Later, in accordance with the terms of the Air (Prevention and Control of Pollution) Act of 1981, it was also charged with the duties of prevention, control, and abatement of air pollution. The State Board is now monetarily independent thanks to the 1977 passage of the Water (Prevention and Control of Pollution) Cess Act. The State Board has been granted the authority to collect Cess based on the amount of groundwater that is used commercially and by industries.

The Environment (Protection) Act, 1986, was passed, further broadening the purview of the Board's operations. Due to this Act's status as umbrella legislation, various rules have been adopted under it to handle the issues of various sectors. The State Board is responsible for carrying out the regulations created by the Environment Protection Act of 1986.