MINISTRY OF ENVIRONMENT, FOREST AND CLIMATE CHANGE NOTIFICATION New Delhi, the 29th August, 2025 S.O. 3973(E).-- Whereas, a draft notification under sub-section (1), and clause (v) of sub-section (2) of section 3 of the Environment (Protection) Act, 1986 (29 of 1986) read with sub-rule (3) of rule 5 of the Environment (Protection) Rules, 1986, was published by the Government of India in the Ministry of Environment, Forest and Climate Change vide S.O. 414(E), dated 29th January, 2024 in the Gazette of India, Extraordinary Part II, Section 3, Sub-section (ii), inviting objections and suggestions from all persons likely to be affected thereby before the expiry of the period of sixty days from the date on which copies of the Gazette containing the said notification were made available in the public domain; And whereas, the copies of the said Gazette notification were made available to the public on the 1st February, 2024; And whereas, the objections and suggestions as received from the pu

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S.1 Short title and commencement.--

(1) These rules may be called the Environment Audit Rules, 2025.

(2) They shall come into force with effect from the date of their publication in the Official Gazette.

S.2 Definitions.--

(1) In these rules, unless the context otherwise requires,--

a. "Act" means the Environment (Protection) Act, 1986 (29 of 1986);

b. "Administrator" means the Administrator referred to in rule 7 of Green Credit Rules, 2023;

c. "Certified Environment Auditor" means an individual certified by the Environment Audit Designated Agency as qualified to undertake environment audits and for performing such other functions;

d. "designated agency" means an entity designated as such under rule 13 of the Green Credit Rules, 2023;

e. "environment audit" means a systematic audit, verification, examination, inspection, or analysis of any project, activity or process having a bearing on the environment, and undertaken by the Registered Environment Auditor;

f. "Environment Audit Designated Agency" means the agency or agencies, as notified by the Central Government from time to time, responsible for overall management o

S.3 Roles and responsibilities of Registered Environment Auditors.--

The roles and responsibilities of Registered Environment Auditors shall include, but not be limited to the following, namely:--

i. undertaking environment audits of projects, activities, or processes governed by applicable environmental laws and regulations;

ii. conducting sampling and analysis of emissions, effluents, wastes, and evaluating the effectiveness of pollution control and waste management systems installed;

iii. reporting any violations or non-compliance of applicable environmental regulations related to the project, process, or activity, as the case may be;

iv. computing environment compensation for non-compliance and violations, wherever required by the competent authority;

v. preparing and submitting environment audit reports in accordance with extant regulations and guidelines;

vi. carrying out verification activities related to the Green Credit Registry established under rule 10 of the Green Credit Rules, 2023 as a 'designat

S.4 Site visit and sampling.--

The Registered Environment Auditor, in respect of the projects, activities, or processes assigned to it by the Central Government, State Government, or any of their organisations, shall have the authority to enter the premises, collect samples, obtain audit evidence, and access such other information or documents as may be deemed relevant and necessary for the purpose of proper discharge of their assigned responsibilities, which shall be made available by the project proponent.

S.5 Roles and responsibilities of the Environment Audit Designated Agency (EADA).--

The roles and responsibilities of the Environment Audit Designated Agency shall include, but not be limited to, the following, namely:--

i. specifying minimum eligibility criteria for Certified Environment Auditors;

ii. developing screening methodologies, which may include conducting examinations and/or other processes to identify qualified candidates for their certification as Certified Environment Auditor;

iii. certifying environment auditors including renewal, suspension, withdrawal, or cancellation of such certifications;

iv. specifying the criteria for registration of the Certified Environment Auditor;

v. registration of the Certified Environment Auditor including renewal, suspension, withdrawal, or cancellation of such registrations;

vi. monitoring the performance of Registered Environment Auditor and issuing directions as necessary;

vii. facilitating capacity building through training programs, workshops, seminars, conferences,

S.6 Notification of Environment Audit Designated Agency.--

The Environment Audit Designated Agency shall be notified by the Central Government on the basis of the eligibility criteria, the terms and conditions, and tenure in respect of Environment Audit Designated Agency as may be specified in the guidelines issued by the Central Government from time to time. The Central Government may, based on the performance of the respective agency, revoke such notification at any time before the expiry of its tenure. The tenure of Environment Audit Designated Agency may be renewed, subject to fulfilment of such criteria as may be specified in the guidelines issued by the Central Government.

S.7 Mechanism for Certification.--

The certification of environment auditors shall be carried out by the Environment Audit Designated Agency through the following two modes:--

i. Recognition of Prior Learning (RPL): A mode of certification based on prior experience and expertise, which shall remain in operation for a limited period as may be specified by the Central Government;

ii. National Certification Examination (NCE): A structured examination process for assessing eligibility for certification.

Note.-- The detailed procedure for certification of environment auditors including the minimum eligibility criteria for each mode of certification shall be such as may be provided in the guidelines issued by the Central Government.

S.8 Mechanism for registration of Certified Environment Auditors.--

The detailed procedure for registration of Certified Environment Auditors including the eligibility criteria with respect to technical capacity, personnel qualifications, track record, and other relevant parameters, shall be as specified in the guidelines issued by the Central Government.

S.9 Period of validity of registration of Certified Environment Auditor.--

The registration of Certified Environment Auditor shall be valid for a period of five years, unless revoked earlier in accordance with the provisions of rule 11 of this notification, and shall be renewable subject to the fulfilment of criteria as specified in the guidelines issued by the Central Government from time to time.

S.10 Operational Autonomy of Environment Audit Designated Agency and Registered Environment Auditor.--

(1) Subject to the provisions of these rules and any directions that may be issued by the Central Government from time to time, the Environment Audit Designated Agency shall exercise operational and functional autonomy in the discharge of its roles and responsibilities. It shall be responsible for performing the functions in a professional, impartial, and transparent manner, and shall exercise due diligence in all aspects of its functioning.

(2) The Registered Environment Auditor shall act in accordance with the applicable rules and regulations of the Central Government and the guidelines issued by it, time to time.

S.11 Code of Conduct.--

(1) The Central Government shall issue guidelines on the code of conduct to be followed by the Registered Environment Auditor and Certified Environment Auditor, incorporating aspects of professional conduct including integrity, ethics, confidentiality, and conflict of interest;

(2) Misrepresentation, suppression, concealment, falsification, or any other form of distortion of facts or data during the discharge of responsibilities under this Rules shall be deemed as professional misconduct.

(3) Registered Environment Auditor shall maintain strict confidentiality concerning all information related to the project and the project proponent. Any unauthorised disclosure of such confidential information shall be treated as professional misconduct.

(4) Without prejudice to any other action that may be initiated under any law in force, one or more of the following actions may be taken in respect of any professional misconduct under these rules:--

i. Debarment:

S.12 Conflict of Interest.--

(1) To ensure independence and prevent any conflict of interest, Registered Environment Auditor undertaking audits shall not,--

i. be related to any owner, operator, occupier, or project proponent of the relevant project, process, or activity. Such relationships include, but are not limited to, employer, business partner, employee, contractual associate outside the audit, spouse, partner, sibling, parent, or child;

ii. have or have had any pecuniary interest in the relevant project, process, or activity of the auditee, or in its holding, subsidiary, or associated company. This includes any situation where there is a reasonable likelihood or expectation of financial gain for the auditor or any related person;

iii. have provided services (other than independent reviews or auditing) to the project, process, or activity such that they would be auditing work performed by themselves or their firm;

iv. accept any inducement, commission, gift, or other benefit fr

S.13 Assignment of Registered Environment Auditor to Projects for Environment Audit.--

Subject to the provisions of rule 12, the assignment of Registered Environment Auditor to specific project entities shall be done by a random assignment method.

S.14 Fee.--

The amount and procedure for payment of the certification, registration and audit fee shall be subject to any guidelines issued by the Central Government in this regard, and the same shall be binding on the Certified Environment Auditor and Registered Environment Auditor.

S.15 Steering Committee.--

(1) There shall be a steering committee to oversee the implementation of the Environment Audit Scheme. The Committee shall comprise of the following members:--

i. Additional Secretary, MoEFCC-Chairperson;

ii. One representative of the Impact Assessment Division of the Ministry of Environment, Forest and Climate Change- Member;

iii. One representative of the Forest and Wildlife Division of the Ministry of Environment, Forest and Climate Change - Member;

iv. One or two representatives of the CPCB dealing with various waste management rules, Ecomark Rules or any other relevant rules or regulations - Member;

v. One representative of the Regional Office or Sub-Office - Member.

(2) The Steering Committee may, with the prior approval of the Chairperson, invite or co-opt any other person to the meeting of the Steering Committee.

(3) The Steering Committee shall be responsible for the overall implementation, monitoring, and supervision of the

S.16 Power to give directions.--

(1) For the effective implementation of these rules, the Central Government may issue directions to the Environment Audit Designated Agency, Registered Environment Auditor, or any other person or entity involved in the process and such persons or entities shall be bound to comply with the directions so issued.

(2) In the event of any conflict between the Environment Audit Report submitted by a Registered Environment Auditor and that submitted by an Officer or official of the Central or State Government, the latter shall be deemed to be final, as the case maybe, and shall prevail for reasons to be recorded in writing and after due approval of the Joint Secretary or equivalent level officer-in-charge of the affairs of Environment Auditors.

S.17 Power to remove difficulty.--

If any question arises relating to the interpretation of these rules, the decision of the Central Government thereon shall be final.

S.18 Power to issue guidelines.--

The Central Government may, for the purpose of effective implementation of these rules, issue guidelines from time to time, as deemed appropriate.

S.19 Savings.--

(1) Nothing contained herein prevents mandating any other audit by the Central Government, as may be required from time to time by any other agency as deemed appropriate under the facts and circumstances of the case.

(2) Nothing contained herein prevents the Central Government from initiating any action, in case of any report of damage to environment, and which is brought to its knowledge through sources other than that through environment auditing under this Rules.