The project, located near the Strait of Malacca, includes an international container transshipment terminal, a greenfield airport, a gas and thermal power complex, and a new township for up to 650,000 people, according to research. It will require clearing at least 130-166 square kilometers of forest land, including areas designated as tribal reserve. The island is home to around 8,000-9,000 people, including about 1,200 indigenous Shompen, a nomadic, largely uncontacted tribe.
India's environment minister Bhupender Yadav claimed in 2023 that the project poses no threat to ecologically sensitive areas or indigenous populations, according to reports. However, opposition leader Rahul Gandhi called it one of the biggest frauds and thefts of Indian ecological property, as per media. Survival International says the project would destroy the Shompen people, according to reports.
06 lakh crore in 845 maritime projects, according to research. The Great Nicobar project alone is estimated to cost Rs 1 lakh crore (approximately $12 billion), according to research. Currently, a significant portion of India's cargo is routed through ports like Singapore and Colombo, resulting in estimated annual revenue losses of $200-220 million, according to reports.
The island's population is expected to increase more than 80-fold if the township reaches projected capacity, according to reports. The federal environment ministry has said only 130 sq km (14% of the island) will be cleared, according to reports. Critics say the project threatens to push indigenous tribes to the brink of extinction, according to reports.
The Andaman and Nicobar Islands are home to five 'particularly vulnerable' tribal groups, according to reports. Around 80% of Great Nicobar is covered with rainforests, home to more than 1,800 animal and 800 flora species, according to reports.