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Distillieries - Environmental Clearance

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Conceptual Facets of EIATradable permits: Under this system, firms that achieve the emission levels belowtheir allotted level may sell the surplus permits. Similarly the firms, which arerequired to spend more to attain the required degree of treatment/allotted levels, canpurchase permits from others at lower costs and may be benefited.Market barrier reductions: Three known market barrier reduction types are asfollows:- Market Creation: Measures that facilitate the voluntary exchange of water rightsand thus promote more efficient allocation of scarce water supplies- Liability Concerns: Encourage firms to consider potential environmental damagesof their decisions- Information Programmes: Ecolabeling and energy- efficiency product labelingrequirementsGovernment subsidy reduction: Subsidies are the mirror images of taxes and, intheory, can provide incentive to address environmental problems. However, it hasbeen reported that the subsidies encourage economically inefficient andenvironmentally unsound practices, and often lead to market distortions due todifferences in area. However, in the national interest, subsidies are important tosustain the expansion of production. In such cases, the subsidy may be comparable tothe net social benefit.2.3.2.3 Innovative funding mechanismThere are many forums under which the fund is made available for the issues which are ofglobal/regional concern (GEF, OECD, Deutch green fund etc.) i.e. climate change, BasalConvention and further fund sources are being explored for the Persistent OrganicPollutants Convention. Besides the global funding mechanism, there needs to belocalized alternative mechanisms for boosting the investment in environmental pollutioncontrol. For example, in India the Government has established mechanism to fund thecommon effluent treatment plants, which are specifically serving the small and mediumscale enterprises i.e. 25% share by the state Government, matching grants from theCentral Government and surety for 25% soft loan. It means that the industries need toinvest only 25% initially, thus encouraging for voluntary compliance.There are some more options i.e. if the pollution tax/charge is imposed on the residualpollution being caused by the industries, municipalities etc., fund will automatically begenerated, which in turn, can be utilized for funding the environmental improvementprogrammes. The emerging concept of build-operate-transfer (BOT) is an encouragingdevelopment, where there is a possibility to generate revenue by application of advancedtechnologies. There are many opportunities, which can be explored. However, what isrequired is the paradigm shift and focused efforts.2.3.2.4 EMS and ISO certificationEMS is that part of the overall management system, which includes the organizationalstructure, responsibilities, practices, procedures, process and resources for determiningand implementing the forms of overall aims, principles of action w.r.t the environment. Itencompasses the totality of organizational, administrative and policy provisions to betaken by a firm to control its environmental influences. Common elements of an EMS arethe identification of the environmental impacts and legal obligations, the development ofTGM for Distillery Industry August 20102-6

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