects, including drinking water. The State Government's approval on 7 March 2008 for diversion of 0.055 hectares for an intake well was solely for drinking water purposes. The court held that the permission did not extend to industrial use, and any change in purpose requires prior clearance from MoEF&CC (Paras 3-4, 18).

B) Environmental Law - Water Management - Priority of Drinking Water - The court directed that drinking water needs must be fully met before any surplus water can be allocated for industrial purposes. An administrative mechanism was put in place requiring the District Collector to verify data and ensure that drinking water and irrigation needs are not compromised (Paras 20-21).

C) Environmental Law - Interim Orders - Modification of Tribunal's Order - The Supreme Court modified the NGT's blanket stay on industrial use of water, allowing release of surplus water for industrial purposes subject to drinking water needs being fully met and pending MoEF&CC clearance. The court also directed the TWAD Board to pursue its proposal for clearance (Paras 12, 19, 21).

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Issue of Consideration

Whether water drawn from forest land diverted for drinking water purposes can be used for industrial purposes, and whether the NGT's blanket prohibition on industrial use should be modified pending clearance from MoEF&CC.

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Final Decision

The Supreme Court directed that within two weeks, the District Collector shall assess the water situation and decide on the release of surplus water for industrial purposes, ensuring that drinking water and irrigation needs are not compromised. The appeals were disposed of with this direction, pending the final decision of MoEF&CC on TWAD Board's proposal.

Law Points

  • Forest Conservation Act
  • 1980
  • General approval guidelines
  • Diversion of forest land for non-forest purposes
  • Public utility projects
  • Drinking water priority
  • Industrial use of water
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Case Details

2019 LawText (SC) (2) 172

Civil Appeal No.11935 of 2018

2019-02-11

Shri Ranjit Kumar, Shri Huzefa Ahmadi, Ms. Anitha Shenoy

M/s. Southern Petrochemical Industries Corpn. Ltd.

S. Joel & Ors.

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Nature of Litigation

Civil appeals against an order of the National Green Tribunal prohibiting the use of water drawn from forest land for industrial purposes.

Remedy Sought

The appellants sought modification of the NGT's order to allow use of surplus water for industrial purposes, pending clearance from MoEF&CC.

Filing Reason

The first respondent complained that TWAD Board was using water from a forest land diversion for industrial purposes instead of only drinking water as approved.

Previous Decisions

The NGT on 28 November 2018 directed TWAD Board to prohibit industrial use of water, subject to drinking water supply. The Supreme Court on 11 January 2019 stayed the order for Tuticorin Thermal Power Plant and directed TWAD Board to file an affidavit on water availability.

Issues

Whether the water drawn from forest land diverted for drinking water purposes can be used for industrial purposes without specific clearance from MoEF&CC. Whether the NGT's blanket prohibition on industrial use should be modified pending the clearance process.

Submissions/Arguments

Appellants argued that the 2008 permission did not contain a prohibition on industrial use and that surplus water is available after meeting drinking needs. First respondent argued that rainfall data shows scarcity conditions and that the NGT's order should not be modified.

Ratio Decidendi

The diversion of forest land for drinking water purposes under the general approval guidelines does not permit industrial use; any change in purpose requires prior clearance from MoEF&CC. However, pending such clearance, surplus water may be released for industrial purposes subject to strict monitoring by the District Collector to ensure drinking water and irrigation needs are fully met.

Judgment Excerpts

The guidelines delegate to the state governments the authority to permit diversion of forest land up to one hectare for the purpose of government departments for public utility purposes. Both before the Tribunal as well as before this Court, the consistent position of the State Government as well as of MoEF&CC has been that Government of India delegated its authority under the Forest Conservation Act, 1980 to the states to grant a diversion of forest land upto one hectare and for specified projects of a public utility. Among them is drinking water. In our view, it would be necessary for this Court to put in place an administrative mechanism that would ensure that a decision to release water for industrial purposes is monitored by the Collector of the District who shall conduct a due verification of the data which is available with the TWAD Board.

Procedural History

The first respondent filed a complaint before the National Green Tribunal (NGT) alleging misuse of water from forest land diversion. The NGT passed interim orders on 31 May 2017 and 7 July 2017, and finally on 28 November 2018 prohibited industrial use. Appeals were filed in the Supreme Court, which on 11 January 2019 stayed the order for Tuticorin Thermal Power Plant and sought affidavits. After hearing, the Supreme Court disposed of the appeals on 11 February 2019 with directions.

Acts & Sections

  • Forest (Conservation) Act, 1980: 2, 3
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