In Brief
Electrosteel Steels Limited, an integrated steel plant operating in Jharkhand with 1,000 employees, had shifted its site by 5.3 km from its originally authorized location without seeking prior environmental clearance, violating EIA regulations. When the Jharkhand High Court discontinued interim orders permitting its operation, the Supreme Court intervened. The Court held that while environmental compliance is non-negotiable, the principle of proportionality requires balancing environmental imperatives against the economic consequences of shutting down a compliant, operating facility. The Court allowed the appeal, directing the Ministry to reconsider the revised environmental clearance application strictly in accordance with norms, while clarifying that future penalties for past violations remain available under the 'polluter pays' principle.
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