Concept and History
The Polluter Pays Principle is a very important concept under Environmental Laws. According to it the person/company responsible for the pollution caused is liable for the damages that have been caused. He/she has the responsibility of restoring the environment to the same position as it was before the pollution had been caused. It was first introduced in 1972 by the Organization for Economic Cooperation and Development. Even Principle 16 of the Rio Declaration on Environment and Development says that "the polluter should, in principle, bear the cost of pollution, with due regard to the public interest".
Use of the concept in India
While the Indian Judiciary has been using the Polluter pays principle actively in judgments now, such as the Indian Council for Enviro-Legal Action vs. Union of India, Vellore Citizens' Welfare Forum vs. Union of India and M. C. Mehta vs Kamal Nath & Ors. The National Green Tribunal has also been making quite a frequent use of it and picks up various cases on the basis of suo moto cognizance. Section 20 of the NGT Act, 2010 talks about the polluter pays principle as well.
In the case of Saloni Ailawadi v. Volkswagen India (P) Ltd., the NGT had directed the manufacturer to deposit Rs. 100 Cr with the Central Pollution Control Board (CPCB) under the Polluter Pays Principle. They were also of the view that the principle does not mean that the company can pollute and pay for the same, it would also include the cost of damage caused to the environment and the direct cost to the people. Even in the case of Jan Chetna v. Ministry of Environment, Forest and Climate Change the NGT reiterated that the polluter pays principle is an important part of India's environmental laws. It has also been effective in areas governed by uniform environmental laws.
The NGT has been effectively using the Principle so as to restore the environment back to its original shape. The same has also been applied in the recent case of Vizag Gas leak and in the Assam Bagjhan oil leak. In the 21st century where global warming is at its peak, the application of such a principle holds the person liable for the restoration of the environment back to the shape it used to be in. More such principles are required in order to promote the protection of the natural environment.
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