Bombay High Court upholds allocation of tender to Adani Group for Dharavi Redevelopment Project

Bombay High Court upholds allocation of tender to Adani Group for Dharavi Redevelopment Project

Earlier this year, Adani Group Founder and Chairman, Gautam Adani, emphasised that the project was not only about urban renewal, but also about “restoring dignity to over one million residents” and creating a sustainable living ecosystem.

Valued at Rs 23,000 crore, the project has faced criticism, with some claiming it will primarily benefit the Adani Group.
Business Today Desk
  • Dec 20, 2024,
  • Updated Dec 20, 2024, 3:53 PM IST

The Bombay High Court on December 20 rejected a petition challenging the Adani Group’s awarded tender for the Dharavi Redevelopment Project. 

The petition had been filed by a private firm that contested the tender award, which followed the cancellation of a previous tender in 2019. The petitioner had sought a new tender process, but the court dismissed the plea, providing significant relief to the Adani Group. 

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The Dharavi Redevelopment Project, one of India’s largest urban renewal initiatives, has been surrounded by controversy. While Adani Group’s involvement has raised questions, the group maintains that its aim is to restore the dignity of over one million Dharavi residents. 

Earlier this year, Adani Group Founder and Chairman, Gautam Adani, emphasised that the project was not only about urban renewal, but also about “restoring dignity to over one million residents” and creating a sustainable living ecosystem. The project seeks to transform Dharavi, the world’s largest slum, within the next decade, in partnership with the Maharashtra government. 

Under the redevelopment plan, eligible residential tenants in Dharavi will receive flats with independent kitchens and toilets. The minimum size of the new homes will be 350 square feet, 17 percent larger than the average in Mumbai’s other slum redevelopment areas. Valued at Rs 23,000 crore, the project has faced criticism, with some claiming it will primarily benefit the Adani Group. 

However, sources from Dharavi Redevelopment Project Private Limited (DRPPL) clarified that railway land for the project was acquired at a 170 percent premium above prevailing market rates. Addressing concerns raised by residents, they assured that the project adheres to government resolutions ensuring no displacement.  

Those with tenements built before January 1, 2000, will be rehabilitated within Dharavi, while others will be provided housing under the Pradhan Mantri Awas Yojana outside the area. 

The project is also committed to strict Environmental, Social and Governance (ESG) standards, with plans to plant thousands of trees to improve green cover. The Adani Group has already planted over four million trees across India and aims to plant one trillion trees. 

In response to concerns over land allocation, sources close to the project clarified that land will be transferred to the Dharavi Redevelopment Project (DRPPL), not directly to the Adani Group, and that all procedures under the Maharashtra Land Revenue (Disposal of Government Lands) Rules, 1971, have been followed. 

DRPPL clarified that, as with other Slum Rehabilitation Authority (SRA) projects, the survey will be conducted with third-party experts, and the DRPPLs’ role is limited to facilitating the process to ensure impartiality and compliance with government standards. 

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