Introduction:
Industrial Projects of today are highly polluting in nature causing a great deal of air, water and soil pollution. Realizing the importance of the problem, the Government has passed various legislations in order to prevent degradation of ecology and environment caused by the growth of such industries.
Article 51 A of the Constitution imposes as one of the fundamental duties on every citizen, the duty to protect and improve the natural environment.
Inspite of various legislations such as:
Air (Prevention & Control of Pollution) Act, 1981
Water (Prevention & Control of Pollution) Act 1974
Environmental Protection Act 1987 and
Factories Act 1948 (as amended in 1987)
Not much seems to have been done in framing regulations that will put an end to tendencies in industries that have adverse effects on nature and healthy living of an individual. No doubt, there is greater awareness of this aspect to-day than ever before, but the problem of environmental hazard caused by industrial effluents has gone out of control.
In Sec. 217 (i) (e) of the Companies Act, 1956 a mention has been made of conservation of energy, whereas an equally important aspect relating to environment and ecology does not find a place in it. Though statutory standards have been laid down, pollution level in many of the industries are far below satisfaction.
CORPORATE ENVIRONMENTAL POLICY:
It is a necessary that energy industry evolves its own environmental policy in order to ensure that over a period of time, time tested policies will remain and statutory regulations may be imposed upon industries to adhere to such policies.The following steps are necessary:
(i) Formulate and publish an environmental policy
(ii) Involve the company’s personnel
(iii) Provide for adequate financial resources in the budget (iv) Review and monitor policy at regular intervals.
(V) Audit and Report.
PRESENT TRENDS:
Millions in India’s exploding towns and cities find the industrial revolution coming in through their windows. To step this blatant disregard of pollution control laws, the Supreme Court and some high courts passed a series of judgments on public interest litigations in 1995 ordering the closure of industries in Delhi, Gujarat, U.P. Tamilnadu and West Bengal. But there is a world of difference between getting the Supreme Court to close down an industrial unit and actually ensuring it closes shop or cleans up.
The problems begin with units that stall blatantly by simply refusing to accept closure or warning notices. In Delhi, the Supreme Court ordered that above 9,000 industrial units should move out of Delhi for being in zones not meant for industry. Accordingly, notices were issued to 1,221 units. At least half of them questioned their categorization as polluting industries: The original classification could be flawed; a re-evaluation will be a Herculean task.
In West Bengal, the shut down order for 30 units from the Supreme Court promoted the West Bengal Pollution Control Board to look seriously at a host of other industries. The Board hauled up 252 units for air and water pollution; after getting notices 225 of these cleaned up their act and the others like Indian Rayon, Reckitt & Colman, Buru Standard, Texmo and JFB Agro were being monitored for compliance. An interesting point to note down is that the resistance to pollution control comes not just from management but from unions who fear job losses, especially if the unit is in the red. In Delhi, agitated workers protest regularly outside the Supreme Court where a division bench is trying to decide how, when and how many industries should move out of the city. If industrial units are finally closed, keeping them shut will not be easy either. Several units shut down by the court orders have been restarted either with the help of political pressure on water supply and electricity authorities or by managements who simply run generators and get water supply from tankers.
The Supreme Court ordered closure of 57 tanneries in North Arcot of Tamilnadu; 496 units were given time to set up Effluent Treatment Plants. But the deadline could not be met Tanneries had to bear 20% of the cost and Government whose share was 25% (the balance from loans) pointed finger at each other, and the ETPs are far from completion.
In Gujarat, more than 93 industries were ordered shut by the High Court in Ahmedabad and Vapi. In Nandasari, 252 units were threatened up with closure if they did not clean. Less than 10 have stopped operating. The Court is now listening to experts to educate itself on issues of cost, technology and time. Industries, which long ignored pollution control are now pleading for time to find affordable technology.
WHAT IS TO BE DONE?
Since the health of every individual is of paramount importance, it is the bounden duty of the Government to ensure that the right to live in a healthy atmosphere is undisturbed. In this ever increasing world of pollution, it is high time that our Government takes concrete steps to insist upon industries to frame environmental policies and to be bounded by it.
Pollution Control Boards should be geared to meet the challenges that may arise in this endeavour. A clause on the environmental and ecological protection can be inserted in the Companies Act 1956 in sec. 217 (1) after conservation of energy.
But one can take a horse to the water but cannot force it to drink. The attention is to industries that first do not bother about installing pollution control equipment, ignore notices, and when they are finally handled up before the courts, still try to wriggle out.
Eventually, it seems to be citizens alone who can make a difference in the long run. Unless there is a vigilant citizenry, it is very difficult to cope. The fight against urban pollution is running aground because there is a nexus between the bureaucracy, policy makers and industry.
Dr.R.SRINIVASAN is a Post graduate in commerce and Management. He received his doctoral degree from Alagappa University in 1997. He is now Working as an ASSOCIATE PROFESSORin Post graduate and Research Department of Corporate Secretaryship at Bharathidasan Government College for Women (Autonomous), Pondicherry University, Puducherry.He currently teaches Accounting ,financial management and Research Methodology Subjects. Before Joining BGCW, he was teaching in SNR College, Coimbatore, Sindhi college, Chennai& T.S.Narayanasamy College, Chennai for eight years. He was with the industry for a short term at Salzar Electronics Pvt. Ltd, Coimbatore. He has about 20 years of teaching experience and having research experience of 15 years. His interests are in Accounting and finance, Capital Market, Quantitative Methods. He underwent the Faculty Development Programme at Indian Institute of Management Ahmedabad during 2000-01. He has presented 20 papers in national and international conferences and has published twenty papers in the areas of Finance and Human resource Management in National Journals. Co-authored a book titled, ‘Investors Protection, published by Raj Publications, New Delhi He has delivered lectures in contemporary finance topics at Pondicherry University. He is involved in consultancy projects for Godrej Saralee, Chennai in the areas of Statistical Applications. He has supervised a number of research projects in the area of corporate finance and Human Resource Management. He is the Board of examiner in corporate Secretaryship and Management for the past two decades.
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