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Home Blog

SPECIAL REPORT: Bihar Latest — How Adani Has Thrived on Govts Generosity

Bihar becomes the latest state where the Adani Group benefits from government generosity, sparking controversy over land and power projects.

PC Bureau by PC Bureau
16 September 2025
in Blog, Business
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SPECIAL REPORT: Bihar Latest — How Adani Has Thrived on Govts Generosity
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Congress alleges coercion and irregularities as Adani acquires farmland in Bihar, raising questions about government dealings ahead of elections.

BY Navin Upadhyay

New Delhi, September 16, 2025 – The Adani Group’s rapid expansion in India’s infrastructure and energy sectors has long been fueled by state governments’ largesse, with vast tracts of land allotted at  “peanut” rates—often Re 1 per acre or less—to attract investments in underdeveloped regions.

Critics, including opposition parties, decry these as favoritism, especially amid electoral timings, while proponents hail them as job-creating incentives. The latest flashpoint: Bihar’s recent handover of prime land for a massive power plant, echoing patterns seen in Gujarat and beyond.

This report compiles verified details on land area, project nature, and costs (acquisition/lease or investment where specified), drawing from official announcements, government records, and investigative reports. Focus is placed on Bihar (Bhagalpur), Jharkhand, Uttar Pradesh, and other key states as requested. Key State-Wise Land and Project Allotments. There are many more similar acquisition which are not covered, but what stands out is that the BJP-ruled government has been highly generous to ther Adani Group, for wrong or right.

Bihar’s Recent “Gift“:

1,050 Acres for Re 1/Year: In a deal announced in early September 2025, the Bihar government leased 1,050 acres (including 1,020.60 acres across five mouzas in Pirpainti, Bhagalpur) to Adani Power for a 2,400 MW ultra-supercritical coal-fired thermal plant—the state’s largest private energy investment at ~$3 billion (Rs 25,000–30,000 crore).

Under a 33-year Design-Build-Finance-Operate-Own (DBFOO) model, the land—acquired by the state at ~Rs 2,000 crore and including ~10 lakh trees (mango, litchi, teak)—costs Adani just Rs 1 per acre annually.

The 25-year Power Supply Agreement (PSA) with Bihar State Power Generation Company Ltd. (BSPGCL) mandates supplying 2,274 MW at Rs 6.075/kWh—higher than rates in Maharashtra or Uttar Pradesh (Rs 3–4/kWh)—sparking Congress accusations of a pre-election “gift” to offset BJP’s poll woes, with villagers allegedly “house-arrested” during PM Modi’s visit.

At a press briefing, Congress leader Pawan Khera alleged that villagers in  Pirpainti were intimidated into giving up their land, even forced to sign with pencils, while 10 lakh trees were cleared. He said locals had been placed under house arrest ahead of the Prime Minister’s visit to Bihar.

Calling it “double loot,” Khera claimed the Centre first promised to build the ₹21,400-crore project itself but later handed it to Adani, meaning electricity produced from Bihar’s coal and land would be sold back to the state at ₹6–6.75 per unit, nearly double the rate in Maharashtra and UP.

He alleged a pattern of projects being transferred to Adani before elections, citing Maharashtra’s Dharavi project and power ventures in Jharkhand and Chhattisgarh. “They campaign to plant trees in mothers’ names, but treat farmers’ land, their real mother, as worth just one rupee,” Khera said.

सारी ख़ुदाई एक तरफ़
गौतम भाई एक तरफ़ https://t.co/d96BipL6xB

— Pawan Khera 🇮🇳 (@Pawankhera) September 15, 2025

 Gujarat:

The Original “Toffee Rate” Template: Adani’s heartland, Gujarat, set the benchmark with the Mundra Port and Special Economic Zone (SEZ)—India’s largest multi-product port handling 100+ million tons annually. Since 1993, the group secured 15,946 acres (6,456 hectares) of government wasteland, forest, and inter-tidal land in phases, without farmer acquisitions.

 Rates:

As low as 10 paise/sq m in 1993 (under Congress CM Chimanbhai Patel), escalating to Re 1–Rs 32/sq m by 2006–07 (under BJP’s Narendra Modi; jantri rate Rs 50–100/sq m).

Total investment: ~$8.7 billion. Critics slam it as “throwaway” pricing for an arid zone, with 51% of land still unutilized per 2014 commerce ministry data; Adani counters it spurred development in a barren area.

Elsewhere: A Pattern of Nominal Leases: This generosity extends nationwide, often tied to coal/power projects:

Jharkhand (Godda Thermal Plant): 735 hectares (~1,816 acres) leased concessionaly for a 1,600 MW coal plant exporting to Bangladesh (Rs 14,000–15,000 crore investment). Acquired amid protests over 500 acres from six villages; policy tweaks enabled exports.

 Uttar Pradesh (Mirzapur Thermal Plant): Land for 1,600 MW coal plant at subsidized industrial rates (Rs 12,000–15,000 crore est.); PSA at Rs 5.383/kWh. Part of pre-election deals, per Congress.

READ: ED Summons Yuvraj Singh, Robin Uthappa in Betting Scam

 Chhattisgarh (Gare Pelma Coal Mines): 2,672 hectares for mining (6.5–18 MTPA) at auction-based concessional royalties (Rs 5,000–10,000 crore). Affects 3.68 lakh trees; tribal displacement protests.

 Odisha (Dhamra Port): ~6,000 acres (2,428 hectares) at concessional industrial rates under 34-year BOOST model (Rs 5,500 crore buyout). Handles 100 MTPA; mangrove concerns.

Assam (Proposed Cement/Thermal): 1,200 bighas (396 acres) for Ambuja limestone mining; 3,400 bighas (1,121 acres) for 3,200 MW thermal (Rs 20,000 crore). Under NCST scrutiny; 9,000-bigha rumor debunked, but tribal protests rage over Sixth Schedule violations.

Adani’s total leased land: ~7,350 hectares nationwide at symbolic rates, powering 15 GW capacity.

BIG BREAKING

The Bihar govt has leased out 1,020 acres of land to the Adani Group for just ₹1 for 33 years.

On this land stand 1 million trees, including mango and litchi.

After Dharavi (Maharashtra) and Assam, now Bihar. pic.twitter.com/9AHhUzeRA2

— Surbhi (@SurrbhiM) September 15, 2025

 

State Project Details Land Area Nature of Project Cost/Lease Details Significance/Notes
Gujarat Mundra Port and Special Economic Zone (APSEZ) 15,946 acres (6,456 hectares; ~50.5 million sq m) Multi-product SEZ including India’s largest commercial port, power plant, and logistics hub. Allotted in phases (1993–2011) at Re 0.10–Rs 32/sq m (e.g., Rs 2–34/sq m for 5.05 million sq m in 2006–07; jantri rate Rs 50–100/sq m). Total investment: ~$8.7 billion. Flagship project; handles 100+ million tons cargo annually. No farmer acquisition needed (wasteland/forest/grazing land). Controversies over environmental violations.
Bihar Pirpainti Thermal Power Plant (Bhagalpur) 1,050 acres (some reports: 1,020.60 acres across 5 mouzas) 2,400 MW ultra-supercritical coal-based power plant (3×800 MW units) under DBFOO model; supplies to BSPGCL. Leased for 33 years at Rs 1/acre/year; includes 10 lakh trees (mango, litchi, teak). Investment: Rs 25,000–30,000 crore ($3 billion); power rate: Rs 6.075/kWh. Bihar’s largest private energy investment; coal from Rajmahal block (SHAKTI policy). Allegations of forced acquisition; PM Modi laid foundation in 2025.
Jharkhand Godda Thermal Power Plant 735 hectares (~1,816 acres; core: 558 acres) 1,600 MW ultra-supercritical coal-based plant for export to Bangladesh (plus 25% to state). Concessional lease/tax benefits; acquired 917 acres (500 from 6 villages) in 2017. Investment: Rs 14,000–15,000 crore (Phase 1). First standalone SEZ power project; operational since 2023. Controversies:  policy amendments for export.
Uttar Pradesh Mirzapur Thermal Power Plant Not specified (tied to 2×800 MW expansion) 1,600 MW coal-based thermal power plant. Subsidized industrial rates; power supply contract at Rs 5.383/kWh. Investment: ~Rs 12,000–15,000 crore (estimated for similar projects). Awarded in 2024; addresses state power demand. Part of Adani’s 1,500 MW supply PSA.
Uttar Pradesh Warehousing and Logistics Hubs (Lucknow/Noida) Not specified (part of pan-India network) Agri-logistics silos and storage under FCI tenders. Competitive bidding; e.g., Rs 700 crore investment for silos in UP/Bihar/etc. Supports food grain storage/transport; no direct land cost details, but leased government sites.
Chhattisgarh Gare Pelma Coal Mining Projects (III, IV/8; PEKB) 2,672 hectares (Dhirauli block); PEKB: ~2,000 hectares (Hasdeo forests) Coal mining (6.5–18 MTPA) for Adani power plants; MDO for state entities. Auction-based leases; concessional royalties post-2015 re-allotment. Investment: Rs 5,000–10,000 crore (mining infra). Supplies 15+ MTPA coal; 3.68 lakh trees affected in PEKB. Protests over forest loss/tribal displacement.
Odisha Dhamra Port ~6,000 acres (2,428 hectares) Deep-draft port (100 MTPA capacity) for bulk/break-bulk cargo; LNG terminal. Concessional industrial rates under BOOST model (34-year concession). Acquisition: Rs 5,500 crore (2014 buyout from L&T/Tata). East Coast hub; Phase II expansion (2018) to 100 MTPA. Environmental concerns over mangroves.

 

Airports Under Adani Management: Adani Airports Holdings Ltd (AAHL) operates 8 major airports via 50-year leases from Airports Authority of India (AAI) under PPP model (won via competitive bids in 2019–2020). No direct land “allotment” but operational control; annual fees based on passenger traffic (~Rs 525–575 crore/year initially).

  • Ahmedabad, Lucknow, Mangaluru: Leased Nov 2020; investment: Rs 10,000+ crore combined.
  • Jaipur, Guwahati, Thiruvananthapuram: Leased Oct–Dec 2020.
  • Mumbai (CSMIA): 74% stake acquired (2020) from GVK; 50-year extension.
  • Navi Mumbai: Under construction; greenfield lease.

AAHL handles 25% of India’s passenger traffic, 33% air cargo; Level 5 ACI rating for customer experience.

READ: A State vs Region: How Centre Shut Its Eyes to NE’s Flood Woes

Dharavi Redevelopment Project (Maharashtra)

  • Project: Asia’s largest slum redevelopment (in-situ rehab + free-sale component).
  • Land Area: 259 hectares core (108.99 hectares developable); additional: 124 acres (Deonar), 256 acres (salt pans), 21 acres (Kurla Dairy), ~45 acres (railway/Matunga); total sought: ~1,250 acres.
  • Nature: Rehab for 700,000+ eligible residents (350–500 sq ft units); commercial spaces; 43% (~47.95 hectares) for open-market sale (FSI 4).
  • Cost: Rs 5,069 crore bid (2022); total estimated: Rs 95,000 crore (rehab) + Rs 2.5 lakh crore overall. Timeline: 17 years; Phase 1 (6.4 acres) starts 2025.
  • Significance: Impacts 1+ million; TDR incentives (40% from project). Controversies: Eligibility cutoffs, displacement fears, opposition protests.

Adani’s expansions—totaling 7,350 hectares leased nationwide at nominal rates—underscore its dominance in energy (15 GW thermal/renewables) and infrastructure, often via state incentives for “wasteland” development. While driving jobs and GDP, projects face backlash over ecological damage (e.g., 3.68 lakh trees in Chhattisgarh), tribal rights (Assam/Jharkhand), and equity (Bihar’s Rs 1/acre lease), and manipulation.

For example, in Chhattisgarh, tribal communities alleged that gram sabha consent documents were forged to facilitate the transfer of their land to the conglomerate, sparking widespread resentment against both the state and central governments.

Similar allegations surfaced in Assam’s Kokrajhar, where tribal groups accused the government of irregularities in granting land to Adani. The protests grew strong enough to force Chief Minister Himanta Biswa Sarma to suspend the allotment.

Political observers say the rollback was driven by fears of a tribal backlash in next year’s Assembly elections, highlighting how Adani’s projects have repeatedly collided with local resistance and electoral sensitivities.

 

 

Tags: Adani GroupBiharGovernment Generosity
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SPECIAL REPORT: Bihar Latest — How Adani Has Thrived on Govts Generosity

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