Explanation:

• In case of any non-compliance or contravention of the current provisions of the EPA, or of the rules under this Act, the violator can be punished with imprisonment for up to five years or with a fine up to Rs 1,00,000, or both. if the violation continues beyond a period of one year after the date of conviction, the offender can be punished with imprisonment for a term which may extend to seven years. 
• The EPA, an overarching law that supersedes other environment laws such as the Water and Air Act, which will also be decriminalised.

Hence only statement 2nd is correct.