State urges green tribunal to review ₹12,000 crore compensation order
The NGT, in September this year, had ordered the government to deposit ₹12,000 crore in a ring-fenced account (dedicated to a specific purpose) within two months and utilise it for that specific purpose under the monitoring of the chief secretary
Mumbai: The Maharashtra government has moved the National Green Tribunal (NGT) pleading a review of its order to pay a compensation of ₹12,000 crore for its failure to treat the solid and liquid waste generated in the state. The state said that putting such a huge fund aside would hamper development works and social schemes and compel the government to spend ₹1000 crore towards interest per year.

The NGT, in September this year, had ordered the government to deposit ₹12,000 crore in a ring-fenced account (dedicated to a specific purpose) within two months and utilise it for that specific purpose under the monitoring of the chief secretary. The NGT has been monitoring solid and liquid waste management in every state in the country following an order by the Supreme Court in September 2014. The NGT in its order said that the compensation of ₹12,000 crore had become necessary under Section 15 of the NGT Act to remedy the continuing damage to the environment.
The state government, which submitted the review petition before the NGT recently, said that it was committed to spend ₹21,000 crore until July 2025 under the ongoing Swachh Bharat Mission (SBM) 2.0 and the Amrut scheme. “We implemented the first leg of SBM effectively and have rolled out the second phase with proper planning,” said an officer from the urban development department. “It has equal funding by the central government with some contribution from municipal corporations. Our contention is that we have proper plans in place for the management of solid and liquid waste in urban areas. There was no reason to ring-fence the fund and we have said it in the petition.”
Another officer said that the government contended that the earmarking of the compensation amount would badly affect development works, especially amid the mounting debt in the state. “Such a huge outlay for a specific area is against the accounting principles of state finances. We will have to divert funds for this,” he said, adding that the state had submitted a total of five points of contention in the petition.
Besides Maharashtra, other states, including Madhya Pradesh and West Bengal were asked to pay a similar compensation although the amount varied. Last week, after the MP government assured NGT that it would spend ₹9,000 crore on waste management, the tribunal withdrew its order and exempted it from the fine. Against this backdrop, the Maharashtra government too is hopeful about getting a similar exemption.
ABOUT THE AUTHORSurendra P GanganSurendra P Gangan is Senior Assistant Editor with political bureau of Hindustan Times’ Mumbai Edition. He covers state politics and Maharashtra government’s administrative stories. Reports on the developments in finances, agriculture, social sectors among others.Read More
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