The National Highways Authority of India (NHAI) has agreed to pay Rs 1.80 crore in compensation to a Shimla orchard owner for damages caused by a landslide, weeks after initially calling the incident an 'act of god' and refusing liability. The development comes after the National Green Tribunal (NGT) intervened in the matter.
Background of the Case
On May 19, 2026, NHAI submitted an affidavit before the NGT, where the authorities termed the landslide damages as an 'act of god' and denied any responsibility for the loss suffered by the orchard owner. The owner had approached the tribunal seeking compensation for the destruction of his orchard, which he attributed to NHAI's construction activities in the area.
NHAI's Initial Stance
In its affidavit, NHAI argued that the landslide was a natural calamity beyond human control, thereby absolving the authority of any financial liability. This stance drew criticism from environmental activists and local residents, who pointed to ongoing highway expansion projects as a contributing factor to the slope instability.
NGT's Intervention
The National Green Tribunal reviewed the case and directed NHAI to reassess its position. Following the tribunal's intervention, NHAI conducted a fresh evaluation of the damages and agreed to pay Rs 1.80 crore as compensation to the affected orchard owner. The amount is intended to cover the loss of trees, soil erosion, and restoration costs.
Reactions and Implications
The orchard owner expressed relief at the decision, stating that the compensation would help him recover from the financial blow. Local environmental groups, however, emphasized the need for stricter oversight of infrastructure projects in ecologically sensitive areas like Himachal Pradesh. They argue that landslides are often exacerbated by construction activities, and authorities must adopt preventive measures.
NHAI officials have not commented on the reversal of their earlier position. The matter highlights the growing role of judicial bodies in holding public authorities accountable for environmental damages.



