Supreme Court Dismisses Application Seeking Review of Environmental Clearance Judgment. Built-Up Area Under EIA Notification Includes All Covered Construction, Irrespective of FSI Classification Under Municipal Laws.

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Case Note & Summary

The Supreme Court dismissed an application seeking review of its earlier judgment dated 10.08.2018 in Civil Appeal No. 10854 of 2016. The applicant, M/s. Goel Ganga Developers India Pvt. Ltd., contended that the two-Judge Bench had erred in interpreting 'built-up area' under Item 8(a) of the Schedule to the Environment Impact Assessment (EIA) Notification dated 14.09.2006, by failing to consider the three-Judge Bench judgment in Re: Construction of Park at Noida Near Okhla Bird Sanctuary (NOIDA Park case). In the NOIDA Park case, the Court had observed that the definition of built-up area with facilities open to the sky needed greater precision and clarity. The applicant argued that this observation created ambiguity, and the two-Judge Bench should not have held that all covered construction is built-up area. The Court, however, distinguished the factual context. In the NOIDA Park case, the dispute was whether open-to-sky facilities like pathways and fountains (activity area) should be included in built-up area; all parties agreed that covered construction was built-up area. The present case dealt solely with whether non-FSI covered area should be excluded from built-up area for environmental clearance. The Court reaffirmed that under the EIA Notification, 'built-up area' means all covered construction, irrespective of FSI or non-FSI classification under municipal laws. The Court noted that FSI/FAR concepts are irrelevant for environmental clearance as both types of construction impact the environment. The application was dismissed as meritless.

Headnote

A) Environmental Law - Built-up Area Interpretation - Item 8(a) of Schedule to EIA Notification, 2006 - All covered construction, whether FSI or non-FSI, constitutes built-up area for environmental clearance - The Court held that the concept of FSI or non-FSI has no concern with grant of EC; both FSI and non-FSI areas impact the environment equally (Paras 3-4).

B) Precedent - Binding Effect of Three-Judge Bench - Observations in Re: Construction of Park at Noida Near Okhla Bird Sanctuary, (2011) 1 SCC 744 - The three-Judge Bench's observation about ambiguity in definition of built-up area was made in a different factual context where the dispute was about open-to-sky activity area, not covered construction - The present judgment's holding that all covered construction is built-up area was not an issue in NOIDA Park case, hence not bound by it (Paras 4-6).

C) Environmental Law - Relevance of Municipal Laws - FSI/FAR under municipal laws have no linkage with grant of environmental clearance - The authority granting EC is concerned only with environmental impact, not municipal building regulations (Para 3).

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Issue of Consideration

Whether non-consideration of a three-Judge Bench judgment in Re: Construction of Park at Noida Near Okhla Bird Sanctuary led to wrong conclusions regarding interpretation of built-up area under Item 8 of Schedule of EIA Notification dated 14.09.2006

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Final Decision

The Supreme Court dismissed the application (I.A. No.64665 of 2019) as meritless, holding that the earlier judgment's interpretation of built-up area was correct and not inconsistent with the NOIDA Park case.

Law Points

  • Interpretation of built-up area under EIA Notification 2006
  • Item 8(a) includes all covered construction
  • FSI/FAR irrelevant for environmental clearance
  • Three-judge bench observation in NOIDA Park case not binding on issue not raised
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Case Details

2019 LawText (SC) (9) 107

I.A. No.64665 of 2019 in Civil Appeal No. 10854 of 2016

2019-09-11

Deepak Gupta, Aniruddha Bose

M/s. Goel Ganga Developers India Pvt. Ltd.

Union of India through Secretary Ministry of Environment and Forests & Ors.

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Nature of Litigation

Application seeking review of judgment dated 10.08.2018 in Civil Appeal No. 10854 of 2016, on ground of non-consideration of three-Judge Bench judgment.

Remedy Sought

Applicant sought to set aside or modify the earlier judgment on interpretation of built-up area under EIA Notification 2006.

Filing Reason

Applicant contended that the two-Judge Bench erred by not following the three-Judge Bench's observation in NOIDA Park case regarding ambiguity in definition of built-up area.

Previous Decisions

Judgment dated 10.08.2018 in Civil Appeal No. 10854 of 2016 held that all covered construction is built-up area under EIA Notification 2006, irrespective of FSI.

Issues

Whether the two-Judge Bench was bound by the three-Judge Bench's observation in NOIDA Park case regarding ambiguity in definition of built-up area. Whether built-up area under Item 8(a) of EIA Notification 2006 includes non-FSI covered construction.

Submissions/Arguments

Applicant argued that the three-Judge Bench in NOIDA Park case observed that the definition of built-up area needs greater precision, and the two-Judge Bench could not have held that the notification clearly shows all covered construction is built-up area. Respondent (implicitly) supported the earlier judgment that all covered construction is built-up area for environmental clearance.

Ratio Decidendi

Under the EIA Notification dated 14.09.2006, 'built-up area' includes all covered construction, whether FSI or non-FSI, and municipal law concepts of FSI/FAR are irrelevant for environmental clearance. The three-Judge Bench's observation in NOIDA Park case about ambiguity did not relate to covered construction, and thus did not bind the two-Judge Bench on that issue.

Judgment Excerpts

From a bare perusal of the two hash tags (#) in Column 4 and 5 of Item 8(a), it is apparent that what is shown under Column 5 is actually a continuation of Column 4 and basically it describes or defines ‘built up area’ to mean covered construction and if the facilities are open to the sky, it will be taken to be the activity area. Indeed, the concept of FSI or nonFSI has no concern or connection with grant of EC. Therefore, in our opinion, the earlier judgment will have no impact on the present case.

Procedural History

The applicant filed I.A. No.64665 of 2019 in Civil Appeal No. 10854 of 2016, seeking review of the judgment dated 10.08.2018 delivered by a two-Judge Bench of the Supreme Court. The application was dismissed on 11.09.2019.

Acts & Sections

  • Environment Impact Assessment Notification, 2006: Item 8(a), Item 8(b) of Schedule
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Supreme Court Supreme Court Dismisses Application Seeking Review of Environmental Clearance Judgment. Built-Up Area Under EIA Notification Includes All Covered Construction, Irrespective of FSI Classification Under Municipal Laws.
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