Illegal Tree Felling Invokes 'Polluter Pays' Principle: NGT Orders Environmental Compensation from College in Punjab

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NGT Holds Punjab College Liable for Environmental Compensation Under 'Polluter Pays' Principle for Illegal Tree Felling

New Delhi, March 6, 2025 - The National Green Tribunal (NGT), Principal Bench, New Delhi, in a suo-moto case, has directed the Punjab State Pollution Control Board (PSPCB) to assess and recover environmental compensation from Lord Krishna College, Kapurthala, for the illegal felling of trees on Panchayat land. The judgment, delivered by a bench comprising Hon’ble Mr. Justice SudhirAgarwal (Judicial Member) and Hon’ble Dr. Afroz Ahmad (Expert Member), firmly establishes the application of the ‘Polluter Pays’ principle in cases of environmental damage due to illegal deforestation, even when penalties for timber loss have been paid.

Case Background: Allegations of Encroachment and Illegal Tree Cutting

The case originated from a letter petition filed by S.C. Kaushal , highlighting alleged encroachment by Lord Krishna College on Gram Panchayat land in Badshahpur and the illegal cutting of approximately 150 trees, some 30 years old. The complainant alleged inaction by authorities due to the political affiliations of the college management. The NGT took cognizance of the matter and constituted a Joint Committee to investigate.

Conflicting Reports and Admission of Tree Cutting

The Joint Committee report confirmed the presence of tree stumps and logs on Panchayat land, indicating illegal tree cutting. While Lord Krishna College initially denied the allegations, subsequent reports and actions by the Deputy Commissioner, Kapurthala, revealed encroachment and the registration of an FIR against Man Singh , associated with the college. Notably, the college also deposited ₹39,550/- with the Gram Panchayat as compensation for the felled trees.

NGT Emphasizes 'Polluter Pays' Principle and Environmental Harm

Despite the college's deposit of compensation for the timber loss, the NGT emphasized that this did not absolve them of environmental liability. The Tribunal clarified the distinction between penalties for illegal tree felling under statutes regulating forests and the environmental compensation for damage caused to the environment.

Justice Agarwal , writing for the bench, stated: "…penalty imposed for such violation, is not something akin to the loss caused to the environment due to illegal felling of trees for which environmental compensation is to be determined and leviable by application of principle of ‘Polluters Pay’."

The judgment extensively discussed the 'Polluter Pays' principle, citing landmark Supreme Court judgments including Indian Council for Enviro-Legal Action vs. Union of India , Vellore Citizen Welfare Forum vs. Union of India , and Research Foundation for Science vs. Union of India & Ors. , underscoring its integral role in Indian environmental jurisprudence.

The Tribunal highlighted the wide-ranging ecological and socioeconomic impacts of deforestation, including habitat loss, biodiversity decline, soil erosion, climate change contribution, disruption of water cycles, and air quality deterioration.

PSPCB Directed to Assess Environmental Compensation

Acknowledging the environmental damage caused by the illegal tree felling, the NGT directed the PSPCB to compute and assess environmental compensation from Lord Krishna College. This compensation is intended to address the broader environmental harm beyond the timber value of the trees and serve as a deterrent against future environmental violations.

"…we are clearly of the view that respondent 6 is also liable to pay environmental compensation by application of principle of ‘Polluter Pays’ due to felling of trees illegally at Gram Panchayat land Badshahpur. Accordingly, we direct PSPCB to take action for computation and assessment of environmental compensation for illegal felling of trees by respondent 6…" the judgment concluded.

The PSPCB has been granted three months to complete the assessment and submit a compliance report to the NGT by July 15, 2025. This judgment underscores the NGT's commitment to enforcing the 'Polluter Pays' principle and holding entities accountable for environmental damage, reinforcing the importance of environmental protection alongside regulatory penalties for illegal activities. ```