Great Nicobar Project – Strategic Significance and Sustainable Growth

Introduction

The Great Nicobar Project is a strategic initiative designed to reinforce India’s footprint in the Andaman Sea and across Southeast Asia. It aims to balance port‑driven expansion with carefully calibrated environmental protections and the safeguarding of indigenous communities. By integrating strategic, economic, and ecological objectives, the project seeks to ensure that development on Great Nicobar is sustainable, inclusive, and aligned with national priorities.

The project includes:

International Container Transhipment Terminal (ICTT) with a capacity of 14.2 million TEU (Twenty‑Foot Equivalent Unit), Greenfield International Airport (4000 Peak Hour Passengers‑PHP), a 450 MVA (Megavolt Ampere) gas and solar‑based power plant, and a new township spanning 16,610 hectares. The development follows a sensitive and holistic approach that takes into account the needs of indigenous communities and aims to conserve the island’s ecological resources. The plan carefully assesses social, cultural, and environmental impacts and prioritises options that reconcile environmental, social, and economic goals.

Core Infrastructure Components of the Great Nicobar Project

1. International Container Transhipment Terminal

India’s existing ports lack deep‑water berths suitable for large vessels, forcing much cargo to be routed via Colombo and Singapore and resulting in substantial revenue loss. Countries such as Myanmar, China, and Sri Lanka are already investing in deep‑water facilities to capture this trade.

Against this backdrop, the International Container Transhipment Port (ICTP) at Galathea Bay is being developed as part of the Holistic Development of Great Nicobar Island under the Island Development programme. Together with the proposed airport, township, and power plant, the Galathea Bay transhipment port constitutes a cornerstone of the overall Great Nicobar Project. Strategically, the port benefits from its proximity—around 40 nautical miles—to the East–West international shipping route and from natural water depths exceeding 20 metres. This location enhances its ability to attract both gateway and transhipment cargo and to reduce India’s dependence on foreign ports such as Colombo, Singapore, and Klang. The project is intended to strengthen India’s national security posture, bolster its maritime and defence presence, elevate the islands’ economic standing, and drive integrated regional development.

2. Greenfield International Airport

The island hosts world‑class ecological assets that can draw international and domestic tourists. An international airport is essential to improve connectivity and unlock the island’s tourism potential. Great Nicobar lies near established tourist destinations such as Senang City, Phuket Island, and Langkawi Island. Port Blair airport currently serves about 1.8 million passengers annually. The new airport is projected to handle at least 1 million passengers when it opens and to scale up to roughly 10 million passengers per year in subsequent phases.

3. Township and Area Development

The planned township is intended to meet the residential, commercial, and institutional demands generated by port‑led development on the island. It will provide essential urban infrastructure for port personnel, service providers, and associated economic activities, in line with the broader integrated development framework.

4. Power Plant

Robust power infrastructure is critical for the operation of the transshipment terminal, airport, and related urban facilities. At present, diesel‑based generating sets are the primary power source in the Andaman & Nicobar Islands. The main objective of the power plant is to deliver reliable, high‑quality electricity with minimal interruptions. The design incorporates redundancy so that power supply can continue even if a primary component fails. Additional generation will also be sourced from renewable energy. A stable, uninterrupted power supply is a key driver of higher GDP for the island.

Strategic and Economic Importance

The Great Nicobar Project is being rolled out in three distinct phases—

• Phase I (2025–35, 72.12 sq. km)
• Phase II (2036–41, 45.27 sq. km),
• Phase III (2042–47, 48.71 sq. km)

It covers a total area of 166.10 sq. km, comprising 35.35 sq. km of revenue land and 130.75 sq. km of forest land. This phased rollout allows infrastructure to be developed in a structured manner while integrating environmental safeguards and tribal welfare measures at each stage.

The project’s strategic and economic importance stems from the need to position Great Nicobar as a pivotal node in the Indian Ocean Region. It is designed to optimise land use, coordinate ecological management, and deliver long‑term regional benefits, all while strictly adhering to Environmental Impact Assessment (EIA) regulations and statutory clearances.

Environmental Impact Assessment (EIA) is a systematic tool used to ensure the responsible use of natural resources for sustainable development. EIA is mandatory for specified project categories under the schedule of the Environmental Impact Assessment Notification, 2006. Sector‑specific expert committees review project proposals, evaluate their environmental impacts, and recommend either approval or rejection.

Environmental impact assessment of the Great Nicobar Island Project

• The project received prior Environmental Clearance under the EIA Notification, 2006, after a detailed process of screening, scoping, public consultation, and appraisal.
• The Environmental Clearance encompasses 42 specific conditions covering air, water, noise, waste management, marine ecology, human health, and disaster management, backed by a comprehensive Environment Management Plan (EMP).
• Prominent institutions such as the Zoological Survey of India (“ZSI”), Salim Ali Centre for Ornithology and Natural History (“SACON”), the Wildlife Institute of India (“WII”), and the Indian Institute of Science (“IISc”) conducted studies, with ZSI concluding that the project can proceed if adequate safeguards are implemented.
• Three independent Monitoring Committees have been established to oversee pollution, biodiversity, and the welfare of the Shompen and Nicobarese communities. The Committees are as follows:

I) Committee to oversee pollution‑related matters

II) Committee to oversee biodiversity‑related matters

III) Committee to oversee welfare and issues related to Shompen and Nicobarese.

An Overarching Committee has been set up under the chairmanship of the Chief Secretary of the Andaman & Nicobar Administration to ensure coordinated implementation of all Environmental Clearance and Coastal Regulation Zone (CRZ) conditions among stakeholders. It functions as a central mechanism for oversight, monitoring, and inter‑institutional coordination.

Environmental Safeguards and Compensatory Afforestation Plan

Prior to clearance, the project underwent multiple layers of statutory scrutiny, including the formulation of an Environmental Management Plan (EMP). The EMP details mitigation measures for both the construction and operational phases.

Environmental Management Plan (EMP) is a framework designed to promote sustainable development around a proposed project. It engages industry, government, the Pollution Control Board, and local communities.

It includes measures to minimise environmental impacts, with mitigation applied at the source and at the project site. During the operational phase, the EMP focuses on reducing ongoing environmental effects while supporting economic growth.

The Great Nicobar Project will utilise 1.82% of the total forest cover of the Andaman and Nicobar Islands. The area slated for diversion is estimated to contain about 18.65 lakh trees, though the maximum number expected to be felled is around 7.11 lakh across 49.86 sq. km of forest. Tree felling will be executed in a phased manner, aligned with the project’s own phased development schedule. Crucially, 65.99 sq. km of land will be retained as green zones where no trees will be cut, helping maintain ecological balance. Given that the islands already have more than 75% forest cover, compensatory afforestation cannot be undertaken locally. Instead, afforestation is planned in Haryana, where 97.30 sq. km of land has been identified to offset the Phase I diversion of 48.65 sq. km of forest. In addition, under the ‘Ek Ped Maa Ke Naam’ initiative, about 2.4 million trees have been planted in the Andaman and Nicobar Islands.

Tribal Welfare and Social Considerations

Great Nicobar Island is home to aboriginal Mongoloid tribes: the Shompens (around 237), who are traditionally hunter‑gatherers, and the Nicobarese (about 1,094), who inhabit coastal settlements and rely mainly on fishing for their livelihood. The Great Nicobar Project has been carefully designed to ensure that neither the Nicobarese nor the Shompens are displaced. Within the project area, the only tribal habitations are located at New Chingen and Rajiv Nagar, and the administration has explicitly stated that no relocation of tribal communities is envisaged.

The project is fully consistent with the Shompen Policy of 2015 and the Jarawa Policy of 2004, which require that large‑scale development proposals prioritise the welfare and integrity of Particularly Vulnerable Tribal Groups (PVTGs) and follow a structured consultation process. To protect tribal interests, an Independent Monitoring Committee has been mandated by the Ministry of Environment, Forest and Climate Change to oversee matters affecting the Shompen and Nicobarese during both construction and operation. Consultations have also been held with the Ministry of Tribal Affairs, the Directorate of Tribal Welfare, the Andaman Adim Janjati Vikas Samiti (AAJVS), and tribal experts including the Anthropological Survey of India to ensure the safety, protection, and well‑being of these communities.

The project’s implementation framework is aligned with Article 338A (9) of the Constitution, with a clear emphasis on safeguarding the interests of Scheduled Tribes and PVTGs in the region. Importantly, the Union Territory of the Andaman and Nicobar Islands has not introduced any fresh policy measures affecting these tribes beyond the implementation of this development project, ensuring that tribal rights and welfare remain central to the planning.

Currently, 751.070 sq. km of land on Great Nicobar Island is officially designated as Tribal Reserve. Of the 166.10 sq. km proposed for development projects, 84.10 sq. km overlaps with Tribal Reserve land. Within this overlap, 11.032 sq. km has already been settled and used as revenue land since 1972. As a result, the remaining 73.07 sq. km is being de‑notified for project purposes. To compensate, 76.98 sq. km will be re‑notified as Tribal Reserve, leading to a net addition of 3.912 sq. km to the Tribal Reserve area. In Phase I, only 40.01 sq. km of tribal area is involved in the project, with 11.032 sq. km already under revenue use since 1972.

Risk Assessment and Disaster Management

The island lies in a seismically sensitive and cyclone‑prone zone. To address this, a comprehensive risk assessment study has been carried out, covering natural hazards such as tsunamis, earthquakes, and cyclones, as well as anthropogenic risks including industrial accidents and other incidents. A vulnerability and disaster management plan has been prepared to ensure readiness for emergencies. Moreover, reliance on a hybrid power plant (gas and solar) enhances resilience against disruptions while helping to cut carbon emissions.

Conclusion

The Great Nicobar Project exemplifies how holistic development can harmonise economic growth, ecological conservation, and social inclusion. By leveraging Great Nicobar’s strategic location, it aims to strengthen India’s maritime, defence, and national security presence in the Indo‑Pacific, while embedding strong environmental safeguards and tribal‑welfare mechanisms. Through commitments to wildlife conservation, compensatory afforestation, disaster preparedness, and social inclusion, the government demonstrates that development does not need to come at the cost of the environment.

In essence, the project sets a model for future large‑scale infrastructure initiatives in ecologically fragile regions, illustrating how economic and ecological priorities, rather than competing, can reinforce one another to serve both national and global interests.