Section 3(2) breaks the Central Government's environmental powers into a numbered list, so answering this question is really about knowing the specific job assigned to sub-clause (ii).
Since the question asks about a specific numbered sub-clause rather than the Section as a whole, the answer depends on correctly locating that one function within the list.
\[ \boxed{\text{Laying down standards for the quality of the environment in its various aspects}} \]Since Section 3(2) essentially reads like a numbered checklist of the Central Government's environmental powers, lining up the four options against that checklist quickly reveals the mismatch in three of them.
Only the standard-setting power lines up with the specific sub-clause the question names.
Hence, the correct answer is Laying down standards for the quality of the environment in its various aspects.