Air Act explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Sections 37, 38 and 38A are the core penalty sections of the Air Act. Section 37 penalises emitting beyond the standard (section 22) and ignoring the Board's directions under section 31A. Section 38 penalises acts such as obstruction, damage to Board property, failure to give information and failure to intimate an excess emission. Section 38A puts a salary-linked penalty on the Head of a Government Department.
This article is current as amended up to the Jan Vishwas (Amendment of Provisions) Act, 2023 (in force for this Act from 1 April 2024). That Act substituted sections 37 to 41 with sections 37, 38, 38A, 39, 39A, 39B, 39C and 39D; sections 40 and 41 no longer exist. Until 31 March 2024 these contraventions were offences punishable with imprisonment. Later amendments and notifications should be checked. If a penalty notice has reached you, our legal dispute resolution team can help.
Section 37: breach of section 22 or of a section 31A direction attracts a penalty of not less than ten thousand rupees but up to fifteen lakh rupees for each contravention, and an additional penalty of ten thousand rupees for every day it continues. Section 38: six listed acts attract the same range. Section 38A: the Head of a Department of the Central or State Government that contravenes the Act is liable to a penalty equal to one month of his basic salary, with a defence of lack of knowledge or due diligence. The penalty is imposed by an adjudicating officer.
Section 37: failure to comply with section 22 or section 31A directions
Section 37(1). "Whoever contravenes or does not comply with the provisions of section 22 or directions issued under section 31A, shall, in respect of each such contravention, be liable to penalty which shall not be less than ten thousand rupees, but which may extend to fifteen lakh rupees."
Section 37(2). "Where any person continues contravention under sub-section (1), he shall be liable to additional penalty of ten thousand rupees for every day during which such contravention continues."
Two points. The penalty is "in respect of each such contravention", so separate contraventions can attract separate penalties. And the daily additional penalty in section 37(2) is a fixed figure, not a ceiling: it is "of ten thousand rupees". Contrast section 39, where the daily penalty "may extend to" the figure.
The duties behind this section are in sections 22 and 22A and section 31A.
Section 38: penalties for certain acts
Section 38(1). Whoever:
| Clause | Act |
|---|---|
| (a) | Destroys, pulls down, removes, injures or defaces any pillar, post or stake fixed in the ground, or any notice or other matter put up, inscribed or placed, by or under the authority of the Board |
| (b) | Obstructs any person acting under the orders or directions of the Board from exercising his powers and performing his functions under the Act |
| (c) | Damages any works or property belonging to the Board |
| (d) | Fails to furnish to the Board or any officer or employee any information required for the purposes of the Act |
| (e) | Fails to intimate the occurrence, or the apprehension, of emission of air pollutants in excess of the State Board's standards to the State Board and other prescribed authorities or agencies, as section 23(1) requires |
| (f) | Fails in giving any information required to be given under the Act, or makes a statement which is false in any material particular |
"shall be liable to penalty which shall not be less than ten thousand rupees, but which may extend to fifteen lakh rupees".
Section 38(2). Where any person continues contravention under sub-section (1), he shall be liable to additional penalty of ten thousand rupees for every day during which the contravention continues.
Clause (e) is the penalty for not telling the Board about an accident-related excess emission; the duty itself is in section 23. Clause (b) is the penalty for obstructing an inspector.
Section 38A: contravention by a Government Department
Section 38A(1). Where a contravention of any provision of the Act has been committed by any Department of the Central Government or the State Government, "the Head of the Department shall be liable to penalty equal to one month of his basic salary". The proviso: he is not liable "if he proves that the contravention was committed without his knowledge or instructions or that he exercised all due diligence to prevent such contravention".
Section 38A(2). Where the contravention is attributable to any neglect on the part of an officer other than the Head of the Department, "the officer shall be liable to penalty equal to one month of his basic salary". The proviso: he is not liable if he proves that he exercised all due diligence to avoid the contravention.
The Environment (Protection) Act has a parallel provision; see sections 15 to 15B of the EP Act and, for the other penalty sections of this Act, sections 39 to 39C. For the EP Act's civil penalties for breach of standards and information duties see sections 14A and 14B.
How the penalty is imposed
The penalties under sections 37, 38 and 38A are determined by an adjudicating officer under section 39A, after an inquiry "in the manner, as may be prescribed", with a reasonable opportunity of being heard. An appeal lies to the National Green Tribunal under section 39B, and the amounts are credited to the Environmental Protection Fund under section 39C. All of that is in sections 39 to 39C.
The revision of minimum penalties
Section 3 of the Jan Vishwas (Amendment of Provisions) Act, 2023 provides that fines and penalties in the enactments in its Schedule increase by ten per cent of the minimum amount after the expiry of every three years from the commencement of that Act. This article states the figures as printed in sections 37 and 38 and computes no revised figure.
Penalties at a glance
| Section | Contravention | Penalty as printed | Daily additional penalty |
|---|---|---|---|
| 37 | Section 22 or section 31A direction | Not less than ten thousand rupees, up to fifteen lakh rupees, for each contravention | Ten thousand rupees for every day |
| 38 | The six acts in clauses (a) to (f) | Not less than ten thousand rupees, up to fifteen lakh rupees | Ten thousand rupees for every day |
| 38A(1) | Department contravenes the Act | Head of Department: one month of basic salary | None printed |
| 38A(2) | Contravention attributable to an officer's neglect | The officer: one month of basic salary | None printed |
Practical points
- Treat stack standards and Board directions as penalty triggers. Section 37 covers both.
- Do not obstruct or mislead. Obstruction, failure to inform and false statements fall under section 38.
- Report accidents. Failure to intimate an excess emission is a section 38(1)(e) contravention.
- Use the hearing. No penalty may be imposed without a reasonable opportunity of being heard.
- Watch the daily penalty. The additional penalty runs for every day the contravention continues.
An example
Indrayani Steel Castings Limited exceeds its stack standard and, after a written direction under section 31A, does not install the control equipment the Board asked for. The adjudicating officer, after a hearing, imposes a penalty within the printed range under section 37(1) and an additional penalty of ten thousand rupees for each day the non-compliance continued. The company's later failure to supply a return to the Board would be a separate matter under section 38(1)(d).
Need help with a penalty notice?
An inquiry into a penalty is decided on records, standards and what the company did after the first notice. Our legal dispute resolution team can help you prepare for the hearing and, if needed, the appeal.
Key takeaways
- Section 37 penalises breach of section 22 or a section 31A direction: ten thousand to fifteen lakh rupees, plus ten thousand rupees a day while it continues.
- Section 38 covers obstruction, damage to Board property, failing to furnish or giving false information, and failing to intimate an excess emission.
- Section 38A makes the Head of a Department, or a neglectful officer, liable to a penalty of one month of basic salary, subject to the defences printed.
- Penalties are imposed by an adjudicating officer after a hearing; see sections 39A to 39C.
- Section 40 and section 41 no longer exist.
Read next
- Sections 39 to 39C: residuary penalty, adjudicating officer, appeal and Fund
- Section 39D: offences for operating without consent and not paying a penalty
- Sections 14A and 14B of the EP Act: civil penalties
- Air Inquiry and Penalty Rules, 2024
Disclaimer: Based on the Environment (Protection) Act, 1986, the Air (Prevention and Control of Pollution) Act, 1981 and the Public Liability Insurance Act, 1991 as amended by the Jan Vishwas (Amendment of Provisions) Act, 2023 (in force for these Acts from 1 April 2024), the Water (Prevention and Control of Pollution) Act, 1974 as amended by its Amendment Act of 2024 (which applies only in the States and Union territories it names and in States that adopt it), and the National Green Tribunal Act, 2010 as amended by the Tribunals Reforms Act, 2021, as consulted on 3 October 2026. Later amendments, rules and notifications should be checked. This article is general information, not legal advice; check the official text before acting.