Ease of doing business got a major green upgrade in southern India, with Tamil Nadu, Kerala and Andhra Pradesh emerging as trailblazing models, according to the Economic Survey 2025-26.

The pre-Budget document presents clear evidence that these states have dramatically improved ease of doing business by slashing environmental clearance timelines under the Business Reform Action Plan (BRAP) — while smartly weaving sustainability right into their industrial and economic strategies. This shows that faster approvals and stronger environmental protection can — and do — coexist.

Kerala used BRAP 2024 to turbocharge ease of doing business through streamlined business registration, digitised land and tax records, and simplified environmental clearances. Simultaneously, the state accelerated renewable energy adoption, rolled out carbon-neutral gram panchayats and launched large-scale waterbody rejuvenation — delivering quicker business setup alongside meaningful ecological gains.

Tamil Nadu strengthened its ease of doing business ranking with single-window clearances, fully digitised approval processes and progressive land reforms. It is aggressively promoting massive solar parks, district-level decarbonisation plans and statewide energy efficiency programmes.

The Tamil Nadu Pollution Control Board maintains rigorous oversight of industrial effluent treatment and actively facilitates Common Effluent Treatment Plants (CETPs) for pollution-intensive clusters like tanneries and textiles, ensuring treated wastewater consistently meets strict discharge standards.

Andhra Pradesh advanced ease of doing business under BRAP 2024 with single-window industrial clearances, online land registration and electronic environmental approvals. The state expanded its Online Consent Management & Monitoring System, allowing businesses to apply for consents digitally, track real-time progress and significantly reduce delays — while greatly improving transparency and coordination between industries and the Pollution Control Board.

“Some evidence suggests that states streamlining processes to boost ease of doing business while embedding sustainability can cut delays, increase transparency and deliver better environmental outcomes at the same time,” the Survey notes.

These pioneering and balanced efforts send a strong signal: enhancing ease of doing business no longer means compromising on green goals — it can actually reinforce renewable energy growth, tighter pollution controls and digital-first governance.