In a perfect market economy, where all externalities are internalised by the companies and paid for by the consumers, a market leader will also be an environment leader. The ground reality is, however, different. Take the example of Grasim Industries Ltd, which became the biggest cement company in the country after acquiring the cement division of Larsen and Toubro in 2003-04. Currently, it has about 22 per cent of the Indian cement market share. However, for environment management: it has just obtained 36.5 per cent marks. Truly a mediocre performance considering that the best in the country has scored 51 per cent.

The next biggest cement company in India, The Associated Cement Companies Ltd, has fared worse. Its environmental credentials are dismal; with just 34.6 per cent marks, it has obtained just 2 Leaves