Classification of Industries Based On Pollution Potential

The Central Pollution Control Board (CPCB) has unveiled a revised methodology for classifying industrial sectors based on their pollution potential. This updated system categorizes industries into Red, Orange, Green, White, and a newly introduced Blue category, providing a refined tool for environmental management and regulatory oversight. This report on classification of sectors was published on January 23, 2025.

Evolution of the Classification System

The concept of classifying industries based on pollution potential originated in 1989 for the Doon Valley, focusing on operational size and resource consumption for siting decisions. This approach was later adopted nationwide for consent management and industry surveillance. In 2012, CPCB standardized the classification with 244 sectors across Red, Orange, and Green categories.

A Pollution Index (PI) based scoring methodology was introduced in 2016, considering water pollution, air pollution, and hazardous waste generation, resulting in four categories (Red, Orange, Green, and White).

Need for Revision

Several factors prompted the need to revise the 2016 methodology:

1. Increased use of cleaner fuels like PNG and bio-CNG.
2. Adoption of cleaner technologies leading to reduced wastewater.
3. The need for separate scoring for trade and sewage effluent.
4. The need for a normalized approach for PI calculation.

Revised Methodology and Scoring

After extensive public consultation and review by a working committee, CPCB finalized a revised methodology based on three pollutant groups:

• Water Pollutant Score (PIW): Assesses wastewater’s oxygen demand, other pollutants, and quantity.
• Air Pollutant Score (PIA): Evaluates process emissions, work zone emissions (fugitive and odor), and fuel type/quantity.
• Waste Pollutant Score (PIH): Considers the type and quantity of hazardous/toxic/infectious/bulk waste.

Each group receives a score out of 100, and a Cumulative Pollution Index (PI) is calculated. Sector categories are determined by the PI range:

Introduction of Blue Category and Incentives

Responding to stakeholder feedback, a “Blue category” has been introduced for Essential Environmental Services (ESS) crucial for managing domestic/household waste. An incentive mechanism has also been established to reward units adopting environmentally friendly practices, such as 100% wastewater treatment and recovery, 100% cleaner fuel/renewable energy use, and continuous compliance.

Salient Features of the Revised Methodology

1. Focus on a sector’s “potential to pollute.”
2. Simplified single formula for Cumulative Pollution Index.
3. Equal weighting for air, water, and waste pollutant groups.
4. Separate scoring for sewage and bio-medical waste generating sectors.
5. Introduction of the Blue Category for ESS.
6. Weighting for scale of operations using more detailed sub-sectors.
7. Introduction of sub-categories based on cleaner technologies, fuel types, and operational integration.
8. Motivation for progressive environmental management.
9. A tool for assessing PI and category based on the revised method.

CPCB has classified 419 sectors and sub-sectors using the revised methodology: 125 Red, 137 Orange, 94 Green, 54 White, and 9 Blue. This revised classification will be used for various purposes, including consent management, inspection frequency, siting criteria, cluster development, pollution control plans, environmental compensation, and promoting progressive environmental management. This updated framework represents a significant step towards more effective and nuanced environmental regulation in India.