Border Rule Violation for Adani Plant: Fresh Scrutiny on Gujarat Project Amid Bribery Allegations
New Delhi, February 13, 2025 The Adani Group’s renewable energy project in Gujarat’s Khavda has come under fresh scrutiny following media reports that the Narendra Modi-led government relaxed national security protocols to facilitate land allocation for the venture. The Congress has strongly criticized the alleged easing of border construction restrictions, citing it as yet another instance of favoritism toward the conglomerate, which has already faced bribery allegations in the United States.
The British daily The Guardian reported on Wednesday that existing security regulations restricting large-scale construction within 10 kilometers of the Pakistan border were amended to accommodate Adani’s project. The report alleges that the Gujarat government, led by the Bharatiya Janata Party (BJP), actively lobbied for these restrictions to be lifted, ultimately securing land near the sensitive border region for solar and wind energy development.
Alleged Rule Relaxation and Border Security Concerns
Key Findings from The Guardian Report:
Previous National Security Rules: Earlier regulations prohibited major construction within 10 km of the Pakistan border, limiting development to existing villages and roads. Policy Shift in 2023: Documents reveal that in April 2023, the Gujarat government pushed for a policy change to allow land allocation in the Rann of Kutch for renewable energy projects. Meeting Chaired by Union Minister: The report states that in May 2023, India’s Renewable Energy Minister R.K. Singh chaired a meeting where the Solar Energy Corporation of India (SECI), a state-run entity, was “encouraged” to surrender 230 sq km of land near the border to facilitate Adani’s project.
The revelation has sparked serious concerns over national security, as the region is strategically sensitive due to its proximity to Pakistan. Critics argue that such regulatory changes pose potential risks, particularly at a time when border security is a top national priority.
Congress Slams Modi Government, Alleges Corporate Favoritism
The Congress party has launched a sharp attack on the Modi government, questioning the selective easing of national security rules to benefit one corporate group.
Congress’ Allegations: Political Interference: The party claims the BJP government directly influenced policy changes to favor Adani. Compromised Security: The Opposition has raised concerns that allowing large-scale construction so close to an international border could create vulnerabilities. Pattern of Favoritism: This latest controversy adds to the existing allegations of preferential treatment for Adani, particularly given the ongoing US bribery probe involving the conglomerate’s executives.
“The Modi government has once again bent rules to benefit its corporate allies, even at the cost of national security. Why was this project given special treatment? Who benefited from this decision?” asked Congress spokesperson Jairam Ramesh in a statement.
The Congress has demanded a parliamentary inquiry into the land allocation process, calling for full transparency on the policy changes that allowed the project to move forward.
The US Bribery Allegations and Its Connection to the Gujarat Project
The latest controversy adds to the legal and ethical concerns surrounding the Adani Group, particularly in light of the bribery scandal in the United States.
In 2024, US authorities indicted Gautam Adani’s nephew, Sagar Adani, in a bribery case related to infrastructure projects. The indictment alleged that executives from Adani’s firms engaged in corrupt practices to secure contracts, raising questions about corporate governance and political connections. Now, with reports of the Modi government altering border rules to benefit Adani, critics argue that this represents a continued pattern of undue influence.
The combination of domestic and international scrutiny could further impact India’s regulatory credibility, especially as global investors watch the unfolding developments.
Government’s Defense and Industry Perspective
The Modi government has yet to issue an official response to the allegations, but sources within the Renewable Energy Ministry argue that the policy changes were made to accelerate India’s green energy transition.
Government’s Justification: Strategic Renewable Energy Development: Officials maintain that the Khavda project is crucial for India’s energy security, with the potential to generate massive amounts of clean energy. Economic Growth & Job Creation: The government views the project as a significant economic driver, bringing investment and employment opportunities to Gujarat. National Security Not Compromised: Insiders insist that adequate security assessments were conducted before the decision was made.
However, opposition leaders and independent analysts remain unconvinced, demanding a clear explanation of why security protocols were changed for this particular project.
What Happens Next? Potential Investigations and Legal Ramifications
With the issue gaining political traction, there are several possible developments in the coming weeks:
Parliamentary Inquiry: The Congress and other opposition parties may push for an official probe, possibly involving the Public Accounts Committee or a Joint Parliamentary Committee (JPC). Judicial Review: Activists and legal experts could petition the Supreme Court to examine whether the policy changes violated national security protocols. International Repercussions: Given the US bribery case involving Adani executives, the controversy could attract further scrutiny from global regulatory bodies and investors.
