The project is an integrated infrastructure development plan proposed by Andaman and Nicobar Islands Integrated Development Corporation Limited (ANIIDCO). | Photo credit: Getty Images/istockphoto
Story so far: The National Green Tribunal (NGT) recently concluded a high-stakes legal battle over the “holistic development of Great Nicobar Island” and ruled that all environmental safeguards apply to the Great Nicobar Island project. Estimated to cost ₹80,000 to ₹90,000 crore, this integrated project has been at the center of a debate between national interests and the protection of one of the world’s most sensitive ecosystems.
What is the Great Nicobar Project?
The project is an integrated infrastructure development plan proposed by Andaman and Nicobar Islands Integrated Development Corporation Limited (ANIIDCO). It consists of four main components: an international container transshipment terminal (ICTT), a 450 MVA gas and solar power plant, extensive urban and territorial development and an international airport. Building all this would require the diversion of 130.75 square kilometers of forest land – roughly 18% of the total area of Great Nicobar Island. It is expected to create over 1.28 lakh jobs by 2052 when fully implemented. However, the project’s inevitable environmental impact has sparked global outrage.
What is the history of the project?
The project’s regulatory journey began in May 2021 with a Phase I forest clearance granted in October 2022, followed by an Environmental and Coastal Regulation Zone (CRZ) clearance on November 11, 2022. These exclusions were challenged in a “first round” of litigation in 2022. Adequacy of environmental data and zoning violations. The Tribunal then formed a High-Powered Committee (HPC) to revisit these issues. The final order issued this month is the result of a “second round” of litigation, where the tribunal reviewed the HPC’s findings and the government’s subsequent actions.
Why is this a “national imperative”?
The government claims that the project is of extraordinary strategic, defense and national importance. Great Nicobar is located just 40 km from the Straits of Malacca, a critical international shipping lane. The area is seen as a vital place to combat the “growing presence” of foreign powers in the Indian Ocean. By establishing a major cargo transhipment hub, India can become more involved in the global maritime economy and save significant costs on cargo that is currently transhipped through foreign ports. A continued strong presence on the island is expected to curb poaching of marine resources by foreign entities.
What about Nicobar’s ecology?
The island is a hotbed of biodiversity and the project faces several environmental challenges. Initial surveys identified 20,668 coral colonies in the area. While Island CRZ regulations prohibit “coral destruction”, the project involves the relocation of 16,150 colonies to suitable receiving sites. The island is home to leatherback turtle, Nicobar megapod and sea crocodile. Critics argued the construction would destroy nesting grounds in Galathea Bay. The main point of contention was whether the port layout overlapped with the island’s CRZ-IA areas, which are the most ecologically sensitive zones (such as mangroves and sand dunes) where heavy construction is strictly prohibited. Environmentalists argued that the Environmental Impact Assessment (EIA) was based only on baseline data from one season, which they argued was insufficient for a project of this magnitude. Critics have also raised concerns that environmental impact studies downplay the seismic risks of the region, which is located in a highly active tectonic zone.
How will it affect tribal populations?
The island is inhabited by the Shompen and Nicobari tribes. The NGT noted the following on tribal rights – The Expert Appraisal Committee (EAC), which advises the Center on environmental clearances, found that the project is designed not to disturb or displace any tribal habitations. The tribunal said the habitat rights of the tribes would be protected under the Forest Rights Act, although as recently as last month some tribal council leaders said they were “forced” to sign “surrender” certificates stating that they had no objection to their land being handed over to the government. ANIIDCO is required to provide funds to A&N Tribal Welfare Department for the welfare and protection of tribal groups.
What was the NGT’s rationale?
The tribunal ultimately upheld the environmental review, adopting a “balanced approach” that weighed environmental safeguards and national security. The NGT ruled that while EIA procedures are mandatory, they should not be used to adopt a “hyper-technical approach” that ignores ground realities and national security. She accepted the findings of the Zoological Survey of India (ZSI) that there was no “large” coral reef in the direct working area of Galathea Bay, only “scattered” colonies. She decided that translocation would effectively protect the colonies. After visiting the National Center for Sustainable Coastal Management (NCSCM), the tribunal accepted that no part of the port project falls within the ICRZ-IA prohibited zone. The tribunal also ruled that one season’s data was sufficient because the islands are not classified as a “high erosion” section, where multi-season data is mandatory.
With the NGT under legal clearance, ANIIDCO can move forward with project development. The Ministry of Ports, Shipping and Waterways is also expected to continue port development activities.
Published – 22 Feb 2026 04:02 IST
