E-waste regulations spark a courtroom clash as Carrier, Samsung, and others fight soaring recycling costs, while the government upholds its green policy and extended producer responsibility model.
US-based air conditioning major Carrier’s Indian subsidiary has initiated legal action against the Indian government over revised e-waste recycling regulations that significantly raise the costs manufacturers must pay to approved recyclers.
The company is among several known firms, including South Korea’s Samsung and LG, Japan’s Daikin, and India’s Voltas, that have approached the Delhi High Court to seek an overturning of the amended rules.
The revised policy, introduced in 2023 and amended in 2024, sets a minimum price of ₹22 per kg to recycle consumer electronics. Manufacturers claim this figure is up to 15 times higher than previous rates and could triple their overall recycling expenditure.
Carrier, for example, stated in a court filing that the change imposes an unfair and disproportionate financial burden.
In court on Tuesday, the Indian government defended its e-waste management strategy, asserting that the new rules are essential for ensuring proper waste disposal.
The Environment Ministry stated that the policy was developed following extensive consultations with stakeholders, including producers, recyclers, and compliance bodies, and remained open to public feedback for 60 days.
The Centre also argued that the petitioners, despite being part of consultations since 2021, failed to raise objections during the notification period and are now pursuing litigation driven solely by commercial interests.
Furthermore, the government added that environmental compensation (EC) would be levied only in cases of non-compliance, following due legal process. EC, it clarified, is not a fine but a recovery mechanism under the “polluter pays” principle.
The companies are seeking to quash Rules 15(9) and 15(10) of the E-Waste Management Rules, which establish a credit-based system to fulfil extended producer responsibility (EPR) obligations.
In a court petition filed on June 3, Carrier contended that recyclers were prepared to continue operations at earlier rates and that government interference in price-setting is neither necessary nor fair.
The company argued the revised structure imposes disproportionate financial strain on producers, while favouring recyclers without clear justification.
Carrier maintains that the regulations amount to an arbitrary imposition and could significantly inflate compliance costs. Its filing notes the company’s longstanding presence in India, dating back to 1936, and highlights a strong financial year with local sales reaching $248 million in 2023–24 — the highest since 2020.
While Carrier and India’s environment ministry have yet to comment on the ongoing litigation, the government has previously defended the rules in court, citing the need to enforce better waste management practices. It maintains that the pricing model is a reasonable policy tool aligned with environmental goals.
The High Court has posted the matter for the next hearing on August 1.
India ranks as the third-largest producer of electronic waste globally, behind China and the United States. However, official estimates show only around 43% of this waste was properly recycled last year.
