Introduction

Over the last three decades, since India has shifted towards the policies of Privatisation and Globalisation, the Corporates[1] are increasingly contributing to the degradation of existing ecosystem. They emit huge amounts of hazardous pollutants through excessive use of available natural resources thereby causing a serious threat to our planet’s biodiversity as well as its habitable ecosystem. Considering the contemporary situation of climate, there seems to be an urgency to take varied measures to stop or even control the degradation of the environment by human activity. Initiatives aimed at mere neutralization of produced pollutants are no longer appearing to be sufficient enough to deal with the situation properly. It is necessary to search for solutions to reduce the environmental burden of business activity at all phases of the production process, from the designing stage and production planning to every stage of the manufacturing process.

The United Nations Industrial Development Organisation defined CSR as follows:

“Corporate Social Responsibility is a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders.”[2]

Corporate Social Responsibility (CSR) towards the nature is a concept of conducting business activities, according to which the companies, in strict compliance with law, and while still making profits, voluntarily, and in some cases mandatorily, considers the impacts of their operations on the environment in their business decisions. Such an approach contributes to improving the quality of life and implementing the concept of sustainable development.

The Companies Act, 2013 made compulsory for all the Indian Companies to spend a specified amount of their income as mentioned in section 135 of the act[3], on certain activities as mentioned in schedule VII[4] of the act. By virtue of this provision, India became the first country to make CSR compulsory. The main aim was to make the companies which are earning substantially, to contribute back to the society, therefore to help in the growth of India’s socio-economic structure. At present Corporate Social Responsibility is a statutory liability/duty in India imposed by Section 135 of the Companies Act, 2013 on every company functioning in India, which satisfies any of the following conditions:

• having net worth of INR 500 Crore or more;
• having annual turnover of INR 1000 Crore or more;
• having net profit of INR 5 Crore or more.[5]

In context of Indian Laws, Schedule VII (iv) of the Companies Act, 2013[6] refers to “ensuring environmental sustainability, ecological balance, protection of flora and fauna, animal welfare, agroforestry, conservation of natural resources and maintaining quality of soil, air and water” as an activity under the umbrella of CSR, which the companies may choose to engage into in order to fulfil the mandatory CSR obligation.

However, as per the statistics provided by the ministry of Corporate Affairs of India, merely less than 9 percent[7] of those spending are being done towards the environment. It is too low as compared to the environmental degradation that is being done by corporate entities. In 2020, Researchers at Yale and Columbia universities, who produced a biennial scorecard of national results on a range of sustainability issues ranked India at 168^th position amongst 180 countries on Environmental Performance Index.[8]

Precautions are better than cure. On the basis of this phrase there are existing precautionary principals for the protection of environment primarily. However, those policies fails to administer the harm to environment that is being caused due to the profit oriented approach of corporate entities via acts such as release of the industrial wastes which are highly toxic to the environment. There exists national policies as well as international conventions with regard to the same but both fails to deal with the situation appropriately which will further be discussed in the forthcoming chapters. The principles proposes anticipate the probable causes which may cause harm to the environment and to tackle them in advance before they could harm the environment irreparably.[9] International frameworks such as United Nations Framework Convention on climate change as well as the Rio Declaration[10] proposes environment protection to be a common responsibility on all the nations but in differentiated quantum, i.e., as much a nation can afford giving regard to its available resources. Nations like India argues that the developed nations should contribute more therefore as their developed economies create higher pollution than the less developed ones.[11] There are guiding provisions for nations to take measures with regard to the environment protection however such measures are not adequately defined and are left to the interpretation of the nations themselves.[12]

In M.C. Mehta vs. Union Of India,[13] the apex court held that “life, public health and ecology has priority over unemployment and loss of revenue problem”. Similarly, in Narmada Bachao Andolan case[14], the apex court stated “when there is a state of uncertainty due to lack of data or material about the extent of damage or pollution likely to be caused then, in order to maintain the ecological balance, the burden of proof that the said balance will be maintained must necessarily be on the industry or the unit which is likely to cause pollution”.

Therefore, there is a need for an extensive study to critically analyse the existing laws of the nation which obligates corporate entities for protection of environment and to check their efficiency. Also, it is required to be analysed as to what steps can be taken to maximise the contribution of the corporate entities towards the protection and betterment of the environment and how can the environmental laws be incorporated in the corporate law for the same purposes thus making the Indian Companies more liable towards the environment and sustainable development, which if not implemented today, would slowly make India’s environment inhabitable in the years to come.

 

1.1           QUESTIONS

On the basis of the discussions made hereinabove, following questions are required to be briefly analysed by way of this research:

1. What is the efficacy of the current laws prevailing in India with regard to the Corporate Social Responsibilities of Companies towards protecting the Environment in which they are functioning?

 

1. What are the amendments that can be made in the prevailing laws for betterment of the same, if any?

 

 

1.2           METHODOLOGY

In order to reach at the concluding answers for the questions raised hereinabove, a doctrinal research is required with a focus on the Company laws and the Environment Protection laws of India. This research thesis is an analytical study to analyse the present scenario of prevailing laws at present and the application of those laws in practicality. This is being done to conclude as to how much effective are those laws in today’s scenario. The true aim of conducting this research is to analyse the pre-existing laws which are to companies relating to the safety of environment. Keeping in view the need of present research, various judgments of the Hon’ble Supreme Court of India as well as in the High Courts on the issue have also been used as a source of information. The judgments pronounced in the cases have been analysed in detail and used as a means of diagnosis to know the basic lacunae and twin areas of this research topic.

 

1.3           HYPOTHESIS

The section 135 of the Companies Act, 2013 has been made with the aim of promoting the culture that the companies which are earning good would contribute back to the society, thereby contributing in the growth of India’s socio-economic structure. Therefore, the Corporate Entities should integrate social and environmental concerns in their business operations and interactions, yet the aims are not seen to be achieved till now. A Hypothesis can thus be made that the research would bring out the insensitive corporate behaviour and the insufficiency of the pre-existing laws and there is an urgent need for reforming the corporate laws of the nation in order to make them contribute more towards the environment. The pre-existing corporate laws at present, do not have provisions regarding contribution towards environment for other corporate entities which are not covered by the Companies Act and for the Corporate Entities which are not running in profits. The research hypotheses rest on the following assumptions that corporate enterprises are increasingly contributing to the degradation of existing ecosystems by emitting huge amounts of hazardous pollutants and are hampering the environment. Excessive use of available natural resources, causing a serious threat to our planet’s biodiversity. With this research it is asserted that the Corporate and Environmental Law provisions are not sufficient to achieve its objectives and suggestions are given. The main focus is to assess the sufficiency of the existing laws and to establish whether there is a need for stricter laws or not.

 

 

 

2       Literature Review

“We do not inherit the earth from our ancestors; we borrow it from our children”[15]

– A Native American proverb

The proverb very well reflects a crucial fact that we did not make any efforts to get most of the natural resources that we are getting from the planet. Therefore, it is our moral duty to leave the world in the way it was when we were born, if not to make it better in return for whatever we are getting from the planet.

India had primarily been inclined to be a socialist nation since independence while focusing on the welfare of the society above capitalism, but slowly India had to adopt to the global trends of privatisation and globalisation, which led to a shift into capitalism (profit oriented approach) and a shift of economic control of the nation from the government to the corporate entities. Therefore, concepts such as corporate social responsibility emerged to transfer the responsibilities of social welfare and protection of environment on the shoulders of corporate entities as well.[16]

 

2.1           MEANING OF CORPORATE SOCIAL RESPONSIBILITY

Corporate Social Responsibility can be said to be a set of policies and activities which are done by a corporate entity in order to become socially accountable to itself, its stakeholders and public at large.[17]

 

Jerry Marshall provides separate opinions and arguments from perspectives of different schools while explaining Corporate Social Responsibility. ‘Compliance Critics’ considers CSR to be mere compliance of laws of the land (environmental, labour, health and safety, etc.) as laws are ultimately the opinions of a society and thereafter focusing on maximising the profitability of the business. Another category which is described by the author is ‘Voluntarist Apologists’who involves ‘Moderate and Radical Apologists’. ‘Moderate Apologists’ considers that the companies should volunteer themselves to reverse the negative footprints of their business on the society and should try to go beyond the prescriptions of law as law merely provides the basic standards to be fulfilled and not the actual moral duty which is way more than as prescribed by the law. Lastly, ‘Radical Apologists’ who agrees with the arguments put forward by the ‘Moderate Apologists’ but further argues that a company cannot bear such additional costs of social responsibility considering that it would be very difficult to survive and grow as the demands are highly elastic and any increase in cost may cause a corporate entity to die economically while also considering that the impact of such social spending would be directly upon the consumers, shareholders or the labour which may lead to fail the very motive of development of society.[18]

 

Vinod and Sivakumar analysed the factors which are crucial for motivation of corporate entities to engage in the acts of corporate social responsibility which involves managerial, operational and legal aspects as well as the moral conscience and the internal policies of the management of the company.[19]

 

Corporate Social Responsibility, in modern times goes beyond the purposes of charity whereby a threefold goal is sought by the corporate which involves corporate to function in an economically, environmentally and socially sustainable manner in the long run.[20]

 

2.2           NECESSITY FOR ENVIRONMENT PROTECTION IN TODAY’S SCENARIO.

Environment protection was never kept as a primary goal by the framers of the constitution and it was only later when the right of individuals to live in a healthy environment was recognised by the expansion of the meaning of Article 21 of the Constitution by the judiciary whereby Right to life was held to be inclusive of Right to live in a healthy environment.[21]

 

Despite several measures being taken by the government for the betterment of the environment and to move in the direction of the UN Sustainability Development Goals, 2030, no substantial change is noticeable in the betterment of the environment of India which is evident from the rising pollution levels in the nation.[22]

 

2.3           CORPORATE SOCIAL RESPONSIBILITY TOWARDS ENVIRONMENT PROTECTION

The authors of a paper on Corporate Social responsibility and Environmental Sustainability in 2019 analysed and compared the motive behind making the CSR mandatory for selected categories of Corporate Entities and the actual empirical impact of the CSR norms on the corporate vis a vis their energy intensity which is considered to be a step towards environment sustainability.[23]

 

In a study, empirical evidence was found that less than 10% of the total corporate entities are preferring to focus on the sustainability of the environment, otherwise environmental aspects and crucial topics such as environmental sustainability are overlooked at a large scale as a responsibility on the shoulders of corporate entities.[24]

 

Richard Stones suggests that Corporate Environmental Responsibility is not merely a social responsibility on the corporate entities but rather can also be seen as an opportunity for building market image of the entity. Therefore, it should not be seen as a burden but rather as an opportunity to excel in the market by a corporate entity. The author states that such crucial factor is capable of giving competitive advantage to an entity over the others in the market by enhancing its social image.[25]

 

Heikkurinen had very well analysed the structure of the responsibilities of the corporate entities towards the society and the stakeholders and why it becomes necessary to manage both of them in the most efficient manner. The paper also puts forth the idea that environment sensitivity of a corporate entity can be further used as a tool for making a social reputation which in turn would benefit the entity in the long run.[26]

 

Another China based study was conducted in 2014, whereby it was analysed that whether Buddhism, the most followed religion in a nation like China impacts the sensitivity of corporate entities towards the sustainability of the environment and their spending for the protection of natural environment. It was found that as the top management of an entity is more conscious towards the safety of planet, a substantial inclination towards the realisation of corporate environment responsibility can be observed.[27]

 

Sadok El Ghoul from University of Alberta studied about the direct benefits of investing in the environment sustainability and his study showed an overall reduction in the cost of equity for the corporate entities due to the increase in the goodwill of the corporate entity thereby showing investment in environment protection to be directly beneficial as well.[28]

 

A brief paper further analysed the relationship between the organisational behaviour and sensitivity of the employees towards the environment whereby it is shown that both of them are co-dependent on each other and the employees working in a company having good morals and high corporate environment responsibility are more likely to have environment sensitivity as compared to the rest and vice versa.[29]

 

Tongbin Zhang talks about the need for efforts to be made by companies to reduce their carbon emissions in their operational functions and provide it as an only option for sustainable development whereby the companies are sensitive towards the impact they are causing on the environment.[30]

 

Dummet K. in his study analyses the key factors which can be categorised as the driving factor towards the realisation of corporate environmental responsibilities of a corporate entity which involves statutes and legislations imposed by the government as well as the demands for eco-friendly products in the market which are created by leaving the least amount of carbon footprint on the environment. Therefore, the population which is demanding the products of a corporate entity can also impact the environmental sensitivity of that company.[31] Similarly, the crucial factors for determining the Corporate expenditure on the environment involving the role of government in the system have been discussed by the authors thereby deriving a conclusion that the green approach can be highly beneficial for corporate entities in the long run.[32]

 

The author in another article, provides a view that as more and more corporate entities enter into the category of being multi-nationals, the awareness is spreading with regard to the social and environmental situations in the developing nations which eventually creates a need to make the corporate functioning to be more transparent when it comes to showing sensitivity towards social and environmental issues.[33]

 

 

3        CSR IN INDIA

Corporate Social Responsibility is not an easy concept to understand. Primarily because the term itself is an umbrella term which is open to interpretation and contains various aspects in itself. It is concerned with maintaining business-society relations. However, many theorists have time to time tried to define the term in their own understanding.[34]

Bowen (1953), set forth an initial definition of the social responsibility of businessmen in his book ‘Social Responsibilities of Businessmen’ published in 1953, he is one of the early contributors on the concept, conceived Corporate Social Responsibility as business policies and decisions, which give values to the society. “It refers to the obligations of businessmen to pursue those policies to make those decisions or to follow those lines of action which are desirable in terms of the objectives and values of our society”  He argued that social responsibility is no panacea, but it is an important value that must guide business in the future.[35]

CSR is a corporate act of giving back to the immediate and wider community in which organization carry out their business in a manner that is meaningful, valuable and relevant to the community. It’s a way for the communities to reach out to their host communities by positively responding to them. It’s the way of being grateful towards the environment in which they work and operate and a way of also showing a sense of belonging to the society at large.[36]

 

3.1           The Transition from Voluntary to Mandatory Rules

At present, the concept of CSR is explicitly contained under section 135 of the Companies Act, 2013 which is in itself vocal about its object and purpose. It is capacitated sufficiently to define and enlist the parameters, roles and responsibilities of organisations across this nation. It further emphasizes on 2 percent mandatory contribution of the total net profit solely towards CSR. It enumerates a list of activities which can be taken up by an organisation and goes on to provide for a CSR Committee for every such organisation carrying out CSR where role of people associated has also been discussed.[37]

On 1^st April, 2014, our nation became the first country which mandated Corporate Social Responsibility not traditionally or conceptually but legally. As part of any CSR compliance, the businesses were made to invest their profits in areas relating to education, poverty, gender equality and also hunger.

Before the enactment of the Companies Act, 2013, the concept of CSR in India was a mere philanthropy or an activity associated with such philanthropy. As every Indian tradition which might have a legal recognition or emphasis associated with it but is primarily moral in nature, it was obviously believed that more than any legal responsibility, it is a moral responsibility on part of the organisations to play an active role when it comes to discharging social obligations. This moral obligation however should not be in contrast with the financial health of the company but should in fact run shoulder to shoulder with it.

It was only in early 90s in India when the father of this nation, Mahatma Gandhi introduced the very concept of trusteeship which was aimed at socio-economic growth. The concept of CSR was influenced by family values, numerous traditions, diverse culture and religion.[38] The aforesaid transition is all about voluntary approach to mandatory approach however the transition also entails a second form or kind of shift which is shareholder centric to stakeholder centric. ^[39]

It was quite recent when the National Green Tribunal, New Delhi, India (hereinafter referred to as the NGT) also rendered its observation and interpretation qua the provision of CSR and stakeholder centric governance in the case titled as Aam Janta v. State of MP & Ors. In this particular case, residents from certain villages filed a suit against the company Prism Cement Ltd. and requested the Tribunal to stop the company from pollution causing activities and improving sanitation the area.^[40] The tribunal duly considered and placed emphasis on the report given by the State Pollution Control Board and ordered the aforementioned to take every necessary step in order to improvise the living condition of the area and also maintaining cordial relationship with the villages residing in such area. The court stated that “the company should strive to integrate the economic, environmental and social objectives into their governance system and they cannot escape from social responsibility of maintaining clean environment”^[41].

Again it can be observed that even in cases dealing with the Environment Protection Act 1986, an environmentally oriented tribunal interpreted and incorporated the CSR language in its pronouncement and gave a ray of light towards recognition of this concept by the corporations without fault. The judiciary and other accompanied judicial units have thus taken into account, time and again the concept of CSR and stakeholder engagement because they are aware of the corresponding positive outcomes. It has helped in building social capital with a consequent reduction of risk relating to products, services, social and environmental impacts.^[42]

Thereafter, in 2013, India made CSR to be a mandatory law as mentioned in Section 135 of the Companies Act, 2013 which is already discussed above..[43]

 

3.2           Benefits of corporate social investment for businesses

The potential benefits of CSR to companies include[44]:

• Better brand recognition
• Positive business reputation
• Increased sales and customer loyalty
• Operational costs savings
• Better financial situation
• Greater ability to attract talent and retain staff
• Organisational growth
• Easier access to capital

 

RESPONSIBLE BUSINESS REPUTATION

It is quite a general and an apparent observation that any company preferring CSR is actually investing in an optimistic business reputation which shall always yield an ever growing graph in numerous aspects. It will correspondingly contribute to competitive advantage.

There is a natural favouritism towards organisations that have responsible policies. Why responsible policies are so mandatory? Because it reflects how their customers perceive them. The perception and an overall approach towards a company’s policies are now being given credence even by consumers who are in fact oblivious to the nitty-gritties of an organizational functioning.

COSTS SAVINGS

A very sensible approach lies in the fact that when a company focuses on reduction of resource use, waste and emissions, it is concurrently helping the environment by infact saving a lot of money. Just by these simple steps and an overall strategized approach towards CSR, one can lower their utility bills and achieve savings for its business.

FINDING AND KEEPING TALENTED STAFF

This concept has an overall psychological impact and a long lasting effect on a company’s employees as well. Apart from rendering them the motivation to be a part of such a unit, it keeps them driven and inculcate a sound approach and impression of their own organization. In such scenario, it is easier to recruit new employees and retain the existing ones for a longer period leading to company’s overall growth and stability. This will eventually lead to reduction of cost and disruption of retraining.

OTHER BENEFITS OF CSR TO COMPANIES

Apart from some of the factors stated above, it is imperial to state that by overall acting in a sustainable, responsible way, it is also easier to:

• Access and attract finance – investors since they are more likely to render a backbone a reputable business.
• Attract optimistic media attention and reach for example in situations where an organisation engages in community activities, it will appeal to the masses.
• Reduction or regulation of burdened relationships with local authorities will further ease out the functioning of a business.
• Identification of new business opportunities. If combined with the aforementioned factors, various institutions would prefer collaborating with a company or an organisation further leading to scope of new engagements and new ideas which will eventually lead to its expansion. For example, the development of new products or services”[45]

 

 

4        Corporate Environment Responsibility

4.1           Need for Corporate Environment Responsibility

Sustainable development is becoming more and more important as the human beings are progressing in the business world. The radical change in Climate has started to affect more and more lives as well as putting a question to the existence of many species on our planet. Sustainable business practices are becoming the need of the hour. According to NASA, “it’s more than 95% likely that human activity is causing the planet to get warmer. Human industry is a big part of the climate change picture because of its reliance on land, resources, fossil fuels, and non-stop production and consumption.”[46] The Companies must apply a more dedicated approach to protect the environment as mere neutralising the damage they are causing is no longer sufficient to protect the environment.[47]

A company can be acknowledged as “a moral organism with social and ethical responsibilities”[48], to which one can argue that their one and only aim is profit maximisation and the maximisation of wealth of their shareholders. But such assumption would be faulty and incomplete as their exist some legal principles which a company is bound to follow in order to avoid prosecution.[49] There are a wide range of stakeholders whose interests are to be considered by a company which includes employees, customers, and suppliers but also communities and other stakeholder groups, for example civil society, and — critical in the climate change context — the environment.[50] Accordingly, CSR encompasses both social and environmental responsibility.[51]

One corporation incorporated disaster with a considerable impact even then which many Indians cannot forget is the Bhopal Gas Tragedy that took place in 1984. This tragedy witnessed about 20,000 perish and lakhs and lakhs of people gravely and irreparably injured and distraught due to a sheer negligence and corresponding leak of poisonous gas from the Union Carbide Factory.^[52]  The Multi National Company responsible for such act without a doubt depicted gross and criminal disrespect towards the safety, human rights, human existence and went ahead to use its monetary power and status to evade responsibility from it, non-payment of adequate compensation or even cleaning the factory from toxic materials.^[53]  Many people might be oblivious to the fact that this corporation was using same chemicals and was functioning in the same manner at West Virginia, United States. However, there it duly green ticked the standards required to be maintained but abhorrently ignored the same in India due to lack of the general concept of CSR and its effective statutory mechanism or liability for that matter. The reason rested in company’s financial gain and its move to save its money by incorporating less vigorous safety standards and non-investment in preventive maintenance.^[54]

A triple bottom line test was introduced in late 90s by John Elkington, which asked companies to take care of following 3 things:

• profit optimization in the interest of the shareholders;
• socially and ethically responsible behaviour in the interest of the employees and civil society;
• resources-saving in the interest of environment protection.[55]

Companies should start working with new visions in their businesses reforming their business objectives and their responsibilities.[56]

 

4.2           LAWS DEALING WITH ENVIRONMENT IN INDIA

4.2.1      Constitutional Principles

The very essence of protection of Environment is reflected in the Constitution of India. The Fundamental Duties mentioned in Article 51 A imposes a duty on every citizen of India as follows:

Article 51 A (g) “ to protect and improve the natural environment including forests, lakes, rivers and wild life, and to have compassion for living creatures.”[57]

Further a duty is imposed upon the state by the Constitution under the Directive Principles of State Policies as follows:

Article 48A. “Protection and improvement of environment and safeguarding of forests and wild life The State shall endeavour to protect and improve the environment and to safeguard the forests and wild life of the country”[58]

However, the DPSPs are not mandatory and are merely a guideline given to the government of the nation to make laws. Because of this, the acts for protection of environment in India are mostly reactive in nature rather than taking pre analysed precautions.

 

4.2.2      Other Legislations for Environment Protection

 

The Parliament of India to control and prevent environmental degradation and pollution enacted various laws the main environmental laws, including under which various key environmental permits (or consents) are being issued in India. Ministry of Environment and Forests was formed in 1985. Various Regulatory authorities such as State Pollution Control Board and Central Pollution Control Board were thereafter formed under the Ministry of Environment, Forest and Climate Change which helps in the implementation of such environment protection laws. Such laws include the following:

THE AIR (PREVENTION AND CONTROL OF AIR POLLUTION) ACT, 1981[59]

This act becomes all the more important as air pollution is aggravated because of increasing traffic, urbanisation, rapid economic development and industrialisation. Section 17  of this act lays down the functions to be performed by the State Boards which includes implementing comprehensive programmes for prevention and control of pollution as well as advising the state governments on matters like suitability of location for setting up an industry. Apart from these important functions the boards also organises mass awareness programmes regarding air pollution and has the power to inspect at reasonable times any equipment, industrial plant and manufacturing process in lieu of combating air pollution.It also lays down standards for emissions of automobiles or industries or any other pollutant from any other source however does not have the power for deciding emission standards of ships and aircrafts.

Section 21 of the act further mandates prior consent of the state pollution control board before setting up of an industrial plant by any entity. It lays down certain conditions which must be followed even after grant of permit by the state pollution control board which includes:

Section 21 (5) “Every person to whom consent has been granted by the State Board under sub-section (4), shall comply with the following conditions, namely:—

• the control equipment of such specifications as the State Board may approve in this behalf shall be installed and operated in the premises where the industry is carried on or proposed to be carried on;
• chimney, wherever necessary, of such specifications as the State Board may approve in this behalf shall be erected or re-erected in such premises;”[60]

Section 22 restricts the emission of any gases apart from the standards as set by the State Boards. Section 40 provides for the acts done in violation of this act to be punishable accordingly, if done willingly and knowingly.

 

THE WATER (PREVENTION AND CONTROL OF POLLUTION) ACT, 1974[61]

Water pollution refers to the addition of certain substances to water such as organic, inorganic, biological, radiological, heat, which degrades the quality of water so that it becomes unfit for use. The Act came into force in 1974 and was introduced to prevent and control water pollution and to restore and maintain the wholesomeness of water for the establishment. This act was needed to stop the pollution being caused by industries along the banks of various rivers in the country like the Ganga and the Yamuna. The act economically incentivises pollution control and requires local authorities and certain industries to pay a cess for effluent discharge.

Section 20 of the Act provides power to the State Pollution Control Board to inspect any premises for violation of the rules for avoiding water pollution in the act. A permission is required to be taken from the state board by anyone for setting up of any new operation or process or treatment of sewage under Section 25 of the Act. Further, the permission once granted can be conditional and can be reviewed by the state board at any point of time.

Section 47 of the act, provides for offfences by the companies which is pari materia to section 40 of the Air (Prevention and Control of Pollution) Act 1981 (Air Act) as discussed above.

THE ENVIRONMENT (PROTECTION) ACT, 1986[62]

The Environment Protection Act 1986 suggests that no person in the country shall be carrying any of the activity operation in which there is a large emission of gases or other substances which may lead to excess environmental pollution.

Section 7 of the act provides that no person carrying an industrial operation shall be allowed to discharge pollutants in excess of the prescribed standards which are set by the pollution control boards under the act. Such a person can be prosecuted  for ‘exemplary damages’ if found guilty of damaging the environment. Section 8 requires every person who is handling hazardous substances to mandatorily comply with the procedural safeguards as mentioned in the act. Section 16provides for offences committed by the companies under the act and the liabilities for the same. Such punishments and liabilities are same as compared to the Air Act or the Water Act discussed above.

THE WILD LIFE (PROTECTION) ACT, 1972[63]

The Act came into force for the protection of plants, birds and animal species. It includes various regulations for animal hunting, deforestation, and for establishments of various national parks. Section 58 of the Act provides for Offences by Companies which states that if a Company is found violative of the Act, then the person in charge of the company would be liable for the punishments as mentioned in the Act.

FORESTS CONSERVATION ACT, 1980[64]

The Act primarily was enacted to deal with the problem of excessive deforestation and trespassing in the forests with aim to cause any kind of harm to the fauna of the forests.

Apart from these specific legislations, the parliament also enacted various other regulations from time to time for protecting and safeguarding our environment from harms such as pollution, degradation and indiscriminate use of our natural resources such as:

• E-Waste (Management) Rules 2016, as amended in 2018 (E-Waste Rules);
• Bio-Medical Waste Management Rules 2016;
• Plastic Waste Management Rules 2016;
• Solid Waste Management Rules, 2016;
• Construction and Demolition Waste Management Rules 2016;
• Hazardous and Other Waste (Management and Transboundary Movement) Rules2016, as amended in 2019 (HW Rules);
• Manufacture, Storage and Import of Hazardous Chemicals Rules 1989 (MSIHC Rules);
• Coastal Regulation Zone Notification 2019; and
• Environment Impact Assessment Notification 2006 as amended in 2020.
• Wild Life (Protection) Act 1972.
• Forest (Conservation) Act 1980.
• Public Liability Insurance Act 1991.
• Biological Diversity Act 2002.
• National Green Tribunal Act 2010.

 

4.3           JUDICIAL SCENARIAO

There are a very few judicial pronouncements in order to raise the conscience of the corporates with regard to the environment in India. In the case of Vellore Citizen’s Welfare Forum Vs Union Of India[65] the apex court of India held that the commercial industries, though are of vital importance to the country‘s development but they cannot be allowed to destroy the ecology, degrade the environment and post a health hazard and cannot be permitted to continue their operation unless they set up pollution control devices. Justice Kuldeep singh observed, “while such industries are of vital importance for the country‘s progress as they generate foreign exchange and employment avenues but having regard to the pollution caused by them, principles of sustainable development has to be adopted as a balancing concept between ecology and development.” The Court further observed “precautionary principle“ & “polluter pays principle‟ are both essential features of sustainable development. Therefore, the polluter is liable to pay the cost to the individual sufferers as well as the costs of reversing the damaged ecology.

In Subhash Kumar v. State of Bihar[66] the apex Court laid emphasis on the protection and conservation of the natural environment. The apex court further widened the scope of Article 21 of the Constitution of India, i.e., Right to life to include the right to live in a wholesome environment which includes the right to enjoy pollution free air and water as well.

In M.C. Mehta v. UOI [67],  the apex court dealt with the issue of rising pollution in Ganga river caused by the negligence of the tanneries on its bank & further ordered to establish primary treatment plants (PTP‘s) before disposal of wastes into the river.

 

4.4           INTERNATIONAL SCENARIO

International law is generally applicable to Nation states only and does not directly deal with the behaviour of Companies or businesses. Despite that, it has influenced the functioning of commercial entities over the last two decades.[68]Multinational Companies are functioning cross borders and thus a need for International regulations arises as the powers of national governments are limited to their territorial nexus only.[69]

The United Nations has played a crucial role for implementation of the Environmental, Social and  Governance (ESG)issues within the functioning of Corporations worldwide. It’s guidance principles expects the companies to incorporate Environmental and Social responsibilities within their day to day executive functioning. It requires them to make the assessment of business risk and opportunities in a way which favours the protection of environment.[70]

In 2015, two important efforts were initiated for the protection of environment at a global scale. It included the UN 2030 Agenda for Sustainable Development[71], which sets out 17 Sustainable Development Goals (SDGs). The other one was the Paris agreement[72] which talks about the climate change issue in detail. The Paris agreement aims at limiting the rise in global temperature to be “2 degree Celcius or preferably 1.5°C above pre-industrial levels”[73] adapting to a warming world. Though it is difficult to practically implement obligations on the companies directly in order to reduce their Carbon footprint, both the Sustainable development goals and the Paris agreement makes an effort to do the same. These steps at international level are being adopted by a few companies as well. Apple Inc., which is a multinational corporation dealing in technology products and services, has kept a goal for zero Carbon footprint globally till the year 2030. Another, Net Zero Asset Owner Alliance, which is a group of large institutional investors have committed to the goals of zero Green House gases emission till the year 2050.

There exist no universal standards for Environment impact assessment of business activities. However, a number of steps taken globally in this direction to encourage the long term goals are as follows:

• “The United Nations Global Compact which devotes three of its 10 principles to environmental issues, and boasts more than 10,000 corporate signatories. It promotes taking a precautionary approach to environmental challenges, encourages businesses to actively promote environmental responsibility, and is pushing for the development and adoption of environmentally friendly technologies.
• The Global Reporting Initiative has produced guidelines for sustainability reporting that have now been adopted by more than 7,500 companies. With 30 environmental indicators, the focus is around energy, biodiversity and emissions.
• The Carbon Disclosure Project offers guidance on the kinds of data needed to identify ways to reduce negative environment impact, with more than 5,000 corporate signatories by the end of 2014.
• The Leadership in Energy and Environmental Design program takes a more focused approach, offering guidance and certification for the development and running of more environmentally friendly buildings. Operating in more than 30 countries, and with 20,000 organizations signed up, LEED-certified buildings are not only better for the environment, but also more cost-effective due to the reduction in energy use.”[74]

Further, The World Economic Forum published a manifesto in 2015 requesting the companies to take a shift from “shareholder capitalism” to considering private corporations as “trustees of society” in response to today’s social and environmental problems.[75]

Despite the multinational companies and their investors being aware of the economic impact of Climate change, the fact cannot be ignored that the climate risks are being undervalued at present and are not being sufficiently recognised[76].

The COVID-19 pandemic had given humanity a glimpse what global impact can be caused by some natural phenomenon. Climate change can be evaluated on the same scale if not dealt with in time. Similar to risks of global pandemics, scientists have been warning of climate change risks for decades. It appears that various governments have started to take the issue seriously but there is still a long way to go in this field.

 

 

5        Conclusions and Recommendations

5.1           Conclusion

Corporate entities that are accepting and inculcating their business decisions with sustainable development will have long term benefits and low cost in long run. Businesses that are moving towards sustainable development practices will definitely have head start over their competitors in the market. In the near future environment is going to be the primary subject of every business practices so those taking it earlier will have added advantage. Though the practice to perform business activities keeping in mind the sustainable environment costs high but it will have long term benefits in future.

Corporates responsibility towards sustainable environment includes not only to apply environment friendly method of business but also methods which prove to be effective and efficient simultaneously.  Being energy efficient, saving water and utilising minimal natural resources for business practices are some of the ways every entity needs to opt for. Analysis of total cost involved and benefits derived will give them clear picture of what are the benefits of the sustainable environment methods.

As environment conservation and preservation is becoming prominent topic every consumer and investor keeps in mind to check the business background of the company before buying or investing in their firm. The environmentally sustainable companies are not only having competitive edge over others but also attracting new consumers and investors. Environmentally sustainable business are having improved image in the market provide them with no cost marketing that can be counted as advertising cost cutting strategy. Government also promote environmentally sustainable businesses and are happy to lend support to them.

Water pollution and conservation both have been a major issues in India.[77] Our government and as citizens we are not been able to overcome the current water situation in our country. Water conservation awareness is very less and in some areas the theory doesn’t even exist. Statutes have been made by the government but the effective implementation and results are yet to be seen. Clearly, we have laws on major natural resources but many things are still left undone.

 

5.2           Recommendations

The following actions can be taken by the government:

• Prioritising Entry (iv) of Schedule VII of the Companies Act, 2013 over the others in terms of Corporate Social Spending.
• Providing mandatory guidelines to be followed by the companies towards environmentally sustainable practices.
• Making compulsory minimum environment friendly standards need to be followed by the businesses.
• Establishing a separate independent authority to keep a check on the business activity violating environmental guidelines framed by government.
• Providing tax benefits to the business on solar panels.
• Encouraging the shifting of power production to renewable resources.
• Effectively banning disposal of Industrial wastes into Rivers.

 

It is necessary for every corporate entity to work towards environmentally sustainable goals. Top management must draw environment friendly goals to be achieved by each hierarchy level of the management. Planning & implementation – every corporate entity should lay down the vision and mission of their company keeping in mind the environmental sustainable activity. The businesses should plan the environmental goals and targets and communicate the same to the organisation and all the stake holders; consumers, investors, etc. the goals must be achievable and practical. Every hierarchy of management must put forward the report of their progress in achieving the environmental goals. Organisations should apply environmentally responsible and accountable management practices to hazardous substances used in business operations and other material like biological products. their handling, storage, safety use, transportation and other related activities must be supervised.

Corporates should prioritize environment and inculcate environmental practices in their business activities. Businesses should make plans and goals that are achievable through environmentally sustainable methods. The policies and periodic report must be formed keeping in mind the need and requirements of the current environment scenario.

Creating awareness about environment among staff and other stake holders is very important and necessary. Businesses can motivate their employee by various means like business reports, the environmental policy, newsletters, training programs, award programs, procurement standards, environmental days, etc to achieve environmental goals and create environmental values among them.

Periodic auditing of the accounts to see whether the environmental management principles are followed or not. Making random checks and reports of the current company status with regards to environmental management principles.

 

 

6        BIBLIOGRAPHY

 

Statutes

 

1. The Companies Act, 2013.
2. The Constitution of India, 1949.
3. The Air (Prevention and Control of Air Pollution) Act, 1981.
4. The Water (Prevention and Control of Pollution) Act, 1974.
5. The Wild Life (Protection) Act, 1972.
6. The Forests Conservation Act, 1980.
7. The Environment (Protection) Act, 1986.

 

Law Reports

 

1. Report of the High Level Committee on Corporate Social Responsibility, Government of India, August 2019 <https://www.mca.gov.in/Ministry/pdf/CSRHLC_13092019.pdf> accessed on 12/12/2020.

 

International Conventions

 

1. United Nations Conference on Environment and Development, Rio, ‘Rio Declaration’ (1992).
2. Paris Agreement to the United Nations Framework Convention on Climate Change, 12 December 2015.

 

 

Case Laws

 

1. C. Mehta v UOI, (1987) 4 SCC 463.
2. Narmada Bachao Andolan v UOI, (2000) 10 SCC 664.
3. Aam Janta v State of MP & Ors. (SC) C.S NO .35 OF 2013.
4. C. Mehta v UOI, 25 AIR 1988 Sc 1037.
5. Subhash Kumar v State of Bihar, AIR 1991 SC 420, at p.424.
6. Vellore Citizen’s Welfare Forum v Union Of India (1996) 5 SCC 650.

 

 

Articles

 

1. Angela Maria Ruepert, Kees Keiizer & L Steg, “The relationship between Corporate Environmental Responsibility, employees’ biospheric values and pro-environmental behaviour at work” Journal of Environmental Psychology. December 2017, 54, 65-78.
2. Ali A. Zaidi, “Mandates for Action: Corporate Governance Meets Climate Change” (2020) Stanford Law Review Online 72, 124.
3. Ason Fernando, “Corporate Social Responsibility” (2020) < https://www.investopedia.com/terms/c/corp-social-responsibility.asp> accessed on 30 November 2020.
4. Ben Caldecott, “Introduction to special issue: Stranded assets and the environment” (2017), Journal of Sustainable Finance and Investment 1, 1.
5. ‘Business benefits of corporate social responsibility’ (NI Business Info, 2020) <https://www.nibusinessinfo.co.uk/content/business-benefits-corporate-social-responsibility> accessed 8 January 2021.
6. Beate Sjåfjell, “Beyond Climate Risk: Integrating Sustainability into the Duties of the Corporate Bond” (2018) Deakin Law Review 23, 53.
7. Chun-Shuo Chen, Chih-Ching Yu, Jer-San Hu, “Constructing performance measurement indicators to suggested corporate environmental responsibility framework” (2017) Journal of technologies and social change.
8. Colin Mayer, “Reinventing the corporation” (2016) Journal of the British Academy 4, 53.
9. ‘Corporate Social Responsibility (CSR) in India’ (FICCI, 2016) <https://csrcfe.org/about-csr-in-india-public-policy/> accessed 28 January 2021.
10. CSR in India, https://shodhganga.inflibnet.ac.in/bitstream/10603/326226/9/09_chapter-1%20introduction.pdfaccessed on 13 March, 2021.
11. P. Singh, ‘The Precautionary Principles and Environmental Protection’ (2010) 52 Journal of Indian Law Institute https://www.jstor.org/stable/45148535 accessed on 20/12/2020.
12. David Monsma, “Equal Rights, Governance, and the Environmental Justice Principles in Corporate Social Responsibility” (2006) Ecology Law Quarterly 33, 477.
13. Edvard Castronova, ‘Virtual Worlds: A First Hand Account of market and Society on the Cyberian Frontier’ (2006) <http://papers.ssrn.com/so13/cf_dev//AbsbyAuth.cfin?per_id=465186#show917433 > accessed 8 January 2021.
14. Ghoul E N, Guedhami, Hakkon, Park, “Corporate environment responsibility and the cost of capital International Evidence” (2018) 149(2) Journal of Business Ethics, Springer, 335-361.
15. HR Bowen, ‘Social responsibilities of the businessman’ [2013] <https://www.researchgate.net/publication/290915036_Social_responsibilities_of_the_businessman> accessed 28 January 2021.
16. Harshini, ‘Corporate Social Responsibility’ http://www.legalservicesindia.com/article/1612/Corporate-Social-Responsibility.html accessed on 27 November 2020.
17. Heikkurinen P, “Image differentiation with corporate environmental responsibility” (2010) 17 Corporate Social Responsibility and Environment Management 142-152.
18. J Vine, ‘Pause for Thought’ “We do not inherit the earth from our ancestors, we borrow it from our children”, (29th January, 2018) <https://www.bbc.co.uk/programmes/p05wfymy> accessed 8 January 2021.
19. Jaydeep Shenoy, “India ranks near bottom of all countries, with particularly low scores on air quality, climate change mitigation” Times of India (Delhi, 4 June 2020) <https://timesofindia.indiatimes.com/india/india-ranks-near-bottom-of-all-countries-with-particularly-low-scores-on-air-quality-climate-change-mitigation/articleshow/76200344.cms> accessed on 12 February, 2021.
20. Jerry Marshall, ‘Corporate Social Responsibility: Comments on the Legal and Economic Context of a Continuing Debate’, Yale Law & Policy Review, 1984, (3) 1, 114-129.
21. Kaufmann, Martin Petrin, “Reconceptualizing the Theory of the Firm — From Nature to Function” (2013) Penn State Law Review, 46.
22. Kel Dummett, “Drivers of Corporate Environmental Responsibility” (2006) Environ Dev Sustain8, 375–389.
23. Mausami Prasad, Trupti Mishra & Vardraj Bapat, “Corporate Social Responsibility and environmental sustainability: Evidence from India using energy intensity as an indicator of environmental sustainability” (2019) vol 31 (4) IIMB Management Review 374.
24. Richard Stones, “Out of the Shadows” (Geographical, 2014) <http://geographical.co.uk/opinion/item/215-out-of-the-shadows> accessed 01 December 2020.
25. Rohit Sharma, ‘Corporate Social Responsibility and Environment Protection – A study of Judicial Role’ http://www.legalservicesindia.com/article/1920/Corporate-Social-Responsibility-and-Environmental-Protection.html#:~:text=A%20concept%20known%20as%20corporate,protect%20and%20improve%20the%20environment.&text=Judicial%20decisions%20bring%20into%20light,by%20streamlining%20the%20defaulting%20institutions.accessed 28 November 2020.
26. S Lahiri anand, ‘Bhopal Gas Disaster and Dow Chemical: Need for CSR’ (28 June, 2005) <https://papers.ssrn.com/sol3/papers.cfm?abstract_id=752784> accessed 28 January 2021.
27. Sandeep Gopalan, Akshay Kamlnath, “Mandatory CSR as a Vehicle for Reducing Inequality : An Indian Solution for Piketty and the Millennials”, (2015) Northwest Journal of Law and Policy, 10 NW.J.L& Soc. Pol’y 34.
28. Sudhir Shenoy, “Why environmental protection in India is the need of the hour” (2017) <https://www.business-standard.com/article/b2b-connect/why-environmental-protection-in-india-is-the-need-of-the-hour-117060200583_1.html#:~:text=The%20Government%20has%20taken%20a,pledged%20for%20a%20safer%20environment.>accessed on 30 November 2020.
29. ‘The causes of climate change’ (NASA, 3rd march, 2021) <https://climate.nasa.gov/causes/> accessed 10 June 2021.
30. ‘The Importance of Environmental Awareness When Running a Business’ (Maryville University, 2020) <https://online.maryville.edu/blog/importance-of-environmental-awareness-when-running-a-business/> accessed 8 January 2021.
31. Thomas Clarke, “The Widening Scope of Director’s Duties: Closing the Gap Between Legal Obligation and Enforcement Practice” (2016) Seattle University Law Review 39, 570.
32. Tim O’Riordan & James Cameron, ‘Interpreting the Precautionary Principle’ (1994) Routledge.
33. Tongbin Zhang, “Which policy is more effective, carbon reduction in all industries or in high energy-consuming Industries? From dual perspectives of welfare effects and economic effects” (2019) 216 Journal of Cleaner Production 184-196.
34. “Transforming our world: the 2030 Agenda for Sustainable Development”, UN General Assembly Resolution 70/1 of 25 September 2015.
35. UNIDO “What is CSR?” https://www.unido.org/our-focus/advancing-economic-competitiveness/competitive-trade-capacities-and-corporate-responsibility/corporate-social-responsibility-market-integration/what-csr accessed on 28 November 2020.
36. Vinod & Sivakumar, “Categorizing motivations of corporate environmental responsibility as part of CSR in Indian firms” (2017) 3^rd International Conference on Economic Growth and Sustainable Development: Emerging Trends, SDMIMD, Mysuru, Indi, 1-18.
37. Gullet, ‘Environment Protection and Precautionary Principles: a response to scientific uncertainty in environment management’ (1997) 14, Environment and Planning Law Journal, 52.
38. William Bradford, “Beyond Good and Evil: The Commensurability of Corporate Profits and Human Rights” (2012) Notre Dame Journal of Law, Ethics & Public Policy, 148.
39. “Why Environmental Sustainability is Becoming Big for Business”, The One Brief https://theonebrief.com/why-environmental-sustainability-is-becoming-big-for-business-2/ accessed on 30 March, 2021.
40. “Why Engage With Your Stakeholder is Important for CSR Reporting”, Greenstone, 2014, http://info.greenstoneplus.com/blog/why-engaging-with-your-stakeholders-is-important-for-csr-reporting accessed on 11 April, 2021.
41. Xingqiang Du, Wei Jian, Quan Zeng and Yingjie Du “Corporate Environmental Responsibility in Polluting Industries: Does Religion Matter?” Journal of Business Ethics, 2014, 408-507.

 

Books

 

1. Benedict Kingsbury, “The International Legal Order” (2003) The Oxford Handbook of Legal Studies, Oxford, 271.
2. J Weber and D M Wasieleski, “Corporate Social Responsibility”(2018), Emerald Publishing Limited, 90.
3. John Elkington, “Cannibals with Forks: the Triple Bottom Line of 21st Century Business”, (1997) Oxford.

 

 

[1] ‘Corporates’ – Relating to, or being the large corporations of a country considered as a unit, as defined by the dictionary of Mariam Webster.

[2] UNIDO “What is CSR?” https://www.unido.org/our-focus/advancing-economic-competitiveness/competitive-trade-capacities-and-corporate-responsibility/corporate-social-responsibility-market-integration/what-csr accessed on 28 November 2020.

[3] See Section 135, The Companies Act, 2013.

[4] Schecule VII, The Companies Act, 2013.

[5] Ibid.

[6] See Schedule VII (iv) Companies Act, 2013.

[7] Report of the High Level Committee on Corporate Social Responsibility, Government of India, August 2019 <https://www.mca.gov.in/Ministry/pdf/CSRHLC_13092019.pdf> accessed on 12/12/2020.

[8] Jaydeep Shenoy, “India ranks near bottom of all countries, with particularly low scores on air quality, climate change mitigation” Times of India(Delhi, 4 June 2020) <https://timesofindia.indiatimes.com/india/india-ranks-near-bottom-of-all-countries-with-particularly-low-scores-on-air-quality-climate-change-mitigation/articleshow/76200344.cms> accessed on 12 February, 2021.

[9] W. Gullet, ‘Environment Protection and Precautionary Principles: a response to scientific uncertainty in environment management’ (1997) 14, Environment and Planning Law Journal, 52.

[10] United Nations Conference on Environment and Development, Rio, ‘Rio Declaration’ (1992).

[11] Tim O’Riordan & James Cameron, ‘Interpreting the Precautionary Principle’ (1994) Routledge.

[12] C.P. Singh, ‘The Precautionary Principles and Environmental Protection’ (2010) 52 Journal of Indian Law Institute https://www.jstor.org/stable/45148535 accessed on 20/12/2020.

[13] M.C. Mehta v UOI, (1987) 4 SCC 463.

[14] Narmada Bachao Andolan v UOI, (2000) 10 SCC 664.

[15] J Vine, ‘Pause for Thought’ (“We do not inherit the earth from our ancestors, we borrow it from our children”, 29th January, 2018) <https://www.bbc.co.uk/programmes/p05wfymy> accessed 8 January 2021.

[16] Rohit Sharma, ‘Corporate Social Responsibility and Environment Protection – A study of Judicial Role’ http://www.legalservicesindia.com/article/1920/Corporate-Social-Responsibility-and-Environmental-Protection.html#:~:text=A%20concept%20known%20as%20corporate,protect%20and%20improve%20the%20environment.&text=Judicial%20decisions%20bring%20into%20light,by%20streamlining%20the%20defaulting%20institutions.accessed 28 November 2020.

[17] Ason Fernando, “Corporate Social Responsibility” (2020) < https://www.investopedia.com/terms/c/corp-social-responsibility.asp> accessed on 30 November 2020.

[18]Jerry Marshall, ‘Corporate Social Responsibility: Comments on the Legal and Economic Context of a Continuing Debate’, Yale Law & Policy Review, 1984, (3) 1, 114-129.

[19] Vinod & Sivakumar, “Categorizing motivations of corporate environmental responsibility as part of CSR in Indian firms” (2017) 3^rdInternational Conference on Economic Growth and Sustainable Development: Emerging Trends, SDMIMD, Mysuru, Indi, 1-18.

[20] See footnote 15.

[21] ibid.

[22] Sudhir Shenoy, “Why environmental protection in India is the need of the hour” (2017) <https://www.business-standard.com/article/b2b-connect/why-environmental-protection-in-india-is-the-need-of-the-hour-117060200583_1.html#:~:text=The%20Government%20has%20taken%20a,pledged%20for%20a%20safer%20environment.> accessed on 30 November 2020.

[23] Mausami Prasad, Trupti Mishra & Vardraj Bapat, “Corporate Social Responsibility and Environmental Sustainability” (2019) vol 31 (4) IIMB Management Review 374.

[24] See footnote 18.

[25] Richard Stones, “Out of the Shadows” (Geographical, 2014) <http://geographical.co.uk/opinion/item/215-out-of-the-shadows> accessed 01 December 2020.

[26] Heikkurinen P, “Image differentiation with corporate environmental responsibility” (2010) 17 Corporate Social Responsibility and Environment Management 142-152.

[27]Xingqiang Du, Wei Jian, Quan Zeng and Yingjie Du “Corporate Environmental Responsibility in Polluting Industries: Does Religion Matter?” Journal of Business Ethics, 2014, 408-507.

[28]Ghoul E N, Guedhami, Hakkon, Park, “Corporate environment responsibility and the cost of capital International Evidence” (2018) vol. 149(2)Journal of Business Ethics, Springer, 335-361.

[29] Angela Maria Ruepert, Kees Keiizer & L Steg, “The relationship between Corporate Environmental Responsibility, employees’ biospheric values and pro-environmental behaviour at work” Journal of Environmental Psychology. December 2017, 54, 65-78.

[30] Tongbin Zhang, “Which policy is more effective, carbon reduction in all industries or in high energy-consuming Industries? From dual perspectives of welfare effects and economic effects” (2019) 216 Journal of Cleaner Production 184-196.

[31] Kel Dummett, “Drivers of Corporate Environmental Responsibility” (2006) Environ Dev Sustain 8, 375–389.

[32] Chun-Shuo Chen, Chih-Ching Yu, Jer-San Hu, “Constructing performance measurement indicators to suggested corporate environmental responsibility framework” (2017) Journal of technologies and social change.

[33] Harshini, ‘Corporate Social Responsibility’ <http://www.legalservicesindia.com/article/1612/Corporate-Social-Responsibility.html> accessed on 27 November 2020.

[34] HR Bowen, ‘Social responsibilities of the businessman’ [2013] <https://www.researchgate.net/publication/290915036_Social_responsibilities_of_the_businessman> accessed 28 January 2021.

[35] Ibid.

[36] Edvard Castronova, ‘Virtual Worlds: A First Hand Account of market and Society on the Cyberian Frontier’ (2006) <http://papers.ssrn.com/so13/cf_dev//AbsbyAuth.cfin?per_id=465186#show917433 > accessed 8 January 2021.

[37] CSR in India, https://shodhganga.inflibnet.ac.in/bitstream/10603/326226/9/09_chapter-1%20introduction.pdf accessed on 13 March, 2021.

[38] ‘Corporate Social Responsibility (CSR) in India’ (FICCI, 2016) <https://csrcfe.org/about-csr-in-india-public-policy/> accessed 28 January 2021.

[39] Sandeep Gopalan, Akshay Kamlnath, “Mandatory CSR as a Vehicle for Reducing Inequality : An Indian Solution for Piketty and the Millennials”, (2015) Northwest Journal of Law and Policy, 10 NW.J.L& Soc. Pol’y 34.

[40] Aam Janta v State of MP & Ors.(SC) C.S NO .35 OF 2013.

[41] Ibid.

[42] “Why Engage With Your Stakeholder is Important for CSR Reporting”, Greenstone, 2014,  http://info.greenstoneplus.com/blog/why-engaging-with-your-stakeholders-is-important-for-csr-reporting accessed on 11 April, 2021.

[43] See footnote 4.

[44] ‘Business benefits of corporate social responsibility’ (NI Business Info, 2020) <https://www.nibusinessinfo.co.uk/content/business-benefits-corporate-social-responsibility> accessed 8 January 2021.

[45] Ibid.

[46] ‘The causes of climate change’ (NASA, 3rd march, 2021) <https://climate.nasa.gov/causes/> accessed 10 June 2021.

[47] ‘The Importance of Environmental Awareness When Running a Business’ (Maryville University, 2020) <https://online.maryville.edu/blog/importance-of-environmental-awareness-when-running-a-business/> accessed 8 January 2021.

[48]William Bradford, “Beyond Good and Evil: The Commensurability of Corporate Profits and Human Rights” (2012) Notre Dame Journal of Law, Ethics & Public Policy, 148.

[49] Beate Sjåfjell, “Beyond Climate Risk: Integrating Sustainability into the Duties of the Corporate Bond” (2018) Deakin Law Review 23, 53.

[50] Kaufmann, Martin Petrin, “Reconceptualizing the Theory of the Firm — From Nature to Function” (2013) Penn State Law Review, 46.

[51] David Monsma, “Equal Rights, Governance, and the Environmental Justice Principles in Corporate Social Responsibility” (2006) Ecology Law Quarterly 33, 477.

[52] Ibid.

[53] S Lahiri anand, ‘Bhopal Gas Disaster and Dow Chemical: Need for CSR’ (28 June, 2005) <https://papers.ssrn.com/sol3/papers.cfm?abstract_id=752784> accessed 28 January 2021.

[54] Ibid.

[55] John Elkington, “Cannibals with Forks: the Triple Bottom Line of 21st Century Business”, (1997) Oxford.

[56]Colin Mayer, “Reinventing the corporation” (2016) Journal of the British Academy 4, 53.

[57] Article 51 A (g), The Constitution of India, 1949.

[58] Article 48 A, The Constitution of India, 1949.

[59] The Air (Prevention and Control of Air Pollution) Act, 1981.

[60] Section 21(5), The Air (Prevention and Control of Air Pollution) Act, 1981.

[61] The Water (Prevention and Control of Pollution) Act, 1974.

[62] The Environment (Protection) Act, 1986.

[63] The Wild Life (Protection) Act, 1972.

[64] The Forests Conservation Act, 1980.

[65] Vellore Citizen’s Welfare Forum v Union Of India, (1996) 5 SCC 650.

[66] Subhash Kumar v State of Bihar, AIR 1991 SC 420, at p.424.

[67] M.C. Mehta v UOI, 25 AIR 1988 Sc 1037.

[68] Benedict Kingsbury, “The International Legal Order” (2003) The Oxford Handbook of Legal Studies, Oxford, 271.

[69]J Weber and D M Wasieleski, “Corporate Social Responsibility”(2018), Emerald Publishing Limited, 90.

[70] Thomas Clarke, “The Widening Scope of Director’s Duties: Closing the Gap Between Legal Obligation and Enforcement Practice” (2016) Seattle University Law Review 39, 570.

[71]“Transforming our world: the 2030 Agenda for Sustainable Development”, UN General Assembly Resolution 70/1 of 25 September 2015.

[72] Paris Agreement to the United Nations Framework Convention on Climate Change, 12 December 2015.

[73] Article 2(1)(a), The Paris Agreement, 2015.

[74] “Why Environmental Sustainability is Becoming Big for Business”, The One Brief https://theonebrief.com/why-environmental-sustainability-is-becoming-big-for-business-2/ accessed on 30 March, 2021.

[75] Ali A. Zaidi, “Mandates for Action: Corporate Governance Meets Climate Change” (2020) Stanford Law Review Online 72, 124.

[76] Ben Caldecott, “Introduction to special issue: Stranded assets and the environment” (2017), Journal of Sustainable Finance and Investment 1, 1.

[77] See footnote 67.