The green panel asked the state government to look into the problems faced by the farmers and directed its counsel to seek instructions whether compensation could be provided to them for disposing their agricultural residue while giving them liberty to engage any agency of their choice.
"As on date, have you been able to find out a single farmer whom you have given incentive to stop stubble burning? Tell us where are those farmers. Show us that you have met people and given them the subsidy. We are really concerned about this.
The tribunal said the marginal farmers cannot be asked to take care of the environment by putting them under severe financial stress.
The observations came after a group of farmers alleged that the Punjab government has not taken any effective steps on the issue except for passing orders, and not providing infrastructure or any kind of benefits to them.
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During the hearing, Bharatiya Kisan Union-Rajewal president Balbir Singh Rajewal, arguing on behalf of farmers, alleged that the state government's initiative was an "eyewash" as requisite machines were not made available to the farmers.
The farmers' leader said the agriculturists were being harassed by the authorities by imposing fines and most of them were marginal farmers with less than one hectare of land in their possession.
He said the Punjab government was adopting a "selective approach" in the entire process and the farmers were being put to tremendous pressure and being harassed in the garb of the NGT order by imposing fines in the name of stubble burning.
The matter was listed for hearing on October 11.
The green panel had earlier taken four northern states to task for not submitting action plans to prevent pollution emanating from crop burning after the harvest season.
The NGT had also fixed the environment penalty amounts per incident of crop burning to be paid by small land owners having less than two acres of land at Rs 2,500, medium land owners holding over two acres and less than five acres at Rs 5,000 and those owning over five acres at Rs 15,000.
It had directed the state governments to take coercive and punitive action against persistent defaulters and asked them to withdraw the assistance provided to such farmers.
The NGT's order had come on a plea by environmentalist Vikrant Tongad who had sought a ban on burning of agricultural waste and remnants in open fields.