The Institute of Policy Studies was required by the Ministry of Transport, Environment and Women’s Affairs to identify possible policy reforms needed to achieve environmentally sustainable development. The study tries to operationalize the economic and environmental policy by considering the policy reforms that are needed for that purpose. It addresses the constraints of policy implementation while providing an opportunity for further consensus building in favour of needed reforms. The study has been divided into two phases. The first phase has been to prepare a Time Bound Action Plan to address critical environmental issues, where implementation could commence almost immediately. The second phase of the study is to prepare a more comprehensive Policy Agenda to address issues that need a longer time-frame on account of large budgetary allocation requirements and/or significant institutional reforms. The study also looks into the importance of macroeconomic policy in preventing environmental degradation and making sustainable growth a reachable goal. The document seeks to highlight areas where policy changes are taking place or are ready to take place. It also endeavours to bring forward the realities of policy implementation.