Supreme Court Quashes NGT Orders for Abdication of Jurisdiction and Violation of Natural Justice in Petrol Pump Establishment Dispute. NGT Erred by Delegating Adjudicatory Functions to Committee and Disposing Execution Petition Without Notice, Contrary to Sections 14, 15, and 19(1) of National Green Tribunal Act, 2010.

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Case Note & Summary

The dispute arose from the proposed establishment of a petrol pump by Indian Oil Corporation, which was challenged by the first respondent before the National Green Tribunal (NGT) alleging violations of Central Pollution Control Board (CPCB) guidelines issued in 2020. The guidelines required a minimum distance of 50 meters from schools, hospitals, and residential areas, with a relaxation to 30 meters possible with additional safety measures. The first respondent claimed the site was adjacent to a gas agency and play school, offending these criteria. The NGT, in its first order dated 25.09.2020, called for a report from a committee comprising CPCB, State Pollution Control Board, and State Environment Impact Assessment Authority, Uttarakhand. The committee reported that the petrol pump could be established as the area was commercial, but the NGT nonetheless directed the committee to take a final decision, keeping No Objection Certificates in abeyance. Later, the first respondent filed an execution petition under Section 25 of the NGT Act, and the NGT, by order dated 11.11.2022, disposed of it on the admission date without notice to respondents, directing the District Magistrate to ensure compliance. The appellants argued that all statutory compliances were met, the play school was non-operational, the only nearby residence belonged to the appellants' husbands, and there was no high-tension wire, while the first respondent's locus standi was questionable. The Supreme Court examined precedents including Sanghar Zuber Ismail v. Union of India, Kantha Vibhag Yuva Koli Samaj Parivartan Trust & Ors. v. State of Gujarat & Ors., and Singrauli Super Thermal Power Station v. Ashwani Kumar Dubey, which emphasized that the NGT, as an adjudicatory authority under Sections 14 and 15 of the NGT Act, cannot delegate its functions to committees and must adhere to principles of natural justice under Section 19(1). The Court found that the NGT abdicated its jurisdiction by entrusting decision-making to a committee and violated natural justice by disposing of the execution petition without notice. It also noted the first respondent's lack of locus standi and the NGT's application of the precautionary principle without evidence. Consequently, the Court quashed the NGT orders, restoring the matter for proper adjudication, highlighting the need for the NGT to decide on merits without undue delegation.

Headnote

A) Environmental Law - National Green Tribunal Jurisdiction - Abdication of Adjudicatory Functions - National Green Tribunal Act, 2010, Sections 14, 15, 19(1) - NGT disposed of application by directing a committee to decide on compliance with CPCB guidelines for petrol pump siting, despite committee report favoring establishment. Held that NGT cannot delegate its adjudicatory functions to committees; it must adjudicate on merits as mandated by the Act. (Paras 3, 10-14)

B) Environmental Law - National Green Tribunal Procedure - Violation of Natural Justice - National Green Tribunal Act, 2010, Section 19(1) - NGT disposed of execution petition on admission date without notice to respondents, directing compliance based on committee report. Held that NGT violated principles of natural justice, which are expressly mandated under the Act for fair adjudication. (Paras 5, 13-14)

C) Environmental Law - Locus Standi - Personal Grievance Requirement - National Green Tribunal Act, 2010 - First respondent filed petition alleging violation of CPCB guidelines for petrol pump near school and residential area, but could not establish residence in vicinity or personal grievance. Held that locus standi requires a perceivable grievance; mere busybody interference without personal stake is insufficient. (Paras 1, 7, 9)

D) Environmental Law - Precautionary Principle - Application Based on Evidence - Central Pollution Control Board Guidelines, 2020 - NGT applied precautionary principle to prevent environmental damage from petrol pump fumes without reference to studies, despite statutory clearances obtained. Held that precautionary principle must be applied based on evidence, not blanket assumptions, especially when guidelines provide for relaxations with safety measures. (Paras 2-3, 14)

Issue of Consideration: Whether the National Green Tribunal abdicated its adjudicatory jurisdiction by delegating decision-making to a committee and violated principles of natural justice in its orders regarding the establishment of a petrol pump.

Final Decision

Supreme Court quashed the NGT orders for abdication of jurisdiction and violation of natural justice, restoring the matter to NGT for proper adjudication on merits.

2026 LawText (SC) (03) 48

Civil Appeal No. 3042 of 2023 etc., With Civil Appeal Nos. 4991-4992 of 2024

2026-03-23

SANJAY KUMAR J. , K. VINOD CHANDRAN J.

2026 INSC 278

Mr. Neeraj Malhotra, Mr. Raghavendra P. Shankar, Sri. Siddhartha Iyer

Indian Oil Corporation Ltd.

Deepak Sharma and Ors.

Nature of Litigation: Appeal against NGT orders regarding establishment of petrol pump alleged to violate CPCB guidelines

Remedy Sought

Appellants seek quashing of NGT orders for abdication of jurisdiction and violation of natural justice

Filing Reason

First respondent filed application before NGT alleging illegal setting up of petrol pump offending CPCB guidelines

Previous Decisions

NGT order dated 25.09.2020 directed committee to decide, kept NOCs in abeyance; NGT order dated 11.11.2022 disposed execution petition without notice

Issues

Whether NGT abdicated its adjudicatory jurisdiction by delegating decision-making to committee Whether NGT violated principles of natural justice in its orders

Submissions/Arguments

Appellants argued all statutory compliances met, first respondent lacked locus standi, play school non-operational, only nearby residence belongs to appellants' husbands First respondent argued statutory authorities violated guidelines, appellants suppressed NGT order, third report not from NGT committee

Ratio Decidendi

NGT, as an adjudicatory authority under Sections 14 and 15 of NGT Act, cannot delegate its functions to committees and must adhere to principles of natural justice under Section 19(1); locus standi requires personal grievance.

Judgment Excerpts

This is a classic case of how a busy body stalled the commencement of a petrol pump The NGT having heard the parties first by order dated 25.09.2020 called for a report from a Committee The NGT relied on the precautionary principle found that such units could cause environmental damage The NGT disposed of the matter leaving the adjudicatory process to the Committee which has resulted in a stalemate

Procedural History

First respondent filed application before NGT; NGT order dated 25.09.2020 called for committee report; committee reported favorably; NGT directed committee to decide, kept NOCs in abeyance; first respondent filed execution petition under Section 25 NGT Act; NGT order dated 11.11.2022 disposed execution petition without notice; appeals filed in Supreme Court.

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