Zira: The National Green Tribunal (NGT) has postponed its ruling on whether Malbros International Private Limited can operate its 180 KLD fuel-grade ethanol unit in Mansoorwal Kalan village near Zira, Punjab. The decision is now scheduled for November 24, following concerns raised by the Public Action Committee (PAC) over the absence of proper environmental clearance (EC) for fuel ethanol production.
The Zira liquor factory dispute has been a long-standing source of tension in the area. Residents have alleged that the factory’s operations contaminated groundwater, with borewell water turning discoloured, foul-smelling, and chemically unsafe. Subsequent tests reportedly revealed elevated levels of heavy metals and pollutants, prompting legal interventions, the factory’s temporary closure, and the Punjab government withdrawing its consent for operations.
During the last hearing, PAC’s counsel pointed out that Malbros’ existing EC covers molasses-, grain-, or yeast-based ethanol, but not the fuel ethanol the company now intends to produce exclusively. The NGT bench, led by Chairperson Justice Prakash Shrivastava, along with Justice Arun Kumar Tyagi and expert member Afroz Ahmad, granted the Punjab government a week to respond and directed Malbros to clarify its operational plans.
Malbros has proposed permanently shutting down its distillery unit, retaining only the ethanol facility—which has been operational since 2018 under a zero-liquid discharge (ZLD) system. Production at the plant was halted in July 2022 amid protests led by the Sanjha Zira Morcha, which alleged extensive air, water, and soil contamination.
PAC’s original 2022 petition accused the facility of polluting groundwater within a 4-kilometer radius via effluent dumping and reverse boring. The state government has maintained its opposition to any resumption of operations until compliance with environmental norms is verified.
The tribunal had previously allowed both PAC and Punjab to submit additional written objections regarding Malbros’ selective restart plan. The NGT will now examine all filings and respond to the EC concerns in the upcoming hearing.