In Brief
The Supreme Court upheld the National Green Tribunal's order allowing a cold rolled stainless steel manufacturing unit to operate for one year to obtain Environmental Clearance, despite lacking prior clearance. The unit, established with state pollution board approvals, had invested ₹1,100 crores and exported significantly. Though the EIA notification technically required prior clearance, the Court found that 1,689 similar units nationwide had been built based on the same interpretation, indicating genuine regulatory ambiguity. The Court held that ex post facto clearance cannot be denied with rigid formality when substantial economic consequences result and the unit was set up under statutory authority approvals. The closure order was quashed, allowing compliance within a government-mandated timeframe."
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