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Case Commentary On Vanashakti V. Union Of India - A Judicial Blow To Post-Facto Environmental Clearance

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CASE COMMENTARY ON VANASHAKTI V. UNION OF

INDIA - A JUDICIAL BLOW TO POST-FACTO ENVIRONMENTAL CLEARANCE Aatheka Juhi T N, B.A. LL.B. (Hons), LL.M., [Environmental, Energy and Climate Change Law], Chennai Dr. Ambedkar Government Law College, Pudupakkam

ABSTRACT

This commentary examines the Supreme Court’s decision in Vanashakti v. Union of India, 2025 SCC OnLine SC 718, which struck down the 2017 Notification and 2021 SOP issued by the Ministry of Environment, Forest and Climate Change permitting post-facto environmental clearances. The Court reaffirmed that prior clearance is a mandatory safeguard, integral to the right to life under Article 21, and cannot be bypassed through administrative measures. By invoking principles such as the precautionary approach and polluter pays rule, the judgment underscored that violations cannot be legitimised retrospectively. Initiated as public interest litigation under Article 32, the case highlights the role of civil society in protecting environmental law and signals the Court’s strong stance on preventive governance in India.

Keywords: Article 21, EIA Notification, Environmental Clearance, Environmental Jurisprudence, Ex Post Facto I.

INTRODUCTION

The Supreme Court’s ruling in Vanashakti v. Union of India1 (2025) is one of the most consequential environmental decisions in recent years. It raised a fundamental question in environmental governance about whether violations of environmental laws during the setup and operation of industrial projects can be excused through later policy measures or whether thorough environmental assessment must always be conducted in advance as a mandatory requirement. At the heart of this case was the controversial practice of granting ex post facto environmental clearances which allow industrial and infrastructure projects to receive regulatory approval after operations have already begun. This idea of post-facto clearance was introduced as a way to deal with ongoing violations, but it raised serious concerns.

It allowed industries to begin construction or operations without following the rules and later seek approval to regularise their actions. Over time, this approach weakened the importance of environmental safeguards. Instead of focusing on prevention, it sent a message that violations could be corrected after the fact, making the law less effective. Critics pointed out that this weakened transparency, public participation and effective assessment, all of which are essential parts of the clearance process. Gradually, this practice made it seem as if adhering to environmental laws was a choice, not a requirement. Vanashakti, a Mumbai-based environmental NGO, challenged two instruments issued by the Ministry of Environment, Forest and Climate Change (MoEFCC): a Notification from 20172 and a Standard Operating Procedure (SOP) from 20213.

These documents allowed violators of the Environment Impact Assessment (EIA) Notification, 20064 to regularise their noncompliance and continue operations. In effect, this policy framework extended a legal shield to hundreds of projects across the country that had either knowingly or unknowingly bypassed the mandatory environmental clearance process, contributing to a broader pattern of regulatory evasion. The petitioner argued that these instruments undermined the foundational principles of environmental law in India, especially the idea that prevention, not cure, must drive regulatory design. 1Vanashakti v. Union of India, 2025 SCC OnLine SC 718. 2Ministry of Environment, Forest and Climate Change, Notification S. O. 804(E), Gazette of India, Feb. 14, 2017. 3MoEFCC, Standard Operating Procedure for Dealing with Violations of EIA Notification, O. M. No. 22-21/2020- IA.

III, July 7, 2021. 4EIA Notification, S. O. 1533(E), Gazette of India, Sept. 14, 2006.

The Supreme Court, in a 41-page judgment authored by Justice Abhay S. Oka and concurred by Justice Ujjal Bhuyan, struck down both instruments as ultra vires. The ruling restores the primacy of prior environmental clearance, reinforces Article 21’s environmental dimension5 and strengthens the rule of law in environmental governance. II.

BACKGROUND

AND LEGAL CONTEXT The Environment (Protection) Act, 19866 empowers the Central Government to frame rules for environmental regulation. The EIA Notification of 2006, issued under this Act, provides that specific categories of development projects such as mining, thermal power plants, and large infrastructure expansions are required to obtain environmental clearance in advance, before any work on the project begins. This clearance process is designed to assess likely environmental impacts, prescribe mitigation measures and ensure public consultation where applicable. Despite this, regulatory enforcement has been inconsistent. In 2017, the MoEFCC issued a Notification7 that allowed units which had started work without prior clearance to apply retrospectively. This was later supplemented in 2021 with an SOP8 that detailed the mechanism to process such applications.

It included provisions for environmental damage assessment, penalty payments and conditional clearances. The 2017 Notification(S. O. 804(E))9 issued by the Ministry of Environment, Forest and Climate Change was introduced as a limited-time window for those who had initiated projects without obtaining the required prior Environmental Clearance under the EIA Notification,

2006. It aimed to bring such violators into the regulatory fold by allowing them to

retrospectively apply for EC, provided they submitted an application within a stipulated period and fulfilled specified conditions. The Notification directed that the violators undergo an appraisal process by Expert Appraisal Committees and pay penalties for non-compliance. However, it did not offer any assurance of automatic approval. It merely opened a procedural route to bring earlier violations under the legal framework, based on the idea that it would help regulate them better. Critics raised concerns that such measures could legitimise ongoing

5 India Const. art. 21.

6 The Environment (Protection) Act, No. 29 of 1986 (India).

7MoEFCC Notification, supra note 3. 8MoEFCC SOP, supra note 4. 9MoEFCC Notification, supra note 3. violations and send a signal that bypassing environmental norms might be condoned through later approvals. To operationalise the 2017 framework, the 2021 Standard Operating Procedure (SOP)10was issued via Office Memorandum No. 22-21/2020-IA. III. The SOP prescribed a detailed procedure for handling violation cases. It laid down steps such as the preparation of an Environment Management Plan (EMP), assessment of ecological damage, determination of remediation costs, and imposition of penalties. Project proponents were required to submit a bank guarantee as a compliance mechanism. The SOP also introduced layered scrutiny through appraisal committees and stipulated that clearances would be conditional upon implementation of remedial measures.

Rather than acting as a deterrent, the SOP ended up normalizing postfacto approvals and turning them into a recurring administrative route. What started as a onetime exception under the 2017 Notification and was later reinforced by the 2021 SOP gradually began to look like a regular workaround. It gave the impression that skipping prior approval wouldn’t stop a project from getting clearance. Vanashakti filed a writ petition under Article 32 of the Constitution11, arguing that these measures were not only beyond the MoEFCC’s statutory powers but also violated fundamental environmental principles and constitutional rights. The challenge was heard by a two-judge bench and the Court reserved judgment in March 2024, ultimately delivering its verdict on May 16, 2025. III.

LEGAL ISSUES RAISED

The core issues raised before the Court are as follows:

1. Whether the 2017 Notification and 2021 SOP violated the mandatory requirement of prior

environmental clearance under the EIA Notification, 2006.

2. Whether permitting post-facto environmental clearance undermines the constitutional right

to a clean and healthy environment under Article 21.

3. Whether the policy framework contradicts key environmental law principles like the

10MoEFCC SOP, supra note 4. 11EIA Notification, supra note 5. precautionary principle and polluter pays principle.

4. Whether such administrative flexibility is legally permissible within the boundaries of the

Environment (Protection) Act, 1986. VI. SUMMARY OF ARGUMENTS A. Petitioner’s Arguments: The petitioner, Vanashakti, strongly contended that the 2017 Notification12 and the 2021 SOP13 violated the very foundation of environmental law in India. It was argued that the principle of prior environmental clearance under the EIA Notification, 2006, is not just a procedural step but a vital safeguard meant to prevent environmental damage before it occurs. Allowing postfacto clearances, they argued, rendered this requirement meaningless and incentivised illegal commencement of projects. Vanashakti also submitted that these instruments created a parallel pathway to regularise violations, thereby eroding public trust, bypassing public consultation, and weakening the deterrent effect of environmental regulation.

The petitioner further relied on Article 21 of the Constitution14, asserting that the right to a clean and healthy environment is a fundamental right. By enabling clearance after environmental harm had potentially already occurred, the state was allegedly compromising this right. The principles of precaution and sustainable development, affirmed by the Supreme Court in previous landmark rulings, were cited as being completely disregarded by the impugned instruments. B. Respondents’ Arguments: On the other hand, the Union of India defended the 2017 Notification15 and the 2021 SOP16 as necessary regulatory tools introduced in response to a real-world problem. It argued that numerous projects had inadvertently or otherwise begun without prior clearance, and it was neither feasible nor practical to shut them down en masse.

The respondents maintained that the framework was designed to bring such violators into compliance through a structured process 12MoEFCC Notification, supra note 3. 13MoEFCC SOP, supra note 4. 14India Const. art. 21. 15MoEFCC Notification, supra note 3. 16MoEFCC SOP, supra note 4. that included environmental impact assessment, damage assessment, and compensatory mechanisms. The government emphasised that the impugned measures were one-time relaxations aimed at balancing environmental concerns with economic and infrastructural realities. It contended that adequate safeguards were built into the SOP to prevent abuse and that regularising existing projects would ultimately ensure more oversight and compliance, rather than allowing them to operate outside the regulatory net. VII.

THE COURT’S REASONING AND JUDGMENT The Court began by reiterating that the 2006 EIA Notification requires prior environmental clearance as a legal pre-condition. It reviewed the language of the notification, specifically Clause 2, which prohibits any construction or operation of projects listed in the Schedule without prior EC. This requirement, according to the Court, is not procedural but substantive. As the Court emphasized, “Prior environmental clearance is not a procedural formality but a substantive safeguard against irreversible environmental harm. ”17 This reinforced the preventive purpose of environmental law and framed prior EC as an essential component of legal compliance, not an administrative detail. Justice Oka’s judgment dissects the post-facto clearance regime in detail. He highlights that retrospective clearance turns the entire regulatory logic on its head.

Rather than acting as a preventive tool to stop environmental harm before it occurs, post-facto approvals shift the focus to damage control after the fact, which is antithetical to the EIA’s purpose. In this context, the Court unequivocally observed that “The concept of ex post facto environmental clearance is completely alien to environmental jurisprudence and contrary to both the precautionary principle and sustainable development. ”18 This pronouncement underscores the Court’s rejection of regularizing environmental violations after the fact as a legitimate legal option. The Court further noted that the MoEFCC cannot override the parent notification (2006) by later notifications or SOPs. The 2017 Notification and 2021 SOP, in permitting post-facto ECs, were declared ultra vires the EIA Notification, 2006. Moreover, the Court found no statutory 17Vanashakti v.

Union of India, (2025) 8 SCC, at 18. 18Id . at 21, backing under the Environment (Protection) Act, 1986 to justify such instruments. On constitutional grounds, the Court anchored its reasoning in Article 21. Referring to earlier decisions like Subhash Kumar v. State of Bihar19 and M. C. Mehta v. Union of India20, it reaffirmed that the right to a clean and healthy environment is part of the right to life. Any dilution of the EIA framework, including through post-facto mechanisms, directly affects this right. The Court clearly stated that “Any dilution of the EIA framework, including through ex post facto clearances, poses a threat to the fundamental right to a clean environment under Article 21 of the Constitution. ”21This placed the issue not merely in the domain of regulatory compliance but within the scope of constitutional environmental protection.

The Court also invoked the precautionary principle and polluter pays principle, both of which are integral to Indian environmental jurisprudence as affirmed in Vellore Citizens Welfare Forum v. Union of India22. The Court’s decision also relied on key precedents that had previously rejected the idea of postfacto environmental clearance. It referred to Common Cause v. Union of India, where the Supreme Court observed that permitting ex post facto environmental clearance would defeat the very purpose of the environmental clearance process and encourage lawlessness23. Similarly, in Alembic Pharmaceuticals Ltd. v. Rohit Prajapati, the Court reaffirmed that postfacto clearances are contrary to both the precautionary principle and the doctrine of sustainable development24. The Court also referenced Puducherry Environment Protection Association v.

Union of India, where the Madras High Court, in its order dated 13 October 2017, recorded the Union Government’s categorical submission that the 2017 Notification allowing post-facto environmental clearances was only a “one-time measure. ” This assurance played a key role in the High Court’s decision to dispose of the petition. The Vanashakti Court highlighted this context to underscore that the retrospective clearance framework could not be allowed to evolve into an ongoing regulatory norm. 25 The Court held that the 2017 Notification and 2021 19India Const. art. 21; see alsoSubhash Kumar v. State of Bihar, (1991) 1 SCC 598. 20M. C. Mehta v. Union of India, (2004) 12 SCC 118. 21Vanashakti, at 37. 22Vellore Citizens’ Welfare Forum v. Union of India, (1996) 5 SCC 64. 23Common Cause v. Union of India, (2017) 9 SCC 499, at 523–24. 24Alembic Pharmaceuticals Ltd. v.

Rohit Prajapati, (2020) 17 SCC 157, at 165–66. 25Puducherry Environment Protection Association v. Union of India, Madras High Court, Writ Petition No. 1394 of 2017 (Order dated 13 Oct. 2017), cited in Vanashakti v. Union of India, 2025 SCC OnLine SC 718, at 4.

SOP, by seeking to regularise environmental violations retrospectively, violated these binding precedents and were therefore ultra vires. Despite declaring the instruments illegal, the Court allowed clearances already granted under the impugned Notification and SOP to remain valid. This prospective application was done in the interest of legal certainty and to avoid disruption of projects already in operation. The Court also examined the extension of time granted under the 2017 Notification, referring to Appaswamy Real Estates Ltd. v. Puducherry Environment Protection Ass’n. 26 While the Madras High Court allowed the MoEFCC to extend the deadline for applications through an Office Memorandum dated 16 March 2018,27 the Court made it clear that this did not amount to expanding the scope of the original notification.

Importantly, Paragraph 14 of the 2017 Notification, which stated that it applied only to projects already in violation as of 14 March 2017, remained unaltered. This meant that no project initiated after that date could benefit from the retrospective clearance mechanism, thereby preserving the notification’s limited and exceptional character. 28 VIII. SIGNIFICANCE OF THE JUDGMENT This verdict goes beyond legal reasoning. It strongly reasserts that complying with environmental norms is a fundamental duty under India’s regulatory framework. a) Reinforcement of EIA’s Preventive Character: The judgment powerfully reiterates that the EIA process, grounded in the precautionary principle, is intended to avert environmental harm before it occurs. The Court’s refusal to endorse retrospective regularization confirms that the process carries substantive legal and ecological weight.

This is underscored by the Court’s affirmation that “prior environmental clearance is not a procedural formality but a substantive safeguard against irreversible environmental harm. ”29 b) Curbing Administrative Overreach: By striking down the 2017 Notification and 2021 SOP, the Court delineated the boundary between administrative policy-making and statutory mandate. While the Ministry of Environment is the nodal authority, it cannot create 26Appaswamy Real Estates Ltd. v. Puducherry Env’t Prot. Ass’n, 2017 SCC OnLine Mad 7056, at 14. 27MoEFCC, O. M. No. Z-11013/22/2017-IA. II(M), Mar. 16, 2018. 28Vanashakti, at 21. 29Id, at 18. procedural workarounds that effectively bypass a binding legal process. c) Empowering Civil Society and PILs: This case exemplifies the vital role civil society organisations play in environmental governance.

Vanashakti, despite being a modestly resourced NGO, succeeded in bringing an important constitutional issue to the Supreme Court’s attention, highlighting the ongoing importance of public participation in environmental oversight. d) Eliminating Regulatory Loopholes: Had the impugned instruments remained, they would have legitimised a dangerous precedent where industries could commence operations without prior approval and seek regularisation later. The Court’s decision has firmly closed this loophole. e) Constitutional Embedding of EIA Norms: Perhaps most notably, the Court linked procedural compliance under EIA laws to the fundamental right to life under Article 21. This constitutional anchoring elevates the EIA process from a policy instrument to a rights-based safeguard.

The Court noted that “any dilution of the EIA framework, including through ex post facto clearances, poses a threat to the fundamental right to a clean environment under Article 21 of the Constitution. ”30 f) Continuation of Judicial Consistency: The Court reinforced a consistent line of environmental jurisprudence by relying on Common Cause31, Alembic Pharmaceuticals32 and the Puducherry Environment Protection Association33 case. Each of these cases rejected the notion that ex post facto environmental clearances could be normalised through policy mechanisms. In the Puducherry case34, the Madras High Court had explicitly recorded the Union Government’s assurance that the 2017 Notification was a one-time measure, not a recurring regulatory option.

By striking down the retrospective clearance framework, the Vanashakti35 Court reaffirmed that preventive safeguards are foundational to environmental law and cannot be diluted for administrative convenience. 30Id . at 37. 31Common Cause, supra note 24, at 524. 32Alembic Pharmaceuticals, supra note 25, at 165. 33Puducherry Environment Protection Association, supra note 26, at 4 34Id, at 4. 35Vanashakti, at 38-39 IX. CRITICAL APPRAISAL While the judgment in Vanashakti v. Union of India is legally firm and environmentally sound, its reasoning also invites deeper scrutiny. The Court rightly held that post-facto environmental clearances violate the core framework of the EIA Notification, 2006. But it’s also necessary to look at what led to the creation of such mechanisms in the first place. From a policy perspective, the 2017 Notification and 2021 SOP were not arbitrary inventions.

They emerged as a response to a regulatory crisis in which a significant number of industries had circumvented the environmental clearance process and had already commenced operations without the requisite approvals. This created a difficult dilemma for the government: either shut down these projects and face economic and legal fallout or find a way to bring them under regulation retrospectively. The instruments were, in that sense, a response to a practical governance problem, not a deliberate undermining of the law. The Supreme Court acknowledged this context but ultimately prioritized legal principle over administrative flexibility. This was a necessary step, particularly in the context of environmental law, where preventive action is foundational.

While the judgment takes a strong principled stance by insisting that the “prior environmental clearance is not a procedural formality but a substantive safeguard against irreversible environmental harm”36, it nonetheless leaves open important questions about how the state should address past violations. Moreover, the Court’s emphasis on the fixed temporal scope of the 2017 Notification reflects its intent to limit retrospective approvals to a narrowly defined class of violators. It noted that even when the deadline for applying was extended by the Madras High Court in Appaswamy Real Estates Ltd. v. Puducherry Environment Protection Association, the core condition— restricting eligibility to violations that existed before 14 March 2017—remained unchanged.

37 This shows that while limited administrative flexibility was permitted, the substantive framework of the EIA process was not diluted. By allowing previously granted post-facto clearances to remain valid, the Court carved out an exception that arguably undercuts its own reasoning. One could contend that it left space for ambiguity, rather than initiating a complete institutional reset. 36Id, at 18. 37Appaswamy Real Estates Ltd, supra note 27, at 14.

What’s also missing is a roadmap. The judgment doesn't provide clear directions on how future violations should be handled or how to build better enforcement to prevent such situations in the first place. It affirms the rule but leaves the repair work to the executive. What stands out is this tension between the need for strict legal accountability and the messy, real-world conditions that make enforcement difficult. The Court chose principle over pragmatism and that’s commendable. But unless that principle is followed by concrete reforms in how ECs are monitored, processed and enforced, we may find ourselves in the same loop again; where violations are so widespread that the law is forced to bend just to catch up. This case is a wake-up call, but must now be backed by institutional reforms that ensure such policy gaps do not recur. X. CONCLUDING REMARKS Vanashakti v.

Union of India draws a clear line between regulatory convenience and constitutional obligation. It makes one thing absolutely unambiguous that environmental approvals cannot be granted after the damage has already begun. The Supreme Court struck down the 2017 Notification and the 2021 SOP not just because they contradicted the language of the EIA Notification, 2006, but because they undermined the very idea that environmental scrutiny must happen before a project takes shape, not once it's already running. At the same time, the judgment doesn’t ignore why this problem arose in the first place. Over the years, a significant number of projects across sectors had begun operations without environmental clearance, either due to gaps in enforcement, ignorance or sometimes outright disregard for the law.

Faced with this growing backlog and the practical impossibility of halting every such project, the government’s attempt to bring them into compliance retrospectively might have seemed pragmatic. But the Court made it clear that such justifications, however reasonable they may sound on paper, cannot override the legal framework especially one rooted in Article 21, which protects the right to a clean and healthy environment. The ruling does more than just strike down a policy: it reasserts that environmental law in India is meant to prevent harm rather than to justify it after it has occurred. As the Court affirmed, “Environmental compliance is not a technical formality but a constitutional requirement grounded in the right to life under Article 21. ”38It reminds both the government and private 38Vanashakti, at 37.

actors that statutory safeguards aren’t meant to be bent around convenience. The Court cautioned that “the continuation of a regime permitting post-facto environmental clearance would render the entire regulatory framework illusory and devoid of deterrent value. ”39And it reaffirms that compliance is not a matter of negotiation but a constitutional duty rooted in environmental protection. In drawing a clear constitutional line, the Court has not only closed a legal loophole but has also reaffirmed the non-negotiable character of environmental justice in India. RELATED CASES:

1) Common Cause v. Union of India, (2017) 9 SCC 499 – Ruling that ex post facto

environmental clearances are alien to environmental jurisprudence

2) Alembic Pharmaceuticals Ltd. v. Rohit Prajapati, (2020) 17 SCC 157 – Reaffirming that

post-facto ECs conflict with the precautionary and sustainable development principles.

3) Vellore Citizens Welfare Forum v. Union of India, (1996) 5 SCC 647 – Recognized polluter

pays and precautionary principles as core environmental law doctrine.

4) Subhash Kumar v. State of Bihar, (1991) 1 SCC 598 – Acknowledged the right to a healthy

environment as part of Article 21

5) M.C. Mehta v. Union of India, (1987) 1 SCC 395 – Expanded Article 21 to include

environmental protection.

6) Electrosteel Steels Ltd. v. Union of India, (2007) 14 SCC 45 – Earlier precedent invalidating

post factum EC regime.

7) Puducherry Environment Protection Association v. Union of India, Madras High Court,

W.P. No. 1394 of 2017, decided on Oct. 13, 2017 – The Madras High Court recorded the Union of India’s assurance that the 2017 Notification was a one-time measure, reinforcing the limited and exceptional nature of post-facto clearances.

8) Appaswamy Real Estates Ltd. v. Puducherry Environment Protection Association, 2017

SCC OnLine Mad 7056 – The Madras High Court permitted an extension of time under the 39Id. at 29.

2017 Notification but maintained that it applied only to violations existing on the date of the

notification, reinforcing the limited scope of retrospective environmental clearances.

REFERENCES

[1] The Environment (Protection) Act, No. 29 of 1986, § 3, India Code (1986). [2] Ministry of Environment, Forest and Climate Change, Notification S. O. 1533(E), Gazette of India, Sept. 14, 2006. [3] Ministry of Environment, Forest and Climate Change, Notification S. O. 804(E), Gazette of India, Feb. 14, 2017. [4] MoEFCC, Standard Operating Procedure for Dealing with Violations of EIA Notification, O. M. No. 22-21/2020-IA. III, July 7, 2021. [5] MoEFCC, O. M. No. Z-11013/22/2017-IA. II(M), Mar. 16, 2018. [6] Vanashakti v. Union of India, 2025 SCC OnLine SC 718. [7] Subhash Kumar v. State of Bihar, (1991) 1 SCC 598. [8] M. C. Mehta v. Union of India, (1987) 1 SCC 395. [9] Vellore Citizens Welfare Forum v. Union of India, (1996) 5 SCC 647. [10] Common Cause v. Union of India, (2017) 9 SCC 499. [11] Alembic Pharmaceuticals Ltd. v. Rohit Prajapati, (2020) 17 SCC 157.

[12] Puducherry Environment Protection Association v. Union of India, Madras High Court, W. P. No. 1394 of 2017, decided on Oct. 13, 2017. [13] Appaswamy Real Estates Ltd. v. Puducherry Env’t Prot. Ass’n, 2017 SCC OnLine Mad 7056. [14] The Constitution of India, art. 21.