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Pollution Control  Policy

Manufacture of new products and by-products recovered through application of pollution control processes

1. It is the policy of the Government that the industrial undertakings desiring to use the wastes and effluents for manufacture of new products should be encouraged to do so.

2. Many of the chemicals recovered from pollution control processes and recycling of waste products are reserved for exclusive manufacture in the small scale. As per current industrial policy, the non-small scale units require to obtain industrial licence with 50% export obligation for manufacturing any of the products reserved for the small scale sector. In this background, it was felt that if the chemicals are recovered through installation of pollution control processes which are in the larger interest of sustainable industrial development, capacity of such recoverable chemicals, even if reserved for the small scale, should be permitted without the mandatory export obligation.

3. The Government have now decided that in order to encourage adoption of pollution control processes by the industrial undertakings which have the potential to utilise the waste products and effluents for manufacture of new items, they may be allowed to do so by suitable endorsement in the existing Industrial Licences or issued new Industrial Licences for such recoverable items which may be reserved for the small scale sector, without necessarily stipulating the mandatory export obligation.

4. The industrial undertakings will submit application in Form IL, to the Secretariat for Industrial assistance, Ministry of Industry, Udyog Bhawan, New Delhi. Such applications will be considered on merits and wherever Government agrees to allow industrial undertakings to recycle their wastes and effluents, necessary endorsement of capacity for the items allowed would be made on industrial licences, without necessarily stipulating the conditions for export of such new items. However, before taking a decision in the matter, the Secretariat for Industrial assistance will obtain the prior written comments/views of the Development Commissioner (MSME) in each case.

5. It is hoped that adoption of this positive policy would encourage the industrial units to install pollution control processes and be a positive incentive to utilise the waste products and effluents.

6. Entrepreneurs desirous of availing this facility shall have to submit applications in the prescribed form for Industrial Licences (Form FC/IL) to the Secretariat for Industrial assistance (SIA), Department of Industrial Policy & Promotion, Ministry of Industry, Udyog Bhawan, New Delhi-110011, giving full details of the pollution control processes proposed to be adopted and new items with capacities which would be recovered from the same