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Home National

NDA’s Maharashtra sweep big relief for Adani

With the ruling BJP securing a decisive mandate, the Adani Group's ambitious plan to redevelop Dharavi enters a critical phase. The project promises free modern housing for 700,000 eligible slum dwellers and sustainable infrastructure, but allegations of favoritism and concerns over displacement loom large, making its progress a focal point of public debate.

Navin Upadhyay by Navin Upadhyay
23 November 2024
in National, News, Politics
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NDA’s Maharashtra sweep big relief for Adani
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The BJP-led coalition’s landslide victory in Maharashtra has paved the way for the Adani Group’s $3-billion Dharavi redevelopment project, promising to transform Asia’s largest slum into a modern urban hub. While supporters praise the initiative as a model for slum redevelopment, critics question the political and economic implications, making this a landmark project fraught with opportunities and challenges.

 

BY PC Bureau

The ruling BJP-led coalition’s decisive win in the Maharashtra assembly elections has cleared a significant hurdle for the Adani Group’s ambitious $3-billion Dharavi redevelopment project. The initiative aims to transform Asia’s largest slum into a “world-class” urban district, a project that had faced stiff opposition from rival political factions.

The opposition Shiv Sena (UBT), led by Uddhav Thackeray, had vowed to cancel the project and reclaim the land allocated to the Adani Group if it came to power. This stance had cast uncertainty over the redevelopment plan, which billionaire Gautam Adani considers a cornerstone of his urban transformation initiatives.

With the BJP and its allies securing over three-fourths of the 288 assembly seats, those threats have been neutralized, enabling the Adani-led project to move forward. The plan envisions converting 620 acres of prime real estate, located near Mumbai’s international airport, into a modern hub of residential and commercial spaces. About 700,000 eligible residents currently living in cramped shanties with shared toilets and open sewers will be provided free housing units of up to 350 square feet, while those deemed ineligible will be relocated elsewhere in the city.

A Controversial Undertaking

The project has been mired in political and legal controversies. Critics, including Congress leader Rahul Gandhi, accused the BJP government of favoring the Adani Group in awarding the contract. A previous tender awarded to Dubai-based Seclink Technologies in 2018 was scrapped, prompting allegations of procedural bias. Seclink challenged the decision in the Bombay High Court, claiming the revised bidding criteria unfairly favored Adani.

The Maharashtra government defended the cancellation, citing a changed economic landscape due to the COVID-19 pandemic. The state argued that Seclink was not excluded from participating in the new tender, which Adani won in 2022 with a bid of ₹5,070 crore—more than double that of the next highest bidder.

A Complex Redevelopment Challenge

Redeveloping Dharavi, home to nearly one million residents and a thriving hub of small-scale industries, has long been an elusive goal. Successive governments since the 1950s have proposed plans, but all failed due to challenges in land acquisition, resettlement logistics, and investor interest.

The current plan marks the fourth and most advanced attempt, with the state government partnering with Dharavi Redevelopment Project Pvt Ltd, where the Adani Group holds an 80% stake. The project includes constructing affordable housing, modern infrastructure, and sustainable amenities. To facilitate the redevelopment, the Maharashtra government recently secured approval to acquire 256 acres of salt-pan land from the central government.

Economic and Social Impact

Dharavi, made famous as the setting for the Oscar-winning movie Slumdog Millionaire, is not just a slum but a hub of diverse industries ranging from leather goods to pottery and textiles. The redevelopment promises to preserve this economic vibrancy while upgrading living conditions. The plan also includes vocational training programs to empower local youth and provide eco-friendly job opportunities, fostering a sustainable future for the community.

Looking Ahead

The BJP’s victory removes significant political roadblocks for the Adani Group, allowing the project to proceed with fewer challenges. While supporters hail it as a transformative model for slum redevelopment, critics remain concerned about potential displacement and favoritism.

For now, the focus shifts to implementing what could become one of India’s largest urban redevelopment projects, reshaping the face of Mumbai while addressing the aspirations and anxieties of Dharavi’s residents.

Tags: DharaviGauram Adani
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