Act No. 737 relative to compensation for environmental damage.

This Act deals with the indemnities provided by the Central Government for damage to the environment. It also provides measures for environmental protection and refers in particular to the Water Act No. 26/20. Compensation is paid for a loss defined as an environmental damage. Damage can be caused by activities carried out in a certain area and can result from pollution of water, air or soil, etc. Compensation is paid for environmental damage in accordance with this At if it is shown that there is a probable causal link between the activities and the loss. The responsible party will pay the costs of environmental damage to people or property, or economic losses. Additionally, the Act requires compensation for the costs of reasonable measures taken to prevent or limit environmental damage and for clean-up and restoration of the environment to its previous state.