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NGT order warns southern states on NCAP funds; mandates strict SAP implementation

The National Green Tribunal’s Southern Zone bench in Chennai directed five southern states and Puducherry to implement their SAP under NCAP strictly and on a time-bound basis, warning that under-utilisation of funds could attract environmental compensation. The case highlights Karnataka’s fund allocations and low Bengaluru utilisation, and an affidavit from September 2025 showing overall fund utilisation and expenditure patterns that require rationalisation.

Why It Matters

This ruling increases regulatory oversight over clean air funding and may influence how states allocate and spend NCAP funds, potentially affecting future environmental enforcement and budgeting decisions.

Timeline

4 Events

Karnataka NCAP funds: ₹597.54 crore received (2019-20 to 2023-24), Bengaluru ₹541.1 crore

2019-2024

Karnataka had received ₹597.54 crore between 2019-20 and 2023-24, with Bengaluru alone receiving ₹541.1 crore.

May 2, 2026: NGT Southern Zone directs strict SAP implementation; warns of environmental compensation for under-utilisation

May 2, 2026

The National Green Tribunal’s Southern Zone bench in Chennai directed all five southern States and Puducherry to ensure strict and time-bound implementation of their SAP under NCAP, and warned that continued under-utilisation of clean air funds could attract environmental compensation.

September 2025 affidavit reports fund utilisation and expenditure breakdown

September 2025

A MoEFCC affidavit reported that 76% of NCAP funds released up to 2025-26 had been utilised by September 2025. It also stated that more than 86% of utilised funds went to road dust control, with 6.6% on vehicular emissions and 4.1% on biomass burning, prompting calls to rationalise expenditure.

By October 2024, Bengaluru utilised only 13% of its ₹541.1 crore allocation

October 2024

Bengaluru alone had utilised only 13% of the ₹541.1 crore allocation, as part of Karnataka's ₹597.54 crore total received between 2019-20 and 2023-24.