The Supreme Court on Thursday allowed the Taj Trapezium Zone (TTZ) Authority to process nearly 400 pending applications for setting up industries in the protected area around the Taj Mahal, while reiterating that only non-polluting industries can be permitted.

A Bench comprising Chief Justice of India Surya Kant and Justices Joymalya Bagchi and V. Mohana observed that delays in preparing assessment studies and policy documents cannot indefinitely halt decisions on pending applications.

"We, therefore, direct that the TTZ Authority may process the pending applications," the Bench ordered.

The Court clarified that applications may be processed without seeking its approval where the TTZ Authority, the National Environmental Engineering Research Institute (NEERI) and the Central Empowered Committee (CEC) unanimously conclude that the proposed industry is non-polluting.

However, if either the NEERI or CEC expert finds that an industry is polluting, the application cannot be approved without prior permission from the Supreme Court.

The Bench also directed that every approval be uploaded on the CEC website to invite objections or suggestions from the public before a final decision is taken.

The matter arose in proceedings where the Supreme Court had earlier prohibited the establishment of polluting industries in the 10,400 sq km Taj Trapezium Zone, a protected area created to safeguard the Taj Mahal and other heritage monuments in Agra from environmental damage.

Appearing for the Union government, Additional Solicitor General Aishwarya Bhati submitted that the blanket restriction on new industries was adversely affecting livelihoods.

She informed the Court that around 400 applications, primarily relating to micro, small and medium enterprises (MSMEs), were pending and stressed that no heavy industries were under consideration.

Senior Advocate Aparna Bhat, however, pointed to past instances where glass industries in the Firozabad region allegedly received approvals despite concerns raised by the Ministry of Environment, Forest and Climate Change.

During the hearing, the Bench observed that a practical balance must be struck between environmental protection and economic development, noting that livelihood concerns also deserve consideration.

The Court referred to NEERI's interim report dated April 21, 2025, which advised against adopting a rigid definition of "non-polluting industries." According to the report, restricting the classification solely to standards prescribed by the Central Pollution Control Board (CPCB) could hamper the region's economic growth. Instead, NEERI recommended considering factors such as Agra's heritage value, legacy industries and Geographical Indication (GI) status.

Taking note of the report, the Court allowed pending applications to be processed even though the cumulative impact assessment study and the final report on defining non-polluting industries are still awaited.

The Bench directed that every meeting of the TTZ Authority considering such applications must include one expert nominated by the CEC and one representative from NEERI, adding that no meeting should take place in the absence of both experts.

If either expert concludes that a proposed industry is polluting, the application must be placed before the Supreme Court. However, where both experts and the TTZ Authority unanimously agree that the industry is non-polluting, the application may be processed in accordance with law without seeking the Court's approval.

The Court further directed that all such decisions be published on the CEC's website, enabling members of the public to submit objections or suggestions, which must be considered before a final decision is taken.