Law Updates

Subject

Summary: The Chhattisgarh Environment Conservation Board (CECB), has notified revised industrial siting criteria for industries operating under the Air (Prevention and Control of Pollution) Act, 1981, and the Water (Prevention and Control of Pollution) Act, 1974. The new criteria prescribe minimum distance requirements that industries must maintain from water bodies, settlements, protected forests and other sensitive locations. These requirements will be important for businesses planning new industrial units, expansion projects or changes in existing operations in Chhattisgarh. For companies, compliance with these criteria at the project planning stage will play an important role in obtaining environmental approvals and avoiding regulatory issues. What Is Industrial Siting Criteria? Industrial siting criteria are the location-based conditions that determine where an industry can be established. These criteria prescribe the minimum distance an industrial unit must maintain from environmentally sensitive areas such as rivers, lakes, forests, residential settlements, educational institutions and heritage sites. The objective is to minimise the environmental and public health impacts of industrial activities while ensuring that new projects are developed in suitable locations. Before granting environmental approvals or consent to establish, the pollution control authority considers whether the proposed site complies with the applicable siting requirements. Why Did CECB Introduce Revised Industrial Siting Criteria? Industrial location plays an important role in controlling environmental risks. Industries located close to water bodies, residential areas, forests or other sensitive locations may create higher risks related to air emissions, wastewater discharge and environmental degradation. To reduce environmental risks, CECB has introduced minimum distance requirements for industries based on their pollution category. These criteria help determine, whether a proposed site is suitable before an industry is established. The requirements apply while establishing industries under the Water Act, 1974 and Air Act, 1981. Industries classified as Red, Orange and Green categories will need to follow different distance limits depending on their pollution potential and surrounding environment. Legal Framework behind the Notification The Chhattisgarh Environment Conservation Board has issued the revised siting criteria using its powers under: Section 31A of the Air (Prevention and Control of Pollution) Act, 1981 Section 33A of the Water (Prevention and Control of Pollution) Act, 1974 These provisions allow the pollution control authority to issue directions for regulating industries and controlling activities that may contribute to environmental pollution. The criteria provide a framework for assessing whether a proposed industrial location is suitable from an environmental compliance perspective before granting necessary approvals. Detailed Siting Requirements under the CECB Criteria The notification specifies minimum distances that industries must maintain from different environmentally sensitive areas. The applicable distance depends on the industry category. 1. Distance from Surface Water Bodies Industries must maintain a minimum distance from the nearest boundary of surface water bodies, including flood plains, High Flood Level (HFL) areas and red line areas identified through revenue records. The distance requirements are: Industry Category Minimum Distance Required Red Category Industries More than 500 metres Orange Category Industries with effluent generation More than 75 metres Orange Category Industries without effluent generation More than 30 metres Green Category Industries More than 30 metres Industries with higher pollution potential have stricter distance requirements due to the possible impact of industrial discharge, accidental releases or contamination risks. 2. Distance from Settlements and Other Sensitive Locations The revised criteria also prescribe distance requirements from locations such as: Settlements Educational institutions Places of worship Archaeological monuments Reserved forests Heritage sites The minimum distance requirements are: Industry Category Minimum Distance Required Red Category Industries More than 500 metres Orange Category Industries More than 200 metres Green Category Industries More than 100 metres This requirement is particularly relevant for businesses selecting land for new projects, as unsuitable locations may create difficulties during environmental approval processes. 3.    Distance from Protected Forest Boundaries Industries must maintain a minimum distance from the notified boundaries of protected forests. The prescribed distance is: Industry Category Minimum Distance Required Red Category Industries More than 100 metres Orange Category Industries More than 100 metres Green Category Industries More than 100 metres Companies planning industrial projects near forest areas will need to consider these requirements during land assessment and project planning. How Will the New Siting Criteria Affect Industries? The revised criteria make environmental site assessment an important step before establishing or expanding industrial operations in Chhattisgarh. Earlier, businesses often focused mainly on land availability, infrastructure and operational suitability while selecting locations. However, environmental distance requirements now need to be considered at the beginning of project planning to avoid approval-related challenges later. Impact on New Industrial Projects Companies setting up new manufacturing facilities will need to verify whether the proposed location meets CECB requirements before investing in construction and infrastructure. A location that does not satisfy the prescribed distance criteria may result in difficulties while applying for Consent to Establish (CTE). Impact on Expansion Projects Existing industries planning expansion, capacity enhancement or modification of processes may also need to assess whether the revised criteria affect their proposed activities. Changes in production capacity, additional pollution load or installation of new processes can trigger additional regulatory review. Impact on Industrial Land Selection Real estate and industrial land decisions will require greater environmental due diligence. Businesses may need to check: Distance from nearby water bodies. Presence of protected forest areas. Location of settlements and sensitive institutions. Applicability of pollution category requirements. Early assessment can help companies avoid purchasing or developing land that may create regulatory limitations. Industries Likely to Be Affected The revised siting criteria are relevant for industries requiring environmental permissions from CECB. The impact will mainly be seen in sectors where pollution potential, emissions or effluent generation are significant. Industries that may need to consider these requirements include: Chemical and processing industries. Manufacturing units requiring pollution control approvals. Metal and mineral-based industries. Industries generating industrial wastewater. Units involved in activities classified under Red and Orange categories. Businesses planning new industrial facilities or expansion projects. Industrial developers, project consultants and companies acquiring land for manufacturing operations will also need to consider these criteria during planning. Key Compliance Challenges for Businesses Complying with industrial siting requirements can become challenging if environmental factors are not considered at the early stages of a project. Some common challenges include: Incorrect assessment of industry category: Businesses may need to determine whether their activity falls under Red, Orange or Green category before evaluating location requirements. Difficulty in verifying site conditions: Distance from water bodies, forests and settlements may require proper assessment based on official records and site conditions. Approval delays: If the proposed site does not meet the prescribed siting criteria, obtaining Consent to Establish (CTE) may become more difficult. Investment risks: Purchasing land without checking the applicable siting requirements could lead to additional costs, or restrictions on future project development. Documentation requirements: Businesses need proper records and supporting documents while submitting applications to pollution control authorities. What Businesses Should Do before Setting up or Expanding Operations Before finalising a project location in Chhattisgarh, industries should include environmental compliance assessment as part of their planning process. Important steps include: Identifying the applicable pollution category of the proposed activity. Checking the required distance from water bodies and sensitive locations. Reviewing CECB approval requirements before starting construction. Maintaining site-related documents for regulatory submissions. Assessing environmental compliance requirements during project expansion. A planned compliance approach can help businesses avoid unexpected regulatory hurdles after major investments have already been made. Benefits of Early Compliance Assessment Reviewing the siting criteria before finalising a project location can help businesses identify regulatory requirements at an early stage and avoid unnecessary setbacks during project development. Key benefits include: Fewer approval delays: Site-related issues can be identified before applying for environmental approvals. Better location selection: Businesses can choose sites that meet the prescribed siting requirements from the outset. Reduced investment risk: Early assessment helps avoid investing in land that may face regulatory restrictions. More efficient approvals: Well-prepared documentation and site verification can make the approval process more straightforward. Improved compliance readiness: Businesses can maintain better records for future inspections and regulatory reviews. Corpseed’s Environmental Compliance Support for Industries Setting up or expanding an industrial facility requires careful evaluation of environmental regulations, pollution control requirements and approval procedures. Corpseed helps businesses understand applicable compliance obligations and navigate regulatory processes with greater clarity. Our support includes: Industrial Compliance Assessment We help businesses understand applicable environmental requirements based on industry category, project location and operational activities. Consent Management Support Corpseed assists industries with Consent to Establish (CTE) and Consent to Operate (CTO) compliance requirements under pollution control board regulations. Site Compliance Review We support businesses in assessing whether proposed industrial locations align with applicable siting criteria and environmental requirements. Regulatory Documentation Assistance Our team helps review and prepare documents required for pollution control board submissions and environmental approvals. Ongoing Environmental Advisory We assist businesses in tracking regulatory updates and understanding changing environmental compliance requirements affecting industrial operations.