Consent to Establish from Pollution Control Board-An Overview

Consent to Establish from Pollution Control Board (CTE), also known as Consent for Establishment from SPCB, is a mandatory pollution NOC required for regulating industrial discharges, including air emissions, wastewater, and noise.

Industries are categorized into Red (high pollution), Orange (moderate pollution), and Green (low pollution) based on their pollution levels. Some states also recognize a White Category, exempting certain industries from a formal NOC but requiring them to submit an application with basic business details.

Under the Water Act and the Air Act, SPCBs and PCCs regulate such establishments. Before setting up their unit, entrepreneurs must apply for Consent to Establish from Pollution Control Board, and after setup, they need a Consent to Operate (CTO) to start operations.

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Why is Consent for Establishment from SPCB Essential?

Before setting up a plant, industries must obtain the Consent to Establish from Pollution Control Board under the provisions of the Water Act and/or the Air Act. This consent for establishment from SPCB ensures compliance with environmental regulations and aims to prevent pollution.

The State Pollution Control Board (SPCB) oversees this process in states, while the Pollution Control Committee (PCC) manages it in union territories. Obtaining the Consent to Establish certificate is a mandatory step for any new manufacturing business in India, along with securing other necessary approvals from relevant government authorities. This regulatory framework ensures that industrial activities adhere to environmental protection norms.

Issued by the State Pollution Control Board (SPCB) or the Pollution Control Committee (PCC) in Union Territories, this consent is essential for industries with the potential to impact the environment.

Benefits of Consent to Establish from Pollution Control Board

The benefits of consent to establish from pollution control board are as follows:

1. Regulatory Compliance

Consent for establishment from SPCB ensures the industrial facility adheres to environmental laws and regulations, helping avoid potential legal penalties and consequences.

2. Sustainable Development

It promotes sustainable development by ensuring the industry operates in an environmentally responsible manner.

3. Health and Safety

Consent to establish from pollution control board ensures the facility does not pose health hazards or safety risks to employees or the surrounding community.

4. Positive Reputation

Consent to establish certificate demonstrates the industry’s commitment to environmental consciousness and social responsibility, enhancing its reputation and brand value.

5. Access to Financing

Obtaining consent to establish from pollution control board can facilitate access to loan facilities, as it is sometimes a prerequisite for securing loans and other financial assistance for the industrial facility.

Documents Required for Consent for Establishment from SPCB

The list of documents required for consent for establishment from SPCB is as follows:

1. Site Plan or Location Plan of the Industry
2. Detailed report of the Project such as details of raw material, product to be manufactured, the capital cost of the unit (land, building, and plant machinery), water balance, source of water, and its required quantity.
3. Land documents (Registration deed or Rent deed or Lease deed)
4. Details of Water Pollution Control or Air Pollution Control Instruments
5. MOA or Partnership Deed

Procedure for Getting Consent for Establishment

New industrial units and projects falling under the red and orange categories must first register with the State Pollution Control Board. This is done by completing the online registration form available on the OCMMS portal of the respective board. Here given below is the step-by-step procedure for getting consent for establishment.

1. CFE Application Submission

The Application for Consent for Establishment (CFE) can be submitted online through the respective State Pollution Control Board's OCMMS portal with all required documents and the requisite fee or offline by submitting the complete application to the regional office.

2. Document Scrutiny and Submission

Once the application (online or offline) is submitted, it is forwarded to the inspecting authority after the documents are reviewed. For industries in the Green Category, the Regional Office (R.O.) is responsible for scrutinizing the application.

3. Issuance of Pollution NOC

After the scrutiny process and, if required, the preparation of an initial inspection report following a site visit, the application is forwarded to the approving authority. The final decision typically takes up to 120 days from the receipt of a complete application. In most cases, a Provisional Consent to Establish (CTE) is issued during this process.

Note: The successful issuance or renewal of the Consent for Establishment (CFE) by the SPCB does not prevent the board from taking action against any defaulting units.

It includes the possibility of revoking the issued certificate if the units fail to comply with the provisions of the CTE or any relevant provisions of the Air Act, 1981 or the Water Act, 1974. The granting or refusal of the consent is based on the merits of each case after examination by the competent authority.

Extension of Consent to Establishment from Pollution Control Board

If a unit or project is not completed before the expiry of the Consent to Establishment from pollution control board, the applicant can apply for an extension or renewal of the CTE. In such cases, the unit must follow the prescribed procedure, which may include self-certification by the industry.

For auto-renewal of the consent to establish certificate, the project proponent must apply through the OCMMS portal of the respective board 30 to 90 days (depending on the board) before the previous CTE expires. This application should include the NOC fees and all re-quired documents.

In most cases, the CTE will be renewed based on self-certification, provided there has been no change in the production process, product manufacturing, raw materials, or overall capital investment (including building, land, machinery, or production capacity).

Additionally, the unit’s pollution load will be reviewed. If it has remained the same as de-clared in the original application submitted for the first Consent to Establish from Pollution Control Board, the applicant will likely receive the renewed CTE. However, the CTE renewal is granted for a limited period, subject to the validity of the Environmental Clearance (EC), if applicable.

Validity and Renewal of Consent to Establish Certificate

The Consent to Establish certificate (CTE) is generally a one-time requirement issued by the State Pollution Control Board (SPCB) for a duration of 3 to 5 years, depending on the specific project. If the project requires an extension beyond the initial period, the entrepreneur can apply for an extension based on the project's needs and timelines.

1. For projects related to micro and small-scale green category projects, the validity period combining both CTE and CTO is issued for a period of 15 years after collecting 5 years of fees.
2. For other projects, consent to establish from pollution control board is issued for 5 years (1 year is free).

Fees for Consent to Establish from Pollution Control board

Well, the fees for consent to establish from pollution control board vary from state to state and the amount of capital investment in the concerned industry or plants. Given below is the fee as per Karnataka government for the same:

1. Capital Investment of Rs.1 Lakh and below, the consent fee per annum is Rs. 400/-
2. Capital exceeding Rs. 1 Lakh but below Rs. 5 Lakhs, the consent fee per annum is Rs. 1,000/-
3. Capital exceeding Rs. 5 Lakhs but not exceeding Rs. 10 Lakhs, the consent fee per annum is Rs. 3,000/-
4. Capital exceeding Rs. 10 Lakhs but not exceeding Rs. 25 Lakhs, the consent fee per annum is Rs. 4,000/-
5. Capital exceeding Rs. 25 Lakhs but not exceeding Rs. 50 Lakhs, the consent fee per annum is Rs. 6,000/-
6. Capital exceeding Rs. 50 Lakhs but not exceeding Rs. 1 Crore, the consent fee per annum is Rs. 12,000/-
7. Capital exceeding Rs. 1 Crore but not exceeding Rs. 5 Crores, the consent fee per annum is Rs. 30,000/-
8. Capital exceeding Rs. 5 Crores but not exceeding Rs. 10 Crores, the consent fee per annum is Rs. 40,000/-
9. Capital exceeding Rs. 10 Crores but not exceeding Rs. 25 Crores, the consent fee per annum is Rs. 60,000/-
10. Capital exceeding Rs. 25 Crores but not exceeding Rs. 50 Crores, the consent fee per annum is Rs. 1,00,000/-
11. Capital exceeding Rs. 50 Crores but not exceeding Rs. 100 Crores, the consent fee per annum is Rs. 1,50,000/-
12. Capital exceeding Rs. 100 Crores but not exceeding Rs. 250 Crores, the consent fee per annum is Rs. 2,50,000/-
13. Capital exceeding Rs. 250 Crores but not exceeding Rs. 500 Crores, the consent fee per annum is Rs. 4,00,000/-
14. Capital exceeding Rs. 500 Crores but not exceeding Rs. 1000 Crores, the consent fee per annum is Rs. 7,00,000/-
15. Capital exceeding Rs. 1000 Crores but not exceeding Rs. 2500 Crores, the consent fee per annum is Rs. 10,00,000/-
16. Capital exceeding Rs. 2500 Crores, the consent fee per annum is Rs. 12,50,000/-