The Green Rating Project (GRP) was started by the Centre for Science and Environment (CSE) as a civil society initiative to develop an alternative form of governance to control industrial pollution in India. Using a carrot and stick approach, GRP rated companies within sectors to motivate improvements. It involved industry, civil society, and government experts to ensure credibility and motivate large companies. The ratings were made public to encourage more participation and further industry's environmental improvements. GRP aimed to address drawbacks like a lack of transparency and centralized environmental performance data for industries in India.

1. Green Rating Of Industries
Presented by:
Kuntal Bhoir – 55
Pranjali Bhonde – 56
Anamika A. Kumar – 107
Sireesha Deokar –
Habeeb Sheikh – 113

2. • Industrial pollution load grew 4 times
(1975-1995)

3. • Centre of Science • Green Rating Project
and Environment (GRP)
(CSE)

4. Green Rating Project (GRP)
• GRP was started as a civil society initiative to develop an
alternative form of governance to control industrial
pollution in India.
• The project was conceptualized in wide consultation with
economic experts, industry experts and NGOs.
• Priority was given to developing a strategy that would
motivate the industry to catalyze environmental
improvements of their own accord.
Objective: “to guide the Indian Industries towards
improving the environmental impacts of industries”

5. How did CSE implement GRP?
• Carrot and stick approach –
– non-participating company was penalized and the voluntary participants
were given a pat on their back.
– The response was tremendous with voluntary participation of 90 per
cent of industry members in all 3 sectors, pulp and paper sector, the
automobile sector and the chlor-alkali sector.
– To ensure success of the project, the organisation developed an
alternate database of environmental information about industries. The
organisation also decided to rate companies within the same sector so
as to motivate companies that were successful in their fields to join the
project and score over their competitors.
– GRP involved eminent and highly respected representatives from
industry, civil society and the government to ensure high credibility,
which would in turn motivate powerful companies to participate.
– GRP also made the results of the in public thus encouraging more
companies to participate.

6. Impact of GRP
• GRP doesn’t stop at rating but further aims to
the environmental impacts of industry in India,
and to guide industry to move towards this goal.
• At the end of the process,the GRP lays down
clear guidelines for the industry to improve its
environmental performance.

7. Drawbacks in the existing system
• Little knowledge about the environmental performance of
companies. The government does not maintain a centralized
database and the existing data is not easily available to the
public.
• Since 1964, several environmental laws have been enacted and
numerous institutions have been set up to implement the
objectives of these laws. However, these laws have failed to
reduce industrial pollution in India.
• Changing corporate diktats demand good environmental
performance.
• Lack of transparency in the Indian industry – good and bad
environmental performance goes unnoticed.

8. GRP – An aid to the drawbacks
• GRP includes compilation of comprehensive database from scratch, making it
available to the public and other key stakeholders with an accepted reference by
the industry and State Pollution Control Boards.
• GRP brings together the key constituents in monitoring the environmental
performance of industry and paves the way for new guidelines or an alternate
integrated form of governance.
• Environmental risk liability is increasingly coming under investor scrutiny.
There is a show of goodwill and loyalty by customers to companies who are
environmentally conscious. As GRP is a market oriented monitoring
framework, it helps the investor ascertain the potential liability of a company
before investing.
• Many progressive firms have adopted state-of-the-art technologies for pollution
reduction but have not received the public recognition for their good work.
Likewise, industrial segments that are lagging behind in environmental
performance do not feel any public pressure to improve. GRP believes that by
projecting a transparent picture of the environmental performance, good
companies will get the deserved support while the poor performers will be
hauled up.