Supreme Court calls for independent environmental assessment of ₹76,000 crore Vadhavan port project

The Supreme Court has asked the Union government to consider appointing an independent expert agency to evaluate the potential environmental impact of the ₹76,000 crore Vadhavan Port project in Maharashtra’s Palghar district.

A bench comprising Justices A.S. Oka and Ujjal Bhuyan issued the interim order on Friday while hearing a plea by the National Fishworkers Forum, which opposes the project on environmental and livelihood grounds.

Though the court did not halt the project, it noted the government’s assurance that no significant construction work is planned at this stage.

“Prima facie, this will destroy the environment … Don’t start the work, appoint an agency,” the bench observed.

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Attorney general R. Venkataramani, representing the Union government and the Jawaharlal Nehru Port Trust (JNPT), urged the court to hear the authorities before issuing any order that could stall the project. 

He noted that the port had undergone multiple expert reviews and received necessary approvals.

However, the Bench reaffirmed its commitment to environmental protection. 

“Ultimately, we are also guardians of the environment. We have to be satisfied. It is in the interest of everybody that we appoint an expert agency to give us an opinion,” the court stated.

Strategic importance

The Vadhavan Port project, approved by the Cabinet on 19 June 2024, was later inaugurated by Prime Minister Narendra Modi on 30 August 2024. 

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Vadhavan Port Project Ltd (VPPL) is developing the port, a joint venture between the Jawaharlal Nehru Port Authority (JNPA) and the Maharashtra Maritime Board (MMB). JNPA holds a 74% stake, while MMB owns 26%. The port is expected to be operational in five years.

Positioned as a key trade hub, the port aims to strengthen India’s connectivity with Central Asia and Russia via the International North-South Transport Corridor (INSTC) and the India-Middle East-Europe Economic Corridor (Imec). 

It is also expected to ease congestion at Jawaharlal Nehru Port, India’s busiest container-handling facility.

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With its scale and economic potential, the government envisions Vadhavan Port as one of the world’s top 10 ports. 

Additionally, state-run REC Ltd has signed an MoU with JNPA to provide up to ₹45,000 crore in funding for infrastructure development.

The total project cost, including land acquisition, is estimated at ₹76,220 crore. 

The Vadhavan Port project will feature nine 1,000-meter container terminals, multiple cargo and liquid berths, a Ro-Ro berth, and a Coast Guard berth. 

The government plans to reclaim 1,448 hectares of sea and build a 10.14 km offshore breakwater. The port will be among the world’s largest, with a cargo handling capacity of 298 MMT per year, including 23.2 million twenty-foot equivalent units (TEUs). 

It will be well-connected to national highways and dedicated freight corridors.

Economically, it is expected to boost Maharashtra’s GDP by 1% and generate 12 lakh direct and one crore indirect jobs.

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