Godrej Properties has challenged the Ministry of Environment, Forest and Climate Change's (MoEFCC) decision to revoke the Environmental Clearance (EC) granted for its commercial project Godrej Eternia in Chandigarh. According to reports from CNBC TV18, the company received the ministry's letter dated September 30, 2026, revoking the project's EC. Godrej Properties said it has appealed against the decision before the National Green Tribunal (NGT) and remains confident of its position on the merits of the matter. The company contends that the action proceeds on an erroneous premise and asserts it acted in strict accordance with approvals granted by competent authorities. According to the company's disclosure, the MoEFCC has alleged that Godrej Eternia is located within 10 km of the Sukhna Wildlife Sanctuary and therefore required clearance from the Standing Committee of the National Board for Wildlife (NBWL).
The MoEFCC has alleged that Godrej Eternia is located within 10 km of the Sukhna Wildlife Sanctuary and therefore required clearance from the Standing Committee of the National Board for Wildlife (NBWL). As reported by CNBC TV18, the ministry has alleged that the required wildlife clearance was not obtained, resulting in a purported violation of the project's Environmental Clearance conditions. However, Godrej Properties has denied this allegation, stating that its EC never mandated NBWL clearance for this specific project. The company emphasizes that it has acted in good faith and remains confident in its legal position regarding the matter.
The company has cited a January 18, 2017 Gazette Notification issued by the Union Territory of Chandigarh, which notified the final limits of the Environmentally Sensitive Zone (ESZ) around the Sukhna Wildlife Sanctuary at a maximum of 2.75 km from the sanctuary boundary. According to CNBC TV18, Godrej Properties said Godrej Eternia is located 6.6 km from the sanctuary boundary, placing it more than twice the notified limit and clearly outside the ESZ. Based on this, the company argues that the question of obtaining NBWL clearance does not arise, maintaining a buffer of nearly 4 km beyond the legally defined sensitive zone. The core divergence lies in the distance metrics cited in the regulatory dispute, with MoEFCC's action relying on a general 10 km proximity rule while the company's defense hinges on the specific statutory definition of the ESZ.
Godrej Properties said the revocation comes 10 years after the project was completed, with all requisite approvals in place. As reported by CNBC TV18, the company maintained that it had complied with the conditions of the Environmental Clearance and acted in good faith and in accordance with approvals granted by the competent authorities. The company emphasized its full compliance with the conditions of the EC at all times and stated that it has acted in good faith throughout the project's development. The company has already filed an appeal against the MoEFCC's letter before the NGT, with the matter currently sub judice.
Godrej Properties shares closed at ₹1,595.80 on the NSE, down 2.01% from the previous close, according to CNBC TV18. The stock decline occurred following the announcement of the environmental clearance revocation, reflecting investor concerns about the project's regulatory status. The matter is currently sub judice before the NGT, with the company maintaining its appeal against the MoEFCC's decision and expressing confidence in its legal position.
