Kochi: In a major setback to the Kerala government, the High Court on Friday quashed the preliminary approval granted for the proposed brewery project at Elappully in Palakkad district, ruling that the clearance was issued without adequate study or application of mind.

A division bench set aside the government’s nod to Oasis Company, observing that the decision had been taken in haste and without the detailed examination required for a project with significant environmental and social implications. The court said such approvals could not be granted mechanically or treated as a mere formality.

The bench noted that the state had failed to conduct any meaningful assessment before issuing the initial clearance. Emphasising the need for due diligence, it held that a comprehensive and scientific study was essential before deciding whether the project should be permitted.

“The materials placed before the court indicate that no sufficient or detailed study was conducted prior to granting the preliminary approval,” the court observed, adding that this lapse vitiated the government’s decision-making process.

However, the court clarified that the government was not permanently restrained from considering the proposal. It said the state would be free to take a fresh decision on granting or rejecting approval, but only after completing a detailed and proper study of all relevant aspects, including environmental impact and public interest concerns.

The preliminary approval, now struck down, had been granted to Oasis Company as part of the initial clearance process for setting up the brewery at Elappully. The proposal has triggered sustained local opposition and public debate, with residents and environmental groups warning of potential adverse effects on water availability, agriculture and the area’s fragile ecology.

The government had argued that the clearance was only preliminary and that further approvals were required before the project could proceed. The judgment is expected to have wider implications for how preliminary clearances are granted in the state, especially in projects involving environmental and public interest concerns.