Polluted skies and poor water management might not just be a sign of lackadaisical government anymore - it could also mean a smaller budget for the following year.
In an attempt to incentivise efforts to improve the environment, the Planning Commission is drawing up a formula that would peg a certain portion of budget allocations to the environmental performance of each state.
If it comes into place, states forging ahead with conservation and waste management measures would be given a larger budget while those with a poor record - like Delhi, which stands dead last among the states - would suffer.
"The Planning Commission is in the process of developing an Environmental Performance Index (EPI) to incentivise states for environmental performance through budgetary allocations," Minister of State for Parliamentary Affairs and Planning, Rajeev Shukla said.
In an article titled, 'Construction of environmental performance index and ranking of states' published in Current Science earlier this year, the team suggested the use of the EPI based on five categories - air pollution water quality, forests, waste management and climate change - based on 16 indicators.
"Indicators were sought to cover the full spectrum of issues underlying each of the major components of the environment," the report said adding, "Recognising that on-theground conditions are the ultimate gauge of environmental performance, the EPI focuses on measurable outcomes that can be linked to policy targets and tracked over time."
The index is based on two central policy objectives - reducing environmental stress to human health and protecting ecosystems and natural resources - which would provide a credible picture of what the Commission wants to achieve through environmental protection efforts.
Andhra Pradesh is the unambiguous leader in the index based on numbers put together by the team in 2012 - not falling below a rank of 11 out of 35 states and union territories under any of the criteria - while the Capital is only above the island territories and Daman and Diu.
Although most states fair quite badly with regards sewage disposal - one of the criteria - the report singles out Delhi for its uniquely dreadful record.
The scores highlight the dismal performance of the states with respect to sewage disposal. With regard to surface water quality violation in respect of total foecal coliform is as high as 100 per cent in case of Delhi. Although the CNG project has greatly improved the Capital's air quality, it still stands right at the bottom in the index of air pollution.
