Lok Sabha Question No. 140 (STARRED), answered on 2026-02-09
Subject: Sustainability and Environmental Compliance for Industries
Ministry: ENVIRONMENT, FOREST AND CLIMATE CHANGE
Asked by: Dr. Bachhav Shobha Dinesh

## GOVERNMENT OF INDIA MINISTRY OF ENVIRONMENT, FOREST AND CLIMATE CHANGE

## LOK SABHA STARRED QUESTION NO 140

TO BE ANSWERED ON 09.02.2026

## Sustainability and Environmental Compliance for Industries

- *140.  DR. BACHHAV SHOBHA DINESH:

Will the Minister of ENVIRONMENT, FOREST AND CLIMATE CHANGE be pleased to state:

- (a) whether the Government has any existing or proposed reforms to expand sustainability, environmental compliance and emissions-reporting requirements to a broader set of companies beyond the currently covered large listed entities;
- (b) the  regulatory  framework  in  place  or  under  consideration  for  controlling  industrial pollution and carbon emissions, including the use of market-based mechanisms such as carbon pricing or emissions trading;
- (c) whether any sector-wise assessment has been conducted on India's readiness to meet emerging global environmental standards; and
- (d) the  steps  taken  or  proposed  to  be  taken  to  ensure  that  environmental  regulation strengthens sustainability without adversely impacting domestic industry and employment?

## ANSWER

MINISTER FOR ENVIRONMENT, FOREST AND CLIMATE CHANGE (SHRI BHUPENDER YADAV)

- (a) to (d): A statement is laid on the Table of the House.

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## STATEMENT  REFERRED  TO  IN  REPLY  OF  PARA  (A)  TO  (D)  OF  STARRED QUESTION NO. 140 TO BE ANSWERED ON 09.02.2026 IN LOK SABHA RAISED BY DR.  BACHHAV SHOBHA DINESH REGARDING 'SUSTAINABILITY AND ENVIRONMENTAL COMPLIANCE FOR INDUSTRIES'

(a) to (d) Government  follows  a  multi-pronged  strategy to expand  sustainability, environmental  compliance,  and  emissions-reporting  requirements.  India's  Long-Term  Low Emission Development Strategies (LT-LEDS) provide a sustainable path towards achieving Net  Zero  by  2070,  involving  seven  key  strategic  transitions  namely  (a)  Low  carbon development of electricity systems, (b) developing low-carbon transport system (c) Promoting adaptation in urban  design,  energy &  material-efficiency in buildings  &  sustainable urbanization (d) Promoting innovative low-emission industrial system (e) CO2 removal and related engineering solution (f) Enhancing Forest and Vegetation cover and (g) Economic and Financial aspects of low carbon development.

The Securities and Exchange Board of India (SEBI), under the Business Responsibility and Sustainability Reporting (BRSR), has mandated the disclosure for the top-1,000 listed entities (by  market  capitalisation)  from  2022-23  onwards,  that  has  nudged  adoption  of  sustainable practices by corporates.

India is signatory to United Nations Framework Convention on Climate Change (UNFCCC) and its Paris Agreement. Article 6.2 of the Paris Agreement lays down principle for marketbased mechanisms to enable cross border investment flow, technology transfer and capacity building for low carbon technologies.

The 'National Framework for Indian Carbon Market (ICM) i.e. Carbon Credit Trading Scheme (CCTS) was notified vide S.O. 2825 (E) dated 28th June 2023 and amendment notification S.O. 5369(E), dated 19th December 2023 under the powers conferred by clause (w) of section 14 of the Energy Conservation (Amendment) Act, 2022. In the compliance mechanism, the Greenhouse Gas (GHG) Emission Intensity Targets for seven sectors - Aluminum, Cement, Chlor-Alkali,  Pulp  &  Paper,  Petrochemicals,  Petroleum  refinery  and  textiles  covering  490 obligated entities have been notified by the Government.

All the projects/activities listed in the schedule to the Environmental Impact Assessment (EIA) Notification, 2006, as amended, require prior Environmental Clearance (EC) for setting up of new  project/activity  or  expansion  of  the  existing  project/activity  beyond  the  thresholds mentioned  in  the  Notification.  These  projects/activities  are  granted  EC  by  the  regulatory authority based on the recommendations of the concerned Expert Appraisal Committees, which rigorously  appraise  the  projects/activities  based  on  the  Environmental  Impact Assessments carried out for such projects, taking into account the impact of the said projects/activities on the environment. Further, the concerned Expert Appraisal Committees also prescribe suitable mitigation  measures  for  pollution  abatement  as  well  as  sustainability  measures  to  be implemented  by  the  projects/activities,  which  form  a  part  of  the  EC  conditions.  The projects/activities  once  granted  EC  are  required  to  file  six  monthly  compliance  reports, mandatorily  through  PARIVESH,  with  regard  to  the  conditions  prescribed  in  the  EC.  In addition to the above, projects are governed by the consent mechanism which is implemented by the Central Pollution Control Board (CPCB), in association with the State Pollution Control Boards/Pollution  Control  Committees  (SPCBs/SPCCs),  under  the  provisions  of  the  Water (Prevention  and  Control  of  Pollution)  Act,  1974  and  the  Air  (Prevention  and  Control  of Pollution) Act, 1981. Under the consent mechanism, projects are granted Consent To Establish

(CTE) and Consent To Operate (CTO) by the respective SPCBs/SPCCs taking into account various  criteria  such  as  siting  of  the  project  /activity,  the  environmental  safeguards  to  be observed  by  the  project/  activity  etc.,  thereby  ensuring  sustainability.  The  compliance  to CTE/CTO conditions are regularly monitored by the respective SPCBs/SPCCs.  Recently, the Ministry has also notified the Environment Audit Rules, 2025 to strengthen the environmental compliance framework for projects operating under various environmental laws.

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