Keystone Realtors Pvt. Ltd. vs Anil V. Tharthare on 3 December, 2019
58. Reverting to the contention that there is no illegality in splitting
a project into phases it is pertinent to fall back on decision
reported in Keystone Realtors Private Limited Vs. Anil V.
Tharthare and Ors. (2020) 2 SCC 66, wherein the Hon‟ble
Apex Court observed in respect of the EIA Notification, 2006
that
"In a case where the text of the provisions requires
interpretation, this Court must adopt an interpretation which
is in consonance with the object and purpose of the legislation
or delegated legislation as a whole. The EIA Notification was
adopted with the intention of restricting new projects and the
expansion of new projects until their environmental impact
could be evaluated and understood. It could not be disputed
that as the size of the project increases, so does the
magnitude of the project‟s environmental impact. This Court
could not adopt an interpretation of the EIA Notification which
would permit, incrementally or otherwise, project proponents
to increase the construction area of a project without any
oversight from the Expert Appraisal Committee or the SEAC,
as applicable. It was true that there may exist certain
situations where the expansion sought by a project proponent
is truly marginal or the environmental impact of such
expansion was non-existent. However, it was not for this
Court to lay down a bright-line test as to what constitutes a
„marginal‟ increase and what constitutes a material increase
warranting a fresh Form 1 and scrutiny by the Expert
Appraisal Committee. If the government in its wisdom were
to prescribe that a one-time „marginal‟ increase in project
size, within the threshold limit stipulated in the Schedule,
could be subject to a lower standard of scrutiny without
diluting the urgent need for environmental protection,
conceivably this Court may give effect to such a provision.
This would be subject to any challenge on the ground of their
being a violation of the precautionary principle. However, as
the EIA Notification currently stands, an expansion within the
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limits prescribed by the Schedules would be subject to the
procedure set out in the notification.