BJP's Maharashtra win provides relief for Adani's $3B Dharavi project
The electoral win of the Bharatiya Janata Party (BJP)-led Mahayuti in Maharashtra has ensured the future of Gautam Adani-led group's $3 billion project. The ambitious project seeks to turn Mumbai's Dharavi slum into a "world-class" district. The development comes as a sigh of relief for Adani, who is currently embroiled in bribery charges in a US court, and would have suffered major setbacks had his Dharavi project been scrapped.
Adani's vision for Dharavi and political opposition
Adani's vision is to convert 620 acres of prime land, about three-quarters the size of New York's Central Park, into a modern urban hub. The project has been mired in political controversy with opponents alleging that the group got undue benefits from the state government in bagging the contract. Congress leader Rahul Gandhi had also criticized awarding of Dharavi redevelopment project to Adani Group.
Commitment to rehouse Dharavi residents
The re-development project promises to provide up to 350 sq. ft. flats free of cost, to some seven lakh people currently living in the densely populated slums. However, the proposal has met with opposition from some locals who don't want any resident or business owner displaced. In response, Adani has committed that those not eligible for rehousing in Dharavi will be accommodated elsewhere in the city.
Adani Group's stake and survey for rehousing
The Adani Group, which holds an 80% stake in the Dharavi Redevelopment Project Pvt along with the state government, is undertaking this project. A survey is underway to determine who will be rehoused in Dharavi or relocated. This process is intended to ensure a fair and efficient allocation of housing resources among the existing residents and businesses within the slum area.
Winning bid and previous tender cancelation
In 2022, the Maharashtra government floated a fresh tender for Dharavi's redevelopment after scrapping an earlier deal. The Adani Group won the project by quoting ₹5,070 crore—over 2.5 times the bid of the next highest bidder—to provide houses with a kitchen and a toilet to eligible slum dwellers in revamped Dharavi. This was a major milestone in the group's association with the project.
