Environmental Clearance Transfer Process 2025: Key Guidelines

Introduction

Environmental Clearance (EC) is a crucial regulatory approval for industrial and infrastructure projects, ensuring compliance with environmental norms. The Ministry of Environment, Forest, and Climate Change (MoEFCC) issued a directive on November 3, 2023, specifying a time-bound Environmental clearance transfer process when project ownership changes. However, many project proponents fail to complete the transfer within the stipulated period. To address this issue, the 2025 procedure lays down a systematic approach to handling such cases, ensuring accountability and regulatory compliance.

Key Guidelines for Action on Non-Transferred Environmental Clearances

1. Timeframe for EC Transfer

The original EC holder must apply for a transfer within one year of the project ownership change.
If the transfer application is not submitted within this period, the EC may be considered invalid unless an extension is granted under exceptional circumstances.

2. Regulatory Action on Delayed Transfers

If the EC is not transferred within the prescribed timeframe, the concerned authority will issue a show-cause notice to the project proponent.
The project proponent must respond within 30 days, providing valid reasons for the delay.
If no response is received or if the justification is unsatisfactory, the EC may be revoked or placed under suspension.

3. Impact on Project Operations

Suspension of Activities: Projects operating without a valid EC transfer will be considered non-compliant and may face temporary shutdown orders.
Financial Penalties: A penalty structure will be applied to deter delays in EC transfer, ensuring that compliance is taken seriously.
Legal Consequences: Repeated non-compliance could lead to legal action under the Environment Protection Act, 1986.

4. Special Considerations for Exceptional Cases

If the project proponent provides a valid reason for the delay, such as legal disputes or force majeure events, the authority may grant an extension for EC transfer.
The decision will be made on a case-by-case basis to ensure fairness while maintaining strict environmental governance.

Conclusion

The 2025 guidelines for handling non-transferred Environmental clearance transfer process reinforce the importance of regulatory compliance in environmental management. By implementing a structured approach—issuing notices, imposing penalties, and revoking ECs when necessary—the government aims to streamline the transfer process and hold project proponents accountable. Industries and businesses must prioritize timely EC transfers to avoid legal and operational risks while ensuring environmental sustainability.

Download: Environmental Clearance Transfer Process 2025 Key Guidelines