Supreme Court issues notice on Adani Port plea challenging NGT order on coal handling in Andhra Pradesh

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The Supreme Court has issued notice on a petition filed by Adani Krishnapatnam Port Limited (AKPL) challenging the February 2025 verdict of the National Green Tribunal (NGT), which imposed a penalty on the company for causing environmental damage during coal handling operations at the Andhra Pradesh port.

While refusing to stay the NGT order, the Bench of Justice PS Narasimha and Justice Atul S Chandurkar on Tuesday issued notice to the respondents.

On February 13, 2025, NGT had raised serious concerns about the environmental impact of coal handling operations at the Krishnapatnam Port in Andhra Pradesh.

The Tribunal directed the Andhra Pradesh Pollution Control Board (APPCB) to impose environmental compensation on AKPL for past violations related to coal dust pollution and non-compliance with environmental clearance conditions.

The proceedings before NGT were initiated on the basis of a complaint filed by local resident Bonigi Rangaiah, alleging that bulk handling of coal cargo by AKPL was generating fine coal dust, which was drifting into nearby villages, affecting its quality, vegetation and public health.

Rangaiah levelled a series of allegations against the company, including the absence of mechanised cargo handling infrastructure, the failure to establish a greenbelt buffer zone, and the use of private groundwater sources in violation of environmental norms.

Although the complaintant withdrew his application after the port reportedly implemented some mitigation measures, the Tribunal noted that substantial past violations had been established in a joint committee report submitted by the Central Pollution Control Board (CPCB), APPCB and the District Collector. 

The report confirmed that the port had failed to implement various pollution control measures, including mechanisation of coal handling at the south berths, installation of fixed dust suppression systems and development of a 100-metre-wide greenbelt around the coal yard.

The Tribunal directed the APPCB to levy environmental compensation for the period of non-compliance. 

NGT made it compulsory for timelines to be fixed for full compliance with earlier directions, including the mechanisation of berths and use of treated municipal sewage for dust suppression.

The Tribunal directed that penalties should be imposed for any delay in implementation. Native tall-growing species such as Bamboo Giganteus and Burflower Tree (Neolamarckia cadamba) be planted as part of the greenbelt, it added.

The AKPL moved the Apex Court seeking a stay on the NGT verdict.

Appearing for AKPL, Senior Advocate Dhruv Mehta contended that the Tribunal’s findings and penalty directions were unwarranted, especially in light of the subsequent withdrawal of the complaint and the remedial steps already taken.

The entire litigation before the NGT transpired without either impleading the petitioner port or hearing the company, he added.