India, July 4 -- In a first, the Central Pollution Control Board (CPCB) has recommended penalty ranging from Rs. 10,000 to Rs. 100,000 for illegal extraction of groundwater. In addition, the pollution watchdog has suggested that no new water intensive industries should be allowed in areas where groundwater has been overexploited.

These recommendations are part of a CPCB report that was submitted to the National Green Tribunal on July 1. A petition was filed at the NGT seeking conservation of groundwater.

"The Environment Compensation Rate [as the fine is called] for illegal extraction of groundwater should increase with increase in water consumption as well as for water scarcity in an area. Further, the rate has been relaxed for drinkin...