Overview of the Project:
Andaman and Nicobar Islands Integrated Development Corporation (ANIIDCO) is leading a ₹72,000 crore mega infrastructure project on Great Nicobar Island, promoted by NITI Aayog.
Project Components:
Trans-shipment port.
Greenfield airport.
Tourism and township development.
Solar and gas-based power plant.
Location: Great Nicobar, the southernmost island in the Andaman and Nicobar archipelago.
Concerns: ANIIDCO, a little-known quasi-government agency based in Port Blair, has been entrusted with the responsibility of this large-scale, high-risk project.
ANIIDCO Incorporated on June 28, 1988, under the Companies Act.
To Develop and exploit natural resources in an environmentally friendly manner for the balanced development of the territory.
Main Activities:
Trading of petroleum products, Indian made foreign liquor, and milk.
Managing tourism resorts and infrastructure for tourism and fisheries.
Over the last three financial years, ANIIDCO’s average annual turnover is ₹370 crore, and its average profit is ₹35 crore.
ANIIDCO’s experience, capabilities, and resources are considered inadequate for handling a high-profile project like the one in Great Nicobar, a biodiversity hotspot with indigenous communities and high tectonic activity.
When appointed as project proponent in July 2020, ANIIDCO lacked an environmental policy or a dedicated environment cell.
It wasn’t until late 2022, more than two years after its appointment, that ANIIDCO began recruiting experts such as urban planners, environmental specialists, architects, and infrastructure experts.
In May 2021, the Expert Appraisal Committee (EAC) of the Union environment ministry asked ANIIDCO several questions about its environmental governance.
ANIIDCO admitted in August 2021 that it did not have a corporate environmental policy.
Despite lacking a policy, ANIIDCO was granted environmental clearance by the EAC in November 2022.
In 2022, the Conservation Action Trust filed a petition before the National Green Tribunal (NGT) challenging the Stage 1 forest clearance granted by the Union Environment Ministry.
At the time, ANIIDCO’s managing director also held the position of Commissioner cum Secretary (Environment and Forests), creating a conflict where the project proponent was responsible for certifying itself.
The Chief Secretary of the islands, who is also the chairman of ANIIDCO’s board, was made a key member of the NGT’s high-powered committee to investigate complaints against the project.
This raised concerns about ANIIDCO evaluating its own actions again.
Many individuals working for ANIIDCO also serve in various capacities within the Andaman and Nicobar administration, managing environmental and tribal welfare issues.
The former Lieutenant Governor of the islands expressed confidence in ANIIDCO’s ability to handle the project but emphasized that external expert agencies would be required for its successful execution.
Concerns remain about ANIIDCO’s ability to handle the ₹72,000 crore Great Nicobar project, given its current capacity, internal conflicts of interest, and lack of prior experience with large-scale infrastructure and environmental governance.
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