The green panel heard several farmers from Punjab and directed the state government to answer as to how it would provide proper machinery to them to address the problem.
The tribunal also directed the Punjab government to submit a list of power plants and any other industries which may use the crop residue.
A bench headed by NGT Chairperson Justice Swatanter Kumar also sought a response from both the states on whether the burial of crop residue would benefit the soil in the long run.
The tribunal also asked why the government cannot develop a mechanism among the farmers itself so that they can solve such issues.
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During the hearing, the NGT posed various questions before the farmers before passing the directions while over a hundred farmers gathered outside its premises.
During the proceedings, advocate I G Kapila, appearing for the farmers, referred to various newspaper reports and said that the problem was serious.
The NGT had on October 11 directed Punjab to produce the farmers after the state said that it had provided assistance to them to encourage them not to burn crop residue.
The tribunal had taken exception to the fact that even after more than two years, nothing substantial has been done with regard to stubble burning.
Earlier, the green panel had asked the state government to look into the problems faced by the farmers and directed its counsel to seek instructions on whether compensation could be provided to them for disposing their agricultural residue while giving them liberty to engage any agency of their choice.
It had warned the governments of Punjab, Haryana, Uttar Pradesh and Rajasthan that it would stop the payment of salaries of government officials if they failed to come up with an action plan to prevent stubble burning, which triggers heavy pollution in Delhi-NCR.