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 39 to 39C complete the Air Act's penalty scheme. Section 39 is the residuary penalty for any contravention that no other section penalises. Section 39A appoints an adjudicating officer to hold an inquiry and fix penalties under sections 37, 38, 38A and 39. Section 39B gives an appeal to the National Green Tribunal, within sixty days and with ten per cent of the penalty deposited. Section 39C credits the penalties to the Environmental Protection Fund.
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). These sections were inserted by that Act in place of the former sections 37 to 41. Later amendments and notifications should be checked. If you are facing an inquiry, our legal dispute resolution team can help.
Section 39: any contravention of the Act, or of an order or direction under it, for which no penalty has been provided carries a penalty of not less than ten thousand rupees but up to fifteen lakh rupees, plus an additional penalty that may extend to ten thousand rupees a day. Section 39A: an adjudicating officer (not below Joint Secretary to the Government of India or Secretary to a State Government) holds the inquiry, with a hearing. Section 39B: appeal to the NGT within sixty days, with ten per cent of the penalty deposited. Section 39C: penalties go to the Environmental Protection Fund.
Section 39: the residuary penalty
"If any person contravenes any of the provisions of this Act or any order or direction issued thereunder, for which no penalty has been provided for in this Act, shall be liable to penalty which shall not be less than ten thousand rupees, but which may extend to fifteen lakh rupees, and where such contravention continues, he shall be liable to additional penalty which may extend to ten thousand rupees for every day during which such contravention continues."
Section 39 catches what sections 37 and 38 do not. Compare the daily figure: in sections 37 and 38 the additional penalty is "of ten thousand rupees" for every day, while here it "may extend to" that figure. Section 3 of the Jan Vishwas 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 its commencement; the figures here are as printed and no revised figure is computed. Until 31 March 2024 these contraventions were offences punishable with imprisonment.
Section 39A: the adjudicating officer
Section 39A(1). The Central Government, for determining the penalties under sections 37, 38, 38A and 39, "shall appoint an officer not below the rank of Joint Secretary to the Government of India or a Secretary to the State Government to be the adjudicating officer, to hold an inquiry and to impose the penalty in the manner, as may be prescribed". The proviso lets it appoint as many adjudicating officers as required.
Section 39A(2). The officer "may summon and enforce the attendance of any person acquainted with the facts and circumstances of the case to give evidence or to produce any document, which in the opinion of the adjudicating officer, may be useful for or relevant to the subject-matter of the inquiry". If he is satisfied that the person has contravened the Act, "he may determine such penalty as he thinks fit under the provisions of sections 37, 38, 38A or 39, as the case may be". The proviso: "no such penalty shall be imposed without giving the person concerned a reasonable opportunity of being heard."
Section 39A(3). The penalty under sections 37, 38, 38A and 39 "shall be in addition to the liability to pay relief or compensation under section 15 read with section 17 of the National Green Tribunal Act, 2010".
The manner of the inquiry is prescribed. It is in the Air Inquiry and Penalty Rules, 2024, explained in the sister article on the Air Inquiry and Penalty Rules. This article does not describe them.
Section 39B: appeal to the National Green Tribunal
| Sub-section | Rule |
|---|---|
| (1) | Any person aggrieved by the order of the adjudicating officer under sections 37, 38, 38A or 39 may prefer an appeal to the National Green Tribunal established under section 3 of the NGT Act, 2010 |
| (2) | Every appeal must be filed within sixty days from the date on which the copy of the order is received by the aggrieved person |
| (3) | After giving the parties an opportunity of being heard, the Tribunal may pass such order as it thinks fit, confirming, modifying or setting aside the order appealed against |
| (4) | The appeal "shall not be entertained by the Tribunal unless the person has deposited with the Tribunal ten per cent. of the amount of the penalty imposed by the adjudicating officer" |
The clock runs from receipt of the copy of the order, and the deposit is a condition of the Tribunal entertaining the appeal. The Tribunal's procedure is in the NGT Act; see section 18 of the NGT Act and the NGT appeal process.
Section 39C: the Environmental Protection Fund
"Where an adjudicating officer imposes penalty or additional penalty, as the case may be, under sections 37, 38, 38A or 39, the amount of such penalty shall be credited to the Environmental Protection Fund established under section 16 of the Environment (Protection) Act, 1986 (29 of 1986)."
Air Act penalties therefore go to the Fund set up under the EP Act, not to the Board. The Fund is explained in sections 15E, 15F and 16 to 16B of the EP Act, and its rules in the sister article on the Environmental Protection Fund Rules, 2026. Do not confuse it with a Board's own fund under section 33.
How the pieces fit
| Step | Section |
|---|---|
| Contravention of the Act, order or direction with no other penalty | 39 |
| Appointment of adjudicating officer and inquiry with hearing | 39A(1), (2) |
| Penalty fixed within the printed ranges | Sections 37, 38, 38A and 39 |
| Penalty in addition to NGT relief or compensation | 39A(3) |
| Appeal to the NGT within sixty days, with ten per cent deposit | 39B |
| Crediting of the penalty | 39C |
| Failure to pay within ninety days | 39D(3); see section 39D |
The same scheme runs through the Environment (Protection) Act and the Water Act; see sections 15C and 15D of the EP Act and sections 45A to 45D of the Water Act, the latter where the 2024 Amendment Act applies.
Practical points
- Attend and produce documents. The officer may summon witnesses and documents.
- Insist on the hearing. No penalty may be imposed without a reasonable opportunity of being heard.
- Diarise sixty days from receipt of the order, and plan the ten per cent deposit.
- Remember the add-on. The penalty does not discharge a separate claim for relief or compensation under the NGT Act.
An example
Hemavati Packaging Private Limited fails to comply with a Board order for which the Act provides no specific penalty. The adjudicating officer hears the company and imposes a penalty under section 39. The company deposits ten per cent of the amount with the Tribunal and files an appeal within sixty days of receiving the copy of the order.
Need help with an adjudication?
A penalty inquiry is decided on the record you build. Our legal dispute resolution team can help you prepare for the hearing, plan the deposit and file an appeal on time.
Key takeaways
- Section 39 is the residuary penalty: ten thousand to fifteen lakh rupees, with an additional penalty that may extend to ten thousand rupees a day.
- Section 39A provides for an adjudicating officer, with powers to summon and a bar on penalty without a hearing.
- The penalty is in addition to any relief or compensation under the NGT Act.
- Section 39B allows appeal to the NGT within sixty days of receiving the order, on deposit of ten per cent of the penalty.
- Section 39C credits penalties to the Environmental Protection Fund under the EP Act.
Read next
- Section 39D: offences for operating without consent and not paying a penalty
- Sections 37, 38 and 38A: penalties
- Sections 15C and 15D of the EP Act: adjudicating officer and appeal
- 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.