Centre considers ₹1,150 crore scheme to curb industrial pollution in NCR

If approved, the scheme, proposed by the ministry of housing and urban affairs, would be one of the first centrally funded programmes specifically targeting industrial emissions in the NCR, which substantially drives pollution in Delhi as well, they said.

“About 600 industrial units in the NCR, mainly in textile and processed food, may be eligible for support,” one person said. A final decision will be made soon, the person added.

Most of these units are concentrated in industrial clusters in Ghaziabad, Faridabad, Noida and Sonipat, and are considered major contributors to pollution in the NCR and in Delhi. The move is part of broader efforts by the Centre to curb pollution in the NCR, supplementing steps to check vehicular emissions and construction activities as the peak pollution season approaches.

As per the scheme, the Centre’s support will be strictly tied to investments made by eligible units, the people said. Implementation will take time and extend beyond winter.

Delhi’s Air Quality Index (AQI) touched 180 at 11 am on Monday, placing the national capital in the “moderate” category, showed Central Pollution Control Board data. The AQI typically worsens in winter as stubble burning in neighbouring states adds to the pollution already caused by industrial units, vehicles, construction activity and dust.

Severe AQI

Low temperatures, weak wind speeds, limited ventilation and an influx of regional pollution hit the NCR’s air quality in winter. In November last year, Delhi recorded a daily average AQI of 354, pushing the capital into the ‘severe’ category.

While the proposed scheme’s details are being finalized, the capital support may be granted to units that commit investments in waste segregation, effluent treatment, stack emission controls, and a shift towards cleaner fuel alternatives where feasible. The ministry will anchor the scheme in coordination with the environment ministry.

Queries emailed to both the ministries remained unanswered till publishing time.

“Geospatial mapping of industries operating in conforming areas should be undertaken to ensure effective monitoring and regulatory compliance. Strict surveillance mechanisms must be put in place to track industrial activities and prevent violations,” said Paras Tyagi, co-founder of the Centre for Youth Culture Law and Environment, an NGO focused on public policy.

Central interventions

The Centre, in recent years, has initiated steps to supplement efforts by the Delhi government, amid frequent criticism over the failure of authorities to control air pollution. In June, it approved the Parivartan scheme, promising ₹5,041 crore assistance to replace older trucks and buses in the NCR with electric vehicles.

Other fiscal interventions in recent years were aimed at controlling stubble burning and dust and improving air quality monitoring. They include investments through the Commission for Air Quality Management (CAQM) and the National Capital Region Planning Board to bolster regional anti-pollution infrastructure, public transport expansion and cleaner industrial transitions.

A January 2026 report by CAQM, prepared on the Supreme Court’s directive, said industry, including thermal power plants, accounts for 9% of PM2.5 concentration in winter and 14% in summer in Delhi. PM2.5 refers to particulate matter in the air that is less than 2.5 micrometers in diameter. Inhalation of these particles can cause serious health problems.

But industry also contributes to secondary particulate matter—formed from gases emitted by transport, industry and biomass burning—which is the largest contributor to PM2.5 in Delhi at 27% in winter and 17% in summer, it showed.

In the broader NCR, industry’s contribution to PM2.5 concentration was 13% in winter and 15% in summer, according to a 2018 study by The Energy and Resources Institute and the Automotive Research Association of India.

Vijay C Roy

Vijay C. Roy is a journalist with over 21 years of experience covering various news beats across different organisations such as Business Standard and The Tribune. In the past, he has covered beats such as finance, auto, MSME, commodities, FMCG, pharmaceutical, agriculture, IT/ITES, infrastructure and start-ups. He joined Mint in February 2025, and covers agriculture, food processing, fertilizers, environment and climate change, bringing over two decades of experience reporting on farm policy, food inflation, crop trade, and rural livelihoods.Vijay’s areas of reporting include food security and climate change policies, focusing on their impact on different stakeholders and their implications. His expertise lies in simplifying complex agri-economic issues such as edible oil import dependence, cotton and wheat trends, fertiliser subsidies, and climate-related risks. He has covered key developments including global supply disruptions and evolving trade policies, offering both macroeconomic perspective and field-level context. Known for his credible and balanced reporting, he follows a rigorous, fact-based approach that prioritises accuracy and context. He is driven by a commitment to public interest, aiming to make critical agricultural and economic issues accessible while contributing to informed policy and industry discussions.