Green Light for Progress: Supreme Court Eases Construction Approvals

On 6 August 2025, the Supreme Court ruled that construction projects ranging from 20,000 to 1,50,000 sq. metres—including housing developments, industrial sheds, educational institutions, and hostels—can proceed with clearance from the State Environment Impact Assessment Authority (SEIAA), removing the requirement for Central environmental approval.

The ruling revives thousands of stalled projects that were affected by an earlier stay on the Centre’s January 29 notification, which had been challenged by the NGO Vanashakti over environmental concerns. The Court upheld the Environment Ministry’s position that the Centre lacks the capacity to carry out detailed scrutiny of such projects across all states.

However, the Court partially invalidated the Centre’s blanket exemption, requiring state-level scrutiny for specific categories such as industrial sheds and educational institutions.

A bench comprising Chief Justice B. R. Gavai and Justice K. Vinod Chandran further clarified that projects located near eco-sensitive zones, wildlife habitats, critically polluted areas, or inter-state boundaries will now fall under state authority for environmental clearance.

This judgment strikes a balance between environmental protection and developmental progress, ensuring regulatory oversight is maintained without unnecessary delays from the Central government.

News by Rahul Yelligetti.