"There are a number of environmental concerns related to the construction industry. These include erosion, contaminated soil, lead paint removal, air contamination by asbestos particles, disposal of hazardous material, dust control and noise level," according to the study conducted by industry body Assocham.
Mapping various policy and regulatory risks which have increased with rising environmental concerns, the paper stated these issues were also flagged by a working sub-group of the erstwhile Planning Commission.
The study highlighted that India is urbanised only to the extent of 31 per cent but urbanisation at a faster pace is imperative for a sustainable economic growth, adding that the construction industry has a major role in stepping up urban development.
"After an aborted attempt to smoothen land acquisition, any controversy on environment pollution is the last thing that the industry wants," Assocham said.
"Whether we like it or not, pollution in some of the big cities is becoming unbearable and as (has) happened in the past, the court intervention, accompanied by pressures from civil society, health activists and environmentalists would bring in tougher regulatory norms for a host of industries which should be living up to these challenges by technology innovation and going green in their approach," the chamber said.