CJI Gavai Recalls May 16 Verdict to Save ₹20,000 Crore Projects

Supreme Court overturns May 16 Vanashakti order, averting demolition of post-facto approved projects, but dissent raises environmental accountability concerns.

n a significant development, the Supreme Court of India on Tuesday retracted its May 16 Vanashakti case decision, which had mandated the demolition of constructions that obtained environmental clearance post facto. The recall was issued by a three-judge bench led by Chief Justice of India B.R. Gavai and comprising Justices K. Vinod Chandran and Ujjal Bhuyan, in a 2:1 majority verdict.

Background: May 16 Vanashakti Decision

The original two-judge bench, including Justices Abhay S. Oka and Ujjal Bhuyan, had ruled that post facto environmental approvals were illegal, ordering the demolition of such projects. This decision sparked concerns about the potential demolition of critical public infrastructure valued at nearly ₹20,000 crore, including AIIMS Bhubaneswar’s 962-bed hospital and a greenfield airport.

Centre Highlights Potential National Loss

During the hearing, the Central government submitted a list of stalled projects and warned that enforcing the May order could have disastrous consequences for essential facilities. The majority opinion, penned by CJI Gavai, stated that the earlier order risked a “national loss” and endangered the existence of crucial public infrastructure.

Dissenting Opinion: Justice Bhuyan’s Concerns

Justice Ujjal Bhuyan, in his 97-page dissent, described the recall as a “retrograde step” that undermines the precautionary principle in environmental law. He cautioned that allowing post facto clearances diminishes accountability and could set a hazardous legal precedent for future environmental governance.

Balancing Development and Environmental Safeguards

The judgement has reignited discussions on how India can balance development with environmental protection. While the recall prevents immediate demolition, it leaves unresolved questions about judicial consistency, accountability, and environmental governance in similar cases moving forward.

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