ENVIRONMENTAL POLICIES AND LAWS
06/December/2025 23:44
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ENVIRONMENTAL POLICIES AND LAWS
(MBA/B.Com – Business Environment / Business Law Notes)
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1. Meaning of Environmental Policies
Environmental policies are government guidelines, principles, plans, and actions created to protect the environment from pollution, overuse of natural resources, and ecological damage.
These policies aim to:
Prevent environmental degradation
Promote sustainable development
Ensure safe industrial activities
Protect public health
Balance economic growth with environmental safety
In simple terms, environmental policies guide how individuals, industries, and governments should treat the environment responsibly.
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2. Objectives of Environmental Policies
1. Control pollution (air, water, soil, noise)
2. Conserve natural resources (water, forests, minerals)
3. Promote sustainable development
4. Protect biodiversity and wildlife
5. Ensure safe industrial development
6. Set standards for emissions and waste management
7. Encourage green technology and renewable energy
8. Promote public awareness and participation
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3. Important Environmental Policies in India
1. National Environment Policy (NEP), 2006
A comprehensive framework for sustainable development.
Key features:
Conservation of natural resources
Pollution prevention
Climate change mitigation
Use of cleaner technology
Strengthening regulatory bodies like CPCB & SPCB
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2. National Forest Policy (1988)
Objectives:
Maintain 33% forest cover
Conserve biodiversity
Protect tribal rights
Promote social forestry
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3. National Water Policy (2012)
Focuses on:
Water as an economic and social resource
Rainwater harvesting
Water conservation
Efficient water-use technology
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4. National Conservation Strategy and Policy Statement on Environment & Development (1992)
Encourages:
Sustainable industrial development
Energy-efficient production
Public awareness
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5. National Green Tribunal (NGT) Policy Framework
Ensures speedy environmental justice
Handles all environmental disputes and penalties
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4. Key Environmental Laws in India
Below are the most important environmental legislations every commerce student must know:
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1. Environment (Protection) Act, 1986
The umbrella law for all environmental protection
Gives power to regulate air, water, noise, and soil pollution
Government can set environmental standards and take action on violators
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2. Water (Prevention and Control of Pollution) Act, 1974
Controls water pollution
Industries must take permission from Pollution Control Boards before discharging waste
Ensures safe water for drinking and agriculture
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3. Air (Prevention and Control of Pollution) Act, 1981
Controls air pollution from industries and vehicles
Sets limits for emissions like smoke, dust, toxic gases
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4. Wildlife Protection Act, 1972
Protects wild animals, birds, and plants
Establishes national parks and sanctuaries
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5. Forest Conservation Act, 1980
Restricts the use of forest land for non-forest activities
Ensures afforestation and conservation
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6. Public Liability Insurance Act, 1991
Industries handling hazardous substances must provide insurance
Ensures compensation to victims of industrial accidents
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7. Biological Diversity Act, 2002
Protects India’s biodiversity
Controls use of biological resources for commercial purposes
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8. National Green Tribunal (NGT) Act, 2010
Establishes the NGT
Provides fast-track justice for environmental issues
Can impose fines, penalties, and closure of polluting units
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5. Importance of Environmental Policies and Laws for Businesses
1. Ensures Legal Compliance
Industries must follow pollution norms to avoid penalties and closures.
2. Reduces Environmental Risk
Proper waste management and pollution control minimize environmental damage.
3. Improves Corporate Image
Eco-friendly companies gain customer trust and brand value.
4. Promotes Sustainable Development
Encourages green technologies, recycling, and renewable energy.
5. Prevents Penalties and Litigation
Compliance helps avoid legal cases, fines, and shutdown orders.
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6. Role of Business Managers (MBA Perspective)
Managers must:
Understand environmental rules and industry benchmarks
Apply pollution control measures
Conduct Environmental Impact Assessments (EIA)
Prepare sustainability/ESG reports
Implement eco-friendly supply chain practices
Ensure employee awareness and compliance
This knowledge is essential in Operations, HR, Marketing, Accounting, and Corporate Strategy.
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7. Conclusion
Environmental policies and laws create a framework for protecting nature while allowing economic development.
