60 thousand families live very close together in Dharavi, which is known as the most shanty town in Asia. The project to upgrade these huts was shelved for a long time. Several tenders were floated for the implementation of the project and eventually it was abandoned. Now, after the inauguration of the new government, the tender for the implementation of the Dharavi slum development project was released last October. This time 8 companies participated in the tender. Out of which only 3 companies including Adani and DLF were finally selected.
Adani had announced an initial investment of Rs 5,069 crore for the 259-hectare Dharavi slum development project. The CEO of Dharavi Slum Development Authority, R. Srinivas, said that TLF, which participated in the 20,000 crore project, had mentioned in the tender that an initial investment of 2,026 crore would be made.
The state government had stipulated that the company participating in the scheme should put in a minimum initial investment of Rs 1,600 crore. Regarding this, Srinivasan further said, “Adani has been selected to implement the Dharavi slum development project. The tender details have been sent to the state government.
The state government will take the final decision. The state chief minister will take a final decision in the matter in two weeks. 60 thousand slum dwellers, 13 thousand shops and commercial establishments in 2.5 square kilometers have been selected for this scheme. Adani will provide free flats. Adani will build and sell houses and shops on the land left over after building houses for the slum dwellers. Adani will form a joint venture with the state government for the project. The state government will have 20 percent share and Adani will have 80 percent share. The work will be completed within 7 years from the receipt of the work order,” he said.
A house of 405 square feet will be built for each cottager. Adani will conduct a new survey of those eligible for free housing. Those who are not eligible to get a free house have to pay land and construction cost to get a house. In the first phase, a substantial amount of land has been purchased from the railway administration to build houses for the slum dwellers. The state government has announced various financial incentives for Adani, which has been selected for this project.