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Anjana K S
4 days ago5 min read

Bridging the rich-poor gap - A Study of the Dharavi Re-Development Project (DRP)

The Dharavi Redevelopment Project faces multiple challenges, both at the ground and institutional levels. Addressing key issues is crucial for a just and efficient transformation.

 

Mumbai, home to around 21.6 million people, is not only the most populated city in India but also the country's financial capital. However, it is surprising that Mumbai was not included in the Smart City Mission. According to the Indian Express, the Shiv Sena-led Brihanmumbai Municipal Corporation (BMC), India’s richest civic body, chose not to participate in the NDA government’s flagship mission due to a few concerns about the guidelines (Indian Express, 2017). They were reluctant to hand over the implementation of the mission to an SPV (Special Purpose Vehicle) and felt that the funding from the center was too low. Though the smart city mission is not in action, other initiatives are being planned and implemented.


Recently, there has been considerable news coverage about the redevelopment of one of the world’s largest slums—Dharavi, located in the heart of Mumbai. Dharavi is home to about a million people, spread over 600 acres. The groundbreaking ceremony for its redevelopment took place on September 12, 2024.


The Maharashtra government has formed a Special Purpose Vehicle (SPV), Dharavi Redevelopment Project Pvt Ltd. In this, the lead developer, Adani Realty, holds 80% equity, while the state government holds 20% (Lewis.C., 2024). The government has also approved over 255 acres of salt pan land in Mumbai for relocating Dharavi residents who are ineligible for free housing—those who moved to Dharavi after January 1, 2011, or live on upper floors. For them, affordable rental housing will be provided, benefiting around 300,000–400,000 people (Lewis.C., 2024). According to the Times of India, only eligible slum dwellers (those who moved in on or before January 1, 2000, and currently live on the ground floors) will be rehabilitated in Dharavi itself and receive free 350 sq. ft. apartments. People who moved in between January 1, 2001, and January 1, 2011, will be allocated houses under the Pradhan Mantri Awas Yojana (PMAY) upon paying Rs. 2.5 lakhs (Mukherjee, 2024).


The Developer’s View and Goals


Adani, in one of his blogs, recalls his first visit to Mumbai in the late 1970s and describes Dharavi as a "melting pot of diverse beliefs, cultures, and languages from every part of India." He found the experience humbling and unsettling. He claims that his personal connection to the area is what inspired him to take on this massive project. Adani promises not only to resettle residential units but also to ensure that establishments supporting livelihoods will be preserved, maintaining the "ecosphere" and the business environment. He emphasizes that the transformation will be "human-centric." He also assures that residents will be able to witness and contribute to the construction of their new homes, highlighting a sense of ownership in the process.


Progress and Challenges


With an investment of over Rs. 2000 crore in the DRP, Adani aims to relocate eligible families within the next two and a half years. The plan is to construct rehabilitation buildings on railway land within the next four to six months, providing around 15,000 to 20,000 units (Mukherjee, 2024).


However, redeveloping a slum as vast and complex as Dharavi brings immense challenges. These range from political and institutional to social ones. Some institutional challenges include coordinating with multiple government bodies and stakeholders, managing land acquisition, zoning, environmental clearances, and securing sustainable investments. Business Standard also highlights other issues like high population density, height restrictions due to flight operations, coastal regulation norms, and the need to integrate residential and commercial properties. Additionally, the proximity to the Mithi River poses environmental challenges (Mukherjee, 2024).


There are political hurdles as well. According to Businessline, some residents oppose the project and the ongoing survey, while opposition parties in Maharashtra have used the project as a rallying point. The MVA allies have accused the Eknath Shinde-led Mahayuti government of "favouring" the Adani Group and furthering the "Modani" agenda (Vinaya Deshpande Pandit, 2024). Protests have been held, with the Congress party accusing Adani of taking over lucrative land under the guise of redevelopment (Vinaya Deshpande Pandit, 2024). Concerns have also been raised about the risk of flooding, as the salt pans act as natural sponges to absorb excess water.


From the residents' perspective, many have lived in Dharavi for generations, making it emotionally difficult to leave behind the place that raised them. Relocation must be done fairly, ensuring adequate housing and protecting livelihoods. There is also fear of being uprooted and losing the strong community ties built over time.


Key Concerns/Questions for a Just and Efficient Rehabilitation

For the Dharavi Redevelopment Project to be just and efficient, several critical concerns must be addressed, and stakeholders must continuously be reminded of the following:


  1. Will all residents receive adequate and affordable housing within Dharavi or nearby?


    It's essential to ensure that no one is left without proper housing, especially the most vulnerable.


  2. How are residents being involved in the decision-making process?


    While Adani has promised community involvement, will it be truly implemented?


  3. How will small businesses and informal workers be supported during and after relocation?


    Dharavi is not just a residential area; it's also a hub of the informal economy. Ensuring that businesses survive and thrive post-relocation is important for sustaining livelihoods.


  4. What criteria are being used to determine eligibility for housing or compensation? Is the segregation of eligible and ineligible residents essential?


    The process must be transparent and fair. Segregating residents based on move-in dates may lead to unnecessary exclusion, raising concerns about fairness.


  5. How will grievances from residents be handled during and after the project? Will there be an accessible grievance redressal mechanism?


    Without a clear, accessible system to address concerns, residents may feel powerless and disconnected from the process.


Transparency, regular communication, and accountability are crucial at every stage. Often, the voices of the poor go unheard, so it’s important for us to take responsibility as citizens to amplify their voices and ensure their concerns are not overlooked.


References


4)     Lewis,Vijay, C. (2024, October 5). Dharavi redevelopment: “Incentive” FSI of 1.33 for rental housing. The Times of India; Times Of India. https://timesofindia.indiatimes.com/city/mumbai/dharavi-redevelopment-incentive-fsi-of-1-33-for-rental-housing/articleshow/113955562.cms

5)     Lewis, C. (2024, September 6). Dharavi slum redevpt project groundbreaking ceremony likely on Sept 12. The Times of India; Times Of India. https://timesofindia.indiatimes.com/city/mumbai/dharavi-slum-redevpt-project-groundbreaking-ceremony-likely-on-sept-12/articleshow/113136810.cms

6)     Mukherjee, V. (2024, August 30). Adani Group invests Rs 2,000 crore in Dharavi redevelopment project. @Bsindia; Business Standard. https://www.business-standard.com/companies/news/adani-group-invests-rs-2-000-crore-in-dharavi-redevelopment-project-124083000210_1.html

7)     PTI. (2024, October 2). Dharavi Project: Maharashtra allows Adani to build houses for slum project-hit people on Mumbai salt pan l. The Economic Times; Economic Times. https://economictimes.indiatimes.com/industry/services/property-/-cstruction/dharavi-project-maharashtra-allows-adani-to-build-houses-for-slum-project-hit-people-on-mumbai-salt-pan-land/articleshow/113870133.cms?from=mdr

8)     Sweety Adimulam. (2024, July 20). Dharavi redevelopment project: Adani Realty seeks extra 552 acres in eastern suburbs. The Indian Express. https://indianexpress.com/article/cities/mumbai/dharavi-redevelopment-project-adani-realty-seeks-extra-552-acres-in-eastern-suburbs-9465855/

9)     Vinaya Deshpande Pandit. (2024, October 3). Dharavi redevelopment project, Adani become a rallying point for Opposition in Maharashtra. The Hindu. https://www.thehindu.com/news/cities/mumbai/dharavi-redevelopment-project-adani-become-a-rallying-point-for-opposition-in-maharashtra/article68712186.ece

 

 

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