Immediately after independence in 1946, the Government of India resorted to rapid industrialization to minimize outside dependence and to improve the standard of living. This, while helping the country to grow, also created problems of environmental management. Rapid deterioration of natural resources forced the Government to enact a number of legislative measures and create regulatory agencies both at central and state government levels. These agencies were given powers to effectively implement various Acts. Severe penalties, including fines and imprisonment, were envisaged for offenders of environmental Acts. Responsibilities were defined, to avoid a scapegoat approach. On the other hand, to reward industries showing a positive approach to environmental protection, a number of fiscal incentives and tax benefits were also offered. Recently, to provide more comprehensive legislation for the protection of all the components of the environment under a single agency, a new bill entitled the ‘Environmental Protection Bill, 1986' has been introduced in Parliament. This regulatory approach has started to show results, and more and more industries have started to provide pollution control facilities.