Supreme Court Orders Evacuation of Industries Within 15 Kilometers of Lumbini

April 27, Butwal — The Supreme Court’s decision implementation directorate has instructed the government, through formal notification, to evacuate all factories and industries located within a 15-kilometer radius of the Buddha’s birthplace, Lumbini.

This directive is part of enforcing a Supreme Court ruling for the long-term protection of the Lumbini area, issued to the Prime Minister and Council of Ministers Office, Ministry of Home Affairs, Ministry of Industry, Lumbini Development Trust, and other relevant bodies.

The joint bench of Supreme Court Justices Kumar Regmi and Sunilkumar Pokharel issued this order on September 17, accompanied by full rulings mandating the clearance of industries.

According to the Supreme Court ruling, the directive applies to industries emitting dust, smoke, or carbon pollution within 15 kilometers to the east, west, and north of Lumbini’s protective boundary wall, and up to the Indian border to the south. It was noted that there are at least 12 cement factories within this zone.

Govind Ghimire, director of the Decision Implementation Directorate, stated that the order was issued along with official letters to key authorities to ensure enforcement.

The Supreme Court emphasized that clearing these industries is essential for the sustainable protection of the greater Lumbini area.

Senior advocate and Chairperson of the Public Interest Protection Forum, Dr. Prakashmani Sharma, filed the writ petition asserting that the haphazard establishment of polluting factories in Lumbini, a UNESCO World Heritage Site, has increased environmental pollution, adversely affecting public health and the site’s priceless ancient heritage.

The petition claimed that pollution from industries in Lumbini harms vital monuments such as the Ashoka Pillar, Mayadevi Temple, other stupas, and human health.

In June 2019, the Supreme Court issued an interim order preventing industrial operations within 15 kilometers of the Lumbini Trust wall and mandated relocating existing polluting industries.

The Court further ruled that all pollution-causing industries within the 15-kilometer radius should be closed or relocated within two years.

This ruling will primarily impact cement factories, establishing stringent environmental protection standards for Lumbini.

The Supreme Court forbids any new industries emitting dust, smoke, or carbon within the protected zone — 15 kilometers to the north, east, and west, and up to the Indian border to the south.

Additionally, it mandates existing polluting industries to close or relocate within two years.

Preference is to be given to relocating industries registered before December 27, 2010.

The same standards apply to the Lumbini-Bhairahawa corridor, where industries within 800 meters on either side of the road must comply. The order also restricts trucks weighing more than 19 tons from operating in Lumbini Development Trust areas.

The Supreme Court recognized Lumbini not just as an archaeological site but as Nepal’s identity and a ‘spiritual heritage’ for the world.

Before ruling, the Court ordered a committee study on the status of industries around the protected Lumbini area. The committee’s report found that none of the 12 surveyed industries within the Lumbini corridor complied with pollution control measures.

Following the Supreme Court’s directive, polluting factories within 15 kilometers of Lumbini must legally relocate within two years, placing industrialists under significant pressure.

Although an interim order was issued in June 2019, many industrialists did not comply. Now, after the decision implementation authority’s instructions, they face legal compulsion to move their operations.

Industrialists are demanding the government create a conducive environment and provide proper compensation for relocation.

According to the Siddhartha Industries and Commerce Association, two dozen large industries in the Lumbini-Bhairahawa corridor are directly affected by the Supreme Court directive.

Nineteen industries stand as respondents in the case, including major cement companies such as Supreme Cement, Jagadamba Cement, Goenka Cement, Ambuja Steel, Reliance Cement, Siddhartha Cement, Bridge Cement, Agni Cement, Kailash Cement, and Vishal Cement.

Other industries named include Shriram Cement, Arghakhanchi Cement, Nepal Ambuja Cement, Shyam Plywood, Himalayan Snacks and Noodles, Ambuja Steel, Siddhartha Oil Industries, Reliance Paper Mills, and Goenka Steel, all accused of polluting Lumbini.

Rajesh Agrawal, Central Member and Industry Committee Chair of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and operator of Arghakhanchi Cement, described the Supreme Court’s recent directive as impractical.

“Firstly, acquiring suitable land is the top priority for relocation. There is uncertainty about when and where land will be available, and it is expensive. The industry sector is already struggling due to the Middle East crisis and rising costs. Moving such large factories within two years is not feasible,” Agrawal said. He urged the government to facilitate a supportive environment for implementing the court’s order.

He estimates investments of over 5 billion Nepalese rupees in the affected industries, which collectively employ around 10,000 workers directly.

The Court’s order forbids any new dust, smoke, or carbon-emitting industry within 15 kilometers south to the Indian border, and to the east, west, and north; also within 800 meters on either side of the Lumbini-Bhairahawa corridor road.

Factories registered before December 27, 2010, are to receive first priority in relocation.

The Court also prohibited capital increase, capacity expansion, alterations in objectives, or electricity capacity upgrades in these industries, pointing clearly to eventual shutdown and relocation within two years.

Moreover, the Supreme Court restricted public vehicles exceeding 19 tons in freight capacity from traveling within 800 meters either side of the Lumbini-Bhairahawa corridor road.

Rajesh Agrawal stressed that without guarantees of fair compensation and a conducive environment for relocation, moving industries within two years is impossible.

His company, with an investment of one billion rupees, produces 1,200 metric tons of clinker daily and employs around 600 workers.

“Saving Lumbini is important, and we respect the Supreme Court’s order, but implementing it practically is difficult,” Agrawal said. “Standards for pollution should be scientifically determined. Industries that comply should be allowed to operate in place, while the government should compensate and relocate non-compliant ones.”

Agrawal also pointed out that not only industries but all petroleum-powered vehicles emit carbon. The court order, he said, does not address this matter.

“Pollution also comes from vehicles going to Lumbini and planes landing at Bhairahawa airport. Should all vehicles be electric?” he questioned.

Thakur Prasad Shrestha, FNCCI Lumbini Province President, said relocating industries within two years is unrealistic.

He insisted that the government must arrange land and promptly conduct Environmental Impact Assessments (EIA), without which moving industries within the timeframe is impossible.

“Land allocation has not been finalized; the state could take two years to complete EIA processes. Is this a chicken coop for the government to simply command relocation of such large industries?” Shrestha asked. “While the court order must be obeyed in the rule of law, two years is insufficient. The government must provide appropriate time, management, and environment.”

He also urged the government to consider how to manage thousands of workers who will become unemployed due to relocation.

Shrestha demanded that the government provide subsidies like bank interest relief to industries and businesses established on the hundreds of vacated hectares for tourism-friendly ventures.

Rohit Agrawal, Manager at Siddhartha Group, called for clarity on what relief and concessions the government will provide to industries relocating with investments running into hundreds of millions and bank loans.

“The government must provide proper compensation if industries are to move,” he said. “Industries cannot relocate by purchasing new land without advance compensation.”

Ejaz Alam, FNCCI Lumbini President, expressed that lack of visionary government policy has caused repeated hardship for industrialists. He said if a policy had banned industries around Lumbini at the outset, these problems wouldn’t exist now.

“Industries were initially permitted by the government, so all relocation expenses should be borne by the state,” Alam said. “Lack of foresight has imposed great financial burdens on entrepreneurs.”

Industries as Primary Pollution Source

Various studies identify industries as the main cause of pollution in Lumbini.

From a 2012 UNESCO and International Union for Conservation of Nature (IUCN) study to recent research by scientists in Pune, India, Lumbini has consistently been classified as a highly polluted area.

These studies recorded fine particulate matter (PM2.5) concentrations as high as 270 micrograms per cubic meter, seven times Nepal’s national standard and eleven times the World Health Organization’s guidelines. The committee report indicated that Bridge, Goenka, Siddhartha, Pathak, Agni, and Vishal cement factories have violated emission standards.

In January 2014, the Prime Minister and Council of Ministers Office directed immediate measures to reduce pollution in Lumbini; however, little action has followed.

Currently, more than 40 industries operate within the court-ordered restricted zone, both at national and local levels.

Industrial activity, haphazard infrastructure development, and pollution in Lumbini have repeatedly prompted UNESCO warnings since 2002, including a formal alert in 2022 about potential inclusion on the List of World Heritage in Danger.

Though diplomatic efforts by the Ministry of Tourism and Lumbini Development Trust officials helped prevent this listing, the risk remains significant.

The Supreme Court committee’s monitoring found no compliance with pollution control among 12 sampled factories in the Lumbini corridor.

Experts warn that without prompt government action on air pollution, Lumbini’s overall environment and public health will deteriorate.

In 2014, the Prime Minister’s Office issued written orders to implement various air pollution prevention measures in Lumbini, but enforcement remains inadequate.

Despite cement factories installing dust control equipment, reports suggest these machines are often unused or ineffective.