Green norm ‘violation’: PSPCL deposits half of ₹4.86-cr fine, seeks NGT relief on balance

The Central Air Quality Management (CAQM) panel imposed an environmental compensation of ₹4.86 crore on April 1, 2026, after the Bathinda thermal plant was found to have fallen short of mandatory biomass co‑firing targets. The penalty, termed a green norm violation, was levied for failing to blend the required proportion of biomass into its fuel mix, a requirement aimed at reducing emissions from thermal generation.

PSPCL has deposited half of the fine, while simultaneously filing a petition with the National Green Tribunal (NGT) to contest the remaining amount. The NGT, which handles environmental disputes across India, will examine whether the balance of the penalty is warranted given the plant’s compliance record and the regulatory framework.

The CAQM’s directive reflects broader efforts to enforce stricter renewable integration norms in the power sector, a move that has prompted several utilities to reassess their biomass procurement strategies. Historically, such penalties have been used to push thermal stations toward greener practices, though the effectiveness of the fines varies.

The pending NGT petition underscores the legal avenues available to corporations when they believe a penalty exceeds statutory limits. While the exact grounds for the NGT’s relief request are not yet public, the corporation’s move signals a cautious approach to safeguarding its financial standing amid ongoing regulatory scrutiny.

The development comes amid a period of heightened focus on environmental compliance in Punjab’s industrial landscape, where multiple power plants are under review for similar infractions. As the NGT deliberates, PSPCL’s partial payment demonstrates a willingness to engage with the regulatory process, even as it seeks to reduce the overall liability.

Source: Hindustan Times