Question 10 (Case 4) A big corporate house is engaged in manufacturing industrial chemicals on a large scale. It proposes to set upon the additional unit. Many states rejected its proposal due to the detrimental effect on the environment. But one state government acceded to the request and permitted the unit close to a city, brushing aside all opposition. The unit was set up 10 years ago and was in full swing till recently. The pollution caused by the industrial effluents was affecting the land, water and crops in the area. It was also causing serious health problems to human beings and animals. This gave rise to a series of agitation thousands of people took part, creating a law and order problem necessitating stern police action. Following the public outcry, the State government ordered the closure of the factory. The closure of the factory resulted in the unemployment of not only those workers who were engaged in the factory but also those who were working in the ancillary units. It also very badly affected those industry which depended on the chemicals manufactured by it.As a senior officer entrusted with the responsibility of handling this issues, how are you going to address it? (250 words)

Approach: Page 1 1. Identify stakeholders. 2. Explain Problem. 3. Ethical dilemma in this case. Page 2. 4. Explain briefly what should be right approach in this regard. 4. New approach one will adopt. Page 3 5. Way forward.

Various stakeholders. State Government. Environment. People and animals living around the factory. Workers of factory and dependent Units.

Explain Problem: This case reflect chasm between Industrialization Vs. Environmental Protection. Employment Vs. Health and safety of People. Clash between conflicting values create ethical dilemma in front of Government to choose lesser evil which have more good than bad.

Explain briefly what should be right approach in this regard. Right approach should be balancing of conflicting interests to reach to optimal solution based upon principles of socio- economic and environmental justice.

Course of action: First response will be to uphold law and order situation with judicious use of persuasion and force. After social order is at place, channel of communication should be opened to all stakeholders and disseminating information regarding closure of Industry. Closure of Industry should not be abrupt but phase wise shifting in time bound manner. Set up of enquiry committee for proper assessment of environmental and health damage caused due to toxic waste generated by chemical factory. Based upon assessment report, Just compensation should be provided to those who are affected by chemical Unit and bioremediation of affected area through CSR and other provisions of environmental Laws.

Course of action: Multi stakeholder approach should be adopted bringing all parties on discussion and deliberation to find new site. I will ensure detailed SIA and EIA of new site is conducted as per EPA 1986. Tax holiday and other support provisions can be Provided to small ancillary units so that they can shift to newer area while maintaining their competitiveness and viability. I will also ensure from now onwards, chemical unit to have strict compliance and better regulation, so that problem may not resurface again. I will make detailed report of the entire case and submit to Secretariat level so that effective policy could be made on Pan India basis.