Environmental Impact Assessment Must Not Euphemise a Predicted Business Closure: Quashing a Roads Act s.51 Approval for Material Error

1. Introduction

In Lissan Coal Company [Ireland] Ltd and Anor v An Bord Pleanala and Ors [2026] IEHC 255, Mr Justice David Holland addressed a judicial review challenge arising from the BusConnects “Blanchardstown to City Centre Core Bus Corridor Scheme”. The applicants (two related corporate entities, collectively “the applicants”) owned and operated an unmanned filling station on Old Cabra Road.

The scheme proposed 24-hour bus gates bracketing the stretch of road fronting the filling station. The uncontested practical consequence—accepted in the Environmental Impact Assessment Report (EIAR)—was that through private traffic would be removed and the station’s passing trade would collapse, making the business unable to operate successfully.

The applicants sought to quash (i) the decision approving the proposed road development under s.51 of the Roads Act 1993 (the “s.51 Approval”), and (ii) the decision confirming the compulsory purchase order (CPO). They also advanced constitutional and ECHR property-rights arguments, and complained about the refusal of an oral hearing.

The case raised three tightly connected legal questions: (a) whether restrictions/interferences with a public right of way (like bus gates) had to be listed in a CPO by reason of s.213(2)(a) of the Planning and Development Act 2000; (b) whether the scheme amounted to an unconstitutional unjust attack on property rights (particularly given the absence of any “land take” from the applicants); and (c) whether the s.51 Approval was vitiated because the Inspector and the decision-maker inaccurately downplayed the EIAR’s own conclusion about the station’s viability.

2. Summary of the Judgment

  • Ground 6 succeeded: the High Court held that the s.51 Approval was vitiated by a material error/irrationality where the Inspector (and the Commission by adoption) suggested the filling station could “maintain operations”, despite the EIAR’s uncontradicted conclusion that it was expected to “no longer be able to operate successfully” and that impacts were “Negative, Very Significant and Long-Term”. The s.51 Approval was to be quashed (with submissions invited on a proportionate form of certiorari/remittal).
  • Grounds 3 and 4 failed: s.213(2)(a) PDA 2000 does not require a CPO to list restrictions/interferences with public rights of way (short of extinguishment), and the applicants’ frontager access rights were not removed (access remained via Glenbeigh Road). The CPO was not quashed.
  • Ground 5 failed: even assuming no compensation was available for the loss of passing trade/business collapse, the court found no “unjust attack” on constitutional/ECHR property rights on these facts, relying heavily on the distinction between expropriation and regulation, and on the Supreme Court’s analysis in Electricity Supply Board v Good [2025] IESC 27.
  • Ground 7 (oral hearing) failed as a basis to quash: reasons for refusing an oral hearing were inadequate (a bare statement that written procedure sufficed), but the refusal did not warrant certiorari because there was no central dispute of fact requiring an oral hearing (following Waterville Fisheries Development Ltd v Aquaculture Licenses Appeals Board, [2014] IEHC 381). The judge indicated he would hear submissions on whether to grant a declaration regarding inadequate reasons.
  • Ground 8 (constitutional invalidity of legislation/statutory authority) was dismissed: because the court rejected the premise that the scheme involved an uncompensated unjust attack on constitutional rights.

3. Analysis

3.1 Precedents Cited and Their Influence

(a) Interpretation and limits of “acquisition”/public rights of way

The applicants’ core statutory argument attempted to bring bus-gate restrictions within “acquisition of land” under s.213(2)(a) PDA 2000, by treating interference with a public right of way as the acquisition/restriction of an “other right over or in respect of any land”.

The court rejected that reading, emphasising the conceptual mismatch between “acquiring” a right that is, by nature, public. The court also relied on structural interpretation: the existence of a distinct statutory mechanism (post-acquisition) for extinguishing public rights of way indicated that “acquisition” in s.213 was directed to private land/private rights. The court drew support from the distinction between public rights of passage and a frontager’s private access rights (citing authorities including Rangeley v Midland Railway Co (1868) LR 3 Ch App 306 and the Irish frontager analysis in Holland v Dublin County Council, [1979] 113 I.L.T.R 1).

(b) Injurious affection and compensation: s.63 vs s.68 and “McCarthy/Wildtree”

A central background theme was whether compensation is available where no land is taken. The judgment mapped the classical compensation architecture:

  • s.63 Lands Clauses Consolidation Act 1845 (injurious affection where land is taken from the claimant);
  • s.68 1845 Act (a distinct, limited compensation route where no land is taken, subject to stringent common-law conditions).

The court reviewed the traditional “McCarthy/Wildtree” line: Metropolitan Board of Works v McCarthy (1874) LR 7 HL 243 and Wildtree Hotels Ltd. v. Harrow L.B.C. [2001] 2 A.C. 1. It also considered road-access business-loss cases such as Moto Hospitality Ltd v Secretary of State for Transport [2007] EWCA Civ 764, and wider public nuisance/business diversion authorities including Wilkes v Hungerford Market Co (1835) 2 Bing NC 281, Gravesham Borough Council v British Railways [1978] Ch 379, Colour Quest Ltd v Total Downstream UK plc [2009] EWHC 540 (Comm), and Vasiliou v Secretary of State for Transport, [1991] 2 All ER 77.

Importantly, the judge declined to decide, in advance, whether the applicants might later succeed in any s.68-type claim (or its procedural route), treating compensation questions as primarily for the appropriate compensation forum, and focusing instead on whether the Constitution required compensation in the first place.

(c) Statutory authority and nuisance: reframing immunity

The applicants’ case leaned on the idea that bus gates would amount to an obstruction of the highway (public nuisance) but for statutory authority; and that being deprived of a nuisance action should trigger compensation as a constitutional matter.

The court’s treatment was shaped by Smyth v Railway Procurement Agency & Ors [2010] IEHC 290, which emphasises that where a public body acts lawfully within statutory authority (and non-negligently), the impugned act is not characterised as an actionable civil wrong in nuisance; it is “done lawfully” and no “immunity” question arises. That analysis underpinned the court’s rejection of the attempt to convert a prospective public nuisance claim into a “property right” in the public right of way requiring CPO listing/compensation.

(d) Constitutional property rights: the modern spectrum approach

The constitutional outcome depended heavily on Electricity Supply Board v Good [2025] IESC 27, where the Supreme Court cautioned against reflexively turning historic compensation doctrines (including “injurious affection”) into constitutional entitlements, and emphasised a spectrum between no compensation (for regulatory restrictions justified by strong public interest) and total-loss compensation (for expropriation).

The court also relied on well-established planning/property principles (including Hempenstall v. Minister of the Environment [1994] 2 I.R. 20 and the planning cases noted in the judgment such as Jones & Anor v. South Dublin County Council [2024] IEHC 301) to reinforce that diminution of value, and the inability to pursue a preferred or maximally profitable land use, do not without more establish an unconstitutional unjust attack.

(e) Oral hearings, reasons, and procedural fairness

The court followed the logic of Waterville Fisheries Development Ltd v Aquaculture Licenses Appeals Board, [2014] IEHC 381: inadequate reasons for refusing an oral hearing is a legal error, but certiorari will not follow if an oral hearing was not substantively required (for example, where there is no central factual conflict).

On the duty to give reasons and the role of Inspector summaries, the court referred to planning-law principles including Talla v Minister for Justice [2020] IECA 135 and reason-giving jurisprudence (e.g. Mallak v Minister for Justice, Equality and Law Reform, [2012] 3 I.R. 297 as discussed in the judgment).

3.2 Legal Reasoning

(1) “Bus gates” as interference with a public right of way, but not an “acquisition of land” under s.213

The court accepted (as a matter of ordinary language and practical reality) that bus gates restrict/interfere with the public right of way, and would likely be an “obstruction” absent lawful authority. However, that did not carry the applicants to their statutory conclusion.

The decisive step was interpretive: s.213(2)(a) PDA 2000 was read as a mechanism for acquiring/restricting private land and private proprietary rights (easements/wayleaves and the like), not for “acquiring” a public right of way. Accepting the applicants’ reading would have unworkable consequences, forcing acquiring authorities to identify and list potentially vast numbers of “special damage” claimants in CPOs whenever traffic regulation materially affected trade.

This statutory construction meant the CPO’s failure to list the Old Cabra Road bus-gate restrictions did not invalidate the CPO or deprive the NTA of authority. The bus gates were authorised through the s.51 Approval, not through land acquisition from the applicants.

(2) No unconstitutional “unjust attack” on property rights (even if the business fails without compensation)

The court proceeded on an assumed worst-case for the applicants—no compensation—and still rejected the constitutional challenge. Applying Electricity Supply Board v Good [2025] IESC 27, the court treated the case as: a regulatory restriction (traffic management in the common good) rather than an expropriation, where (i) no land was taken, (ii) access to the public road remained, (iii) the site retained alternative development potential, and (iv) the public interest in public transport/climate policy was weighty.

A striking factual element in the proportionality/injustice assessment was the court’s finding that the applicants were on notice of the emerging risk (removal of through traffic) before they proceeded with the development, and must be taken to have “decided to take that risk”. That fact significantly weakened the claim that the public must constitutionally indemnify the downside of a knowingly assumed commercial risk.

(3) Oral hearing: inadequate reasons, but refusal substantively sustainable

The Commission’s reason (“adequately dealt with by written procedure”) was held to be merely conclusory and insufficient. Nonetheless, certiorari was refused because the applicants failed to show the kind of factual dispute that would make an oral hearing necessary; critically, the EIAR itself accepted the filling station would not operate successfully. The later Inspector euphemism did not retroactively create a factual conflict at the time the oral hearing was refused.

(4) The decisive error: EIA/decision-making could not downplay an agreed “very significant” effect

Ground 6 succeeded because the Inspector’s report—adopted by the decision-maker—did not “face up squarely” to the EIAR’s undisputed assessment that the filling station would “no longer be able to operate successfully” and that the residual impact was “Negative, Very Significant and Long-Term”. The Inspector’s statement that the station could “maintain operations albeit not as conveniently as at present” was held to be unsupported by evidence, misleading in substance, and irrational when used to underpin an EIA conclusion that there would be no residual significant negative impacts.

The court stressed the vital discipline of EIA terminology: significance must not be elided with acceptability. A decision-maker may lawfully approve a project even with significant adverse effects, but it must first correctly identify them and then justify any approval in that light.

3.3 Impact

(a) Drafting and confirmation of CPOs: public rights of way listing obligations

The judgment provides a clear High Court statement that s.213(2)(a) PDA 2000 does not require a CPO to list restrictions/interferences with public rights of way (short of extinguishment), and that such restrictions are not to be treated as an “acquisition of land” from affected businesses/frontagers merely because they may suffer “special damage”.

This reduces the risk that traffic-management elements of transport schemes (bus gates, turning bans, one-way systems) could be weaponised as CPO-defects via an expansive “acquisition” theory.

(b) Constitutional property-rights litigation: ESB v Good applied beyond utilities

The judgment is a notable application of Electricity Supply Board v Good [2025] IESC 27 to a transport/traffic-management context. It reinforces that: business loss and “injurious affection” style impacts are not automatically constitutional compensation claims, particularly where no land is taken and the measure is justified by strong public interest.

(c) EIA practice: inspectors and decision-makers must not dilute agreed adverse effects

The most immediate operational consequence is for EIA/EIAR practice and inspector reporting. Where an EIAR candidly records an extreme impact (including effective business failure), an inspector’s summary must accurately convey that conclusion. “Benign euphemism” can become a reviewable error if it distorts the decision-maker’s understanding and feeds into the “reasoned conclusion” on significant effects.

(d) Remedy design: scope-limited quashing/remittal

The court signalled openness to a proportionate remedy (quashing and remitting only the narrow aspect concerning bus gates and the filling station) while avoiding unnecessary reopening of the entire 11 km scheme, referencing the post-judgment discussion in Crofton Buildings & Anor -v- An Bord Pleanála [2024] IESC 12.

4. Complex Concepts Simplified

4.1 s.51 Roads Act approval vs CPO confirmation

  • s.51 Approval (Roads Act 1993): the planning/environmental consent for the proposed road development, requiring an EIA and a “reasoned conclusion” on significant environmental effects.
  • CPO: a separate instrument used to acquire land/rights needed to build the project. Here, no land was acquired from the applicants, so many classic CPO compensation pathways (like s.63 “injurious affection”) were not available.

4.2 Public right of way vs frontager’s private access right

Everyone has the public right to pass and repass on a public road. A landowner who fronts the road has an additional private right: to access the road from their land. The scheme did not remove the applicants’ private access right; it removed through traffic and thus passing trade.

4.3 “Injurious affection” and why it is difficult

“Injurious affection” is a compensation concept for land whose value is harmed by public works. It is straightforward where part of your land is taken (s.63), but much more restrictive where no land is taken (s.68), where complex “McCarthy/Wildtree” rules apply and compensation is not a general guarantee.

4.4 EIA “significance” vs planning “acceptability”

An effect can be significant (EIA classification) and yet still be accepted as a price worth paying for a project (planning judgment). The legal problem arises when a decision-maker denies significance by minimising an effect that the EIAR itself has clearly identified as very significant.

5. Conclusion

[2026] IEHC 255 delivers two principal messages. First, traffic-management restrictions on a public road (including bus gates) are not transformed into an “acquisition of land” under s.213(2)(a) PDA 2000 merely because a nearby business suffers severe loss; a CPO need not list such restrictions as acquisitions of private rights. Second, and more consequentially for environmental decision-making, an EIA process cannot lawfully proceed on euphemised or distorted reporting of an EIAR’s own uncontradicted conclusion—particularly where a “very significant” residual effect is at stake. The s.51 Approval was therefore vulnerable and liable to be quashed and remitted, even though the CPO and the constitutional compensation attack failed.