Order of the National Green Tribunal regarding illegal sand mining and rate of compensation, 17/08/2020

  • 17/08/2020

Order of the National Green Tribunal in the matter of National Green Tribunal Bar Association Vs Virender Singh (State of Gujarat).

The issue for consideration related to updation of enforcement and monitoring mechanism to control and regulate illegal sand mining and compensation.

The CPCB filed its report on January 30, 2020. The report considered two approaches for fixing environmental compenstion.

They were:

(I) Approach 1: Direct Compensation based on the market value of extraction, adjusted for ecological damages.

(II) Approach 2: Computing a Simplified net present value (NPV) for ecological damages.

The Amicus informed the court that the method for determining compensation suggested was complex and missed the present ecological value. Choice of discount rates has further complexity. Direct compensation approach method was preferable but needs to be modified.

The NGT directed that the above suggestion should be looked into by the committee and thereafter the scale of compensation finalized. The Committee may also undertake scenario analysis. Let the report of the said Committee be furnished by the CPCB within one month.