The Supreme Court on Monday overturned the National Green Tribunal’s (NGT) directive restraining the Auroville Foundation from proceeding with its proposed township project in Puducherry without obtaining environmental clearance. The apex court emphasized the necessity of striking a balance between development and environmental protection, underscoring the principle of sustainable development.
A bench comprising Justice Bela M Trivedi and Justice P B Varale ruled in favor of the Foundation’s appeal challenging the NGT’s April 28, 2022, order. The court observed, “While the precautionary principle and polluter pays principle are integral to environmental law in India, it is equally important to recognize that the right to a clean environment is a fundamental right under Article 14 of the Constitution. However, the right to development also holds significance under Articles 14, 19, and 21. Therefore, there is a need for sustainable development that maintains a balance between environmental protection and developmental needs.”
The Supreme Court determined that there was no breach of environmental law in this matter, and the directions issued by the NGT were “legally untenable.”

Background of the NGT’s Order
The NGT’s order stemmed from a petition filed by environmental activist Navroz Kersasp Mody, who raised concerns over the large-scale cutting of trees by the Foundation to facilitate the township project. Mody argued that these lands qualify as forests and deserve protection under the Supreme Court’s ruling in the T N Godavarman case. He further alleged that the Foundation disregarded objections raised by a section of Auroville residents and failed to engage in the required dialogue and consultation processes before implementing the Master Plan.
According to Mody, the afforestation efforts in Auroville began in the 1970s with assistance from international grants, leading to the plantation of over a million trees. The reforested area subsequently developed into a thriving ecosystem, fostering biodiversity, including the return of several bird and animal species, and nurturing endangered floral varieties.
The Foundation’s Stand
The Auroville Foundation defended its project, asserting that Auroville has always been planned as an international cultural township rather than a forest. The Foundation, established under The Auroville Foundation Act, 1988, aims to develop a township accommodating 50,000 residents. It stated that the Auroville Master Plan, including the Auroville Universal Township Master Plan (Perspective 2025), had received approval from the Central Government.
The NGT, however, had directed the Foundation to halt all activities until obtaining the necessary Environmental Clearance (EC). It also constituted a committee comprising the District Collector, a senior Forest Officer, and other officials to assess whether modifications in the township plan could minimize tree-cutting and environmental impact. The Tribunal had instructed the Foundation to await the committee’s recommendations before resuming any construction activities, particularly the proposed road network within the project area.
Supreme Court’s Verdict
By setting aside the NGT’s ruling, the Supreme Court has allowed the Auroville Foundation to continue its township development. However, it reiterated the importance of sustainable development, ensuring that projects adhere to environmental norms without unnecessary restrictions on growth and urban planning.