CTO (CTO)

Consent to Operate (CTO) is the mandatory written approval issued by a State Pollution Control Board (SPCB) under Section 25 of the Water Act, 1974 and Section 21 of the Air Act, 1981, authorising an industrial unit to commence and continue commercial production after construction is complete. Unlike CTE, which permits construction, CTO is the legal license that allows the plant to actually operate, sell its output, and generate revenue. Running a plant without a valid CTO is an offence under both Acts, with penalties including plant closure, prosecution, and imprisonment.

The CTO application is filed on the OCMMS portal after plant commissioning and trial run, and requires:

• CTE compliance certificate — verification that as-built plant conforms to CTE design conditions
• Trial run reports — typically 3 months of stack emission, effluent discharge, and ambient monitoring data from a NABL-accredited lab
• Pollution control equipment — installation and performance verification of ETP, scrubbers, bag filters, OCEMS
• Building completion certificate — and electricity connection sanction letter
• EPR Certificate — for projects under Plastic, E-Waste, Battery, or Tyre EPR Rules
• Hazardous Waste authorisation — if applicable

Under GSR 84(E) of January 2025, the SPCB must dispose of a CTO application within 60 days of receipt of complete application. CTO validity is the same as CTE: 5/10/15 years for Green/Orange/Red categories. Renewal applications must be filed at least 120 days before expiry to avoid lapsing.

CTO carries operating conditions that the unit must comply with daily:

• Production capacity cap — exceeding it triggers re-consent at higher fees
• Effluent and emission norms — measured and reported through online CEMS where applicable
• Hazardous waste manifests — every shipment tracked through the HW portal
• Environmental Statement (Form V) — annual return submitted by 30 September each year

SPCBs conduct surprise inspections, and CTO conditions enforcement is the principal regulatory exposure for Indian recycling and CBG plants. Non-compliance typically results in show-cause notice, Environmental Compensation under CPCB methodology, and in serious cases plant closure under Section 33A of the Water Act.