Environmental Protection vis-a-vis Ambika Quarry Works V. State of Gujarat [AIR 1987 SS 1037]

I. Introduction

The natural environment plays an important role in supporting economic activity. It contributes:

• DIRECTLY, by providing resources and raw materials such as water, timber and minerals that are required as inputs for the production of goods and services; and
• INDIRECTLY, through services provided by ecosystems including carbon sequestration, water purification, managing flood risks, and nutrient cycling.

Natural resources are, therefore, vital for securing economic growth and development, not just today but for future generations. Economic growth typically refers to an increase in the level of goods and services produced by an economy, as estimated by measures such as Gross Domestic Product (GDP). Economic growth, thus, is important for the prosperity and wellbeing of the economy and its citizens – in both advanced economies and in the developing world. It stimulates advances in technology, such as those that will be needed to continue decoupling consumption and production from their environmental impacts. It is also an important factor in enabling other drivers of wellbeing, such as improvements in health, education, and overall quality of life through the expansion of one’s profit and financial interest.

While economic growth has indeed produced many benefits, raising standards of living and improving quality of life across the world; it has also resulted in the depletion of natural resources and the degradation of ecosystems. There has been much debate over whether or not it is possible to achieve economic growth without unsustainably degrading the environment, and a growing realisation that economic growth at the current rate of depletion and degradation of environmental assets cannot continue indefinitely.

The finite resources of the Earth place limit on the extent to which economies can keep expanding in the long-term. On the other hand, using environmental resources sustainably is consistent with continued economic growth, with the costs of inaction likely to be far greater than the cost of acting now. Thus, the role of environmental policy is to manage the provision and use of environmental resources in a way that supports improvements in prosperity and wellbeing, for current and future generations.

Thus, the critical aspect which is the forebearer of the research is the balancing of the needs of the environmental protection with the flagrant urge of economic progression. Post the New Economic Order, 1991² and the advent of the Liberalization, Privatisation and Globalisation, the Multi-National Corporates began to develop a strong hold. With the forces of Capitalists, indeed, environmental integrity has been compromised yet fused in with legislative policy and interventions.

The Stockholm Conference on Human Environment, 1972³ has further contributed in strengthening the environmental law regime in India and also acted as the facilitating agent behind enacting the 42nd Constitutional Amendment Act, 1972. This amendment has introduced certain environmental duties both on the part of the citizens (Article 51A(g))⁴ and on the state (Article 48A).⁵

Justice chinappa: sachidanand pandey v. State of west bengal⁶

• The Court is obligated and mandated to keep in consideration the forces of Article 48A (Directive Principle of State Policy) and Article 51A(g) [Fundamental Duty] while applying the Principles of Environmental Law and Matters Incidental or Ancillary to subject revolving around environmental protection and safeguard.

Thus, the Legislature keeping into light the unfettered authority of Article 48A, promulgated the Forest (Conservation) Act, 1980;⁷ wherein; the environmental evils of deforestation and destruction of Eco Sensitive Zones (ESZ) were to be prevented through an elaborate Approval Mechanism.⁸

Thus, the Research herein centres around the Case Reviewal of Ambika Quarry Works vs. State of Gujarat. The Research discusses the Forest (Conservation) Act, 1980 and its constituents. ⁹

The Research identifies the Approval Methodology along with the Procedure followed. The balancing of the competing and conflicting forces of the environmental protection along with Economic development has been highlighted herein. The prospective application of the Act has also been deliberated thereto. The Relevant Facts of the case along with the Arguments of the Appellant and the Respondent has also been brough to light. The final decision of the court along with the reasoning is also provided. At last, the research identifies relevant doctrines of environmental law including Public Trust and Precautionary Approach along with a Conclusion signifying Sustainable Economic Progression.

AIM & OBJECTIVE OF THE STUDY

• To critically analyze and harmonize the Interconnectedness of Environmental Law with the forces of Economic Development and Mercantile Profitability through the Case Reviewal
• To discuss the considerations revolving around the novel transformative concept of Neo-Liberalism in Environmental Law characterizing Safeguards for the Protection and Preservation of Natural Eco-system in coherence with Article 48A and Article 51A(g) against the conflicting forces of Economic Development and Resource Appropriation.

RATIONALE OF THE STUDY

• To stress upon the Imminent and Imperative nature of the conflicting forces of the Economic and Financial Forces amidst the Environmental Laws through a critical discussion of multiple variants including the Forest (Conservation) Act, 1980, the Approval Methodology, Renewal of Lease post 1980 Act, Sustainable Development, Public Trust Doctrine and Precautionary Approach towards Environmental Fortification.

RESEARCH METHODOLOGY

• RESEARCH DESIGN: The researcher follows the premise of the Exploratory Research Design and primarily focusses on the socio-legal-economic means of strengthening efficient Justice Dispensation. The study ‘in-toto’ is qualitative, descriptive and analytical in its nature.
• METHOD OF DATA COLLECTION: The researcher follows Doctrinal method of research requiring the compilation of relevant data from the specified databases in order to analyze the material and arrive at a more complete understanding of the Law and Economic Analysis of the Environmental Laws and other considerations revolving around the said matter of socio-legal and economic pertinence.
• An analysis of reports, documents, journals and other available resources within online databases were referred to.
• LIMITATIONS: The research paper, in its very essence, is of an extensive nature, however, for the purpose of the study, relatives concerning the Case Reviewal of Ambika Quarry Works vs. State of Gujarat has been highlighted in conjunction with the Forest (Conservation) Act, 1980, the Approval Methodology along with Relevant Doctrines of Environmental Law including the Public Trust and Precautionary being brough to limelight.

II. Ambika quarry works vs. State of gujarat¹⁰

Bench

• JUSTICE MUKHARJI
• JUSTICE SABYASACHI

Facts of the Case

• Appellant firm had been granted a quarry lease for the minor mineral black trap in the District of Valsad in the State of Gujarat. The lease was granted on 8th November, 1971 for a period of ten years and an area of 13 acres. Three persons were granted-2-1/2 acres of land each and the re- maining-5-1/2 acres of land were placed at the disposal of Industries, Mines and Power Department for the purpose of granting quarry lease from the same.
• On 3rd August, 1981 when the appellant's term of lease was about to expire, the appellant applied for renewal of lease.
• The application of the appellant for renewal of lease was rejected by the Assistant Collector, Valsad, on the ground that the land fell under the "Reserved Forest" area and hence the Forest (Conservation) Act, 1980 applied to the forests.
• The forest department of State of Gujarat refused to give 'no objection' certificate.
• An appeal was preferred by the appellant which was dismissed by the Director, Industries, Mines and Power department Government of Gujarat on 4th March, 1985.

• Two Appeals were filed which were merged by the Supreme Court involving Common Question of Law.

QUESTION OF LAW

• Both the afore-said appeals involve the question, whether after coming into operation of the Forest (Conservation) Act, 1980, appellants were entitled to renewal either first or second of their quarry leases?

FOREST (CONSERVATION) ACT, 1980

• The Act was passed by the Parliament to provide for the conservation of forest. Deforestation caused ecological imbalances and led to environmental deterioration. It recognised that deforestation had been taking place on a large scale in the country and it had thereby caused widespread concern; to tackle which, the said Act had been promulgated.¹¹
• Section 2 of the Act¹² made the prior approval of the Central Government necessary for de-reservation of reserved forests and for the use of forest land for non-forest purposes.

ARGUMENTS OF APPELANTS

• The contention of the appellant was that by the order dated 29th November, 1971, the forest department had de-reserved the said land from the reserved area and had allotted the land for the quarrying purpose to the appellant.
• Leases for quarrying purposes had been granted prior to the coming into operation of the 1980 Act. There were existing quarry leases which applied for their first renewal and in some other cases, second or third renewal. Therefore, these were at the relevant time de-reserved forests. Thus, the conditions precedent for the operation of the 1980 Act were not there.
• Rule 18, Gujarat Minor Mineral Rules, 1966¹³: The lease for minerals may be renewed by the for one or more periods and the period of renewal at one time shall not exceed ten years and the total period for which the lease may be renewed shall not exceed twenty years.

III. State of rajasthan v. Hari shankar rajendra pal¹⁴

• JUSTICE DAYAL observed that under Rule 30, Rajasthan Mines Minerals Concession Rules, 1958¹⁵ ,the word "may' in regards to the extension of the period of lease by the Government should be construed as 'shall' so as to make it incumbent on Government to extend the period of the lease if the lessee desired extension.
• The Court enabled such interpretation keeping into consideration the gigantic investment of the lessee in machinery and equipment.
• Herein, the appellants is have invested large sums of money in mining operations. Therefore, it was the duty of the authorities that the power of granting permission should have been so exercised that the appellants had the full benefits of their investments. It was emphasized that none of the appellants had committed any breach of the terms of grant nor were there any other factors disentitling them to such renewal.

IV. State of bihar v. Banshi ram modi and others¹⁶

• A mining lease for winning mica was granted by the State Government in respect of an area of 80 acres of land which formed part of reserved forest before the 1980 Act. However, the forest land had been dug up and mining operations were being carried on only in an area of 5 acres out of the total lease area of 80 acres.
• While carrying on mining operations, the respondent came across two associate minerals felspar and quartz. The respondent made an application to the State Government for execution of a Deed of Incorporation to include the said minerals also in the lease.
• Though the 1980 Act had come into force, the State Government executed the Deed of Incorporation incorporating these items without obtaining prior sanction of the Central Government under section 2 of 1980 Act.
• Section 2 of the Forest (Conservation) Act, 1980, mean that after the commencement of the Act, no fresh breaking up of the forest land can be permitted by any State Government or any authority without the prior approval of the Central Government.
• But if such permission has been accorded before the coming into force of the Act and the forest land is broken up or cleared then the section cannot apply.
• In the instant case in an area of five acres out of eighty acres covered by the mining lease the mining operations were being carried on even prior to the coming into force of the Act.
• If the State Government permits the lessee by the amendment of the lease deed to remove felspar and quartz in addition to mica it cannot be said that the State Government has violated Section 2 of the Act because thereby no permission for fresh breaking up of forest land is being given, the result of taking the contrary view will be that while the digging for mica can go on, the lessee would be deprived of collecting felspar or quartz which would lead to an unreasonable result.
• The Court held that while before granting permission to start mining operations on a virgin area Section 2 of the Act has to be complied with. However, it is not necessary to seek the prior approval of the Central Government for carrying out mining operations in a forest area which is cleared before the commencement of the Act.
• Taking into consideration the relevant matter, Court held that the lessee is entitled to carry on mining operations in the five acres of land for purposes of removing felspar and quartz.

ARGUMENTS OF RESPONDENTS

[COUNSEL: Shri Mehta (First Appeal)

COUNSEL: Shri Poti, (Second Appeal)]

• Post-Operation of 1980 Act there was no question of renewal of the leases because the Act had prevented renewal of the lease without the approval of the Central Government.

JUDGEMENT OF THE COURT

The Court nullified the Arguments raised by the Appellant based on the following Case Law:

V. Doctrine of harmonious and purposive construct:

The primary purpose of the Forest (Conservation) Act, 1980 is that the interpretation in order to implement the Act must be to prevent further deforestation. All interpretations must sub-serve and help implementation of the intention of the Act which is the preservation and conservation of the Eco System while protecting the Forested Land through an Approval Methodology. Thus, the Appeals were struck off by the Court and the mining leases are not subject to renewal.

RELEVANT DOCTRINE IMPLIEDLY UPHELD

VI. Conclusion

IMPERATIVE MOVEMENT OF HUMANS FROM

The Paper herein went into a deep discussion of the competing and conflicting Interest of the Environmental protection whilst Economic Development. Not only that the economic and financial development of a nation is imperative for it to improve the standards of living and provision basic amenities to its populants but also that the needs and aspirations of the future generations are crucial to be safeguarded through environmentally sound methodology.

What’s breath-taking for us as researchers and analysts is to support the shift, the transition from the environmentally unsustainable economic practices to environmentally sound and friendly policy that will not only quench our dire needs of economic development but would also safeguard the same in the long run.¹⁹

In the long-term, the benefits of moving to an environmentally sustainable growth path are likely to outweigh the costs of making the shift. However, in the short-term there may be some trade-offs between protecting the environment and economic growth, although evidence to-date suggests these are likely to be relatively small.²⁰ Moreover, smart policy design can help reduce some of these shorter-term trade-offs, through interventions that provide businesses and consumers with greater certainty to invest and that keep policy costs and administrative burdens to a minimum.²¹

With many key natural resources and ecosystems services scarce or under pressure, achieving sustained economic growth will require absolute decoupling of the production of goods and services from their environmental impacts.²² This means consuming environmental resources in a sustainable manner – whether by improving the efficiency of resource consumption or by adopting new production techniques and product designs. It also means avoiding breaches in critical thresholds beyond which natural assets cannot be replaced and can no longer support the desired level of economic activity.²³

Thus, the Research through the Case Reviewal of Ambika Quarry Works vs. State of Gujarat, highlighted the instance wherein, the Judiciary through their Legal Arsenal Interpreted the Forest (Conservation) Act, 1980 in a cooperative, harmonious and purposive manner, thereby implying that the objective that stands as the flag bearer is Environmental Protection and Conservation while also enabling the facility of economic progression through a strict reviewal and scrutinised process.²⁴

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VII. Bibliography

Statutes:

• Constitution of India, 1949
• Forest (Conservation) Act, 1980

Books:

• Das, R.C., Baral J.K., Sahu N.C. and Misras M.K., The Environmental Divide - The Dilemma of Developing Countries (1998)
• Environmental Law; S.C. Shastri; II Edition; Edition; Eastern Book Company (2005)
• MC Mehta, GROWTH OF ENVIRONMENTAL JURISPRUDENCE IN INDIA, 1999.
• Dr. Jai Jai Ram Upadhyay, ENVIRONMENTAL LAW, p.2, Allahabad: Central Law Agency, (2005).

Articles:

• Deepak Nayyar, 1991: Economic Liberalization and Political Process, Live Mint, 14 Oct 2016, https://www.livemint.com/Opinion/l46jd4x7sEnYgxizMcnq3M/1991-economic-liberalization-and-political-process.html
• Syed Ussain Saheb, Environment and Their Legal Issues in India, International Research Journal of Environment Sciences, Vol. 1(3), October 2012, https://www.nqr.gov.in/sites/default/files/File_Para%20Legal%20practices.pdf
• Priyal Bohra, Role Of Judiciary In Environmental Protection, National Law University and Judicial Academy, Assam, 2019, http://www.nluassam.ac.in/docs/lex%20terra/L ex%20Terra%20Issue%2032_5.pdf.
• U. Sankar, Laws And Institutions Relating To Environmental Protection In India, Madras Schhol of Economics (2014), https://www.mse.ac.in/wp-content/uploads/20 16/09/op_sankar.pdf
• Tarak Nath Prasad, Role Of Judiciary In Environmental Conservation In India, Dehradun Law Review (2015), http://www.dehradunlawreview.com/wp-content/uploa ds/2020/06/6-Role-of-judiciary-in-environmental-conservation-in-India.pdf
• Maneesh Yadav, Environment Protection and Judicial Activism in India: A Journey of Wisdom, Research Gate, https://www.researchgate.net/publication/340922540_Env ironment_Protection_and_Judicial_Activism_in_India_A_Journey_of_Wisdom