Even as Prime Minister Narendra Modi received plaudits on March 23 for the on-line launch of the 100 MW power supply to Bangladesh -- in lieu of 10-gigabit bandwidth from Bangladesh -- from Tripura (in the backdrop of his commitment that he had made in the presence of his counterpart, Sheikh Hasina, during his visit to Bangladesh on June 6 last year) to support the country with 1100 MW power supply in two years, the pertinent question is: How will he be able to mop up the remaining resources to achieve the target amid constraints and crisis? If constraints to set up mega power plants in Jharkhand to meet the power requirements of Bangladesh are the key factor to gauge the situation, the progress does not augur well.
In order to achieve the target of 1100 MW power supply to Bangladesh, Modi is believed to be struggling to ensure acquisition of land even in BJP-ruled Jharkhand for a power plant that will be set up by the Adani Group. The refusal by the Jharkhand Government to grant land-lease to the Adani Group for setting up the power project in the State to supply power to Bangladesh is believed to be potent enough to jeopardize the arduous efforts by Narendra Modi Government at the centre to strengthen relations with Bangladesh on this count.
The Adani Group was permitted to supply power to Bangladesh by setting up a power plant of about 1600 MW at Godda district in the Santhal Pargana region of Jharkhand. Adani was earlier allocated the Jitpur coal-block in Godda district of the State to be utilized for the power plant. As per the norms, Adani is supposed to supply 25 per cent of the total power production to the State and the rest would be meant for Bangladesh.
However, the Adani Group proposed to acquire 800 acres of land at Sundarpahari near Jitpur coal-block under Godda district of the State for setting up the power plant. Of the 800 acres of land, the company is supposed to buy 338 acres of non-Government (Raiyati) land from locals and that too in accordance with the norms laid down in the Land Acquisition Act 2013 that guarantees payment of compensation to land owners four-time more than the rate fixed by the Government for the purpose. The rationale of the Act is to compensate the land owners adequately.
In the light of the 2013 Act, the former Deputy Commissioner of Godda, Rajesh Kumar Sharma through his letters dated June 25, 2014 and August 8, 2014 to the State Revenue and Land Reforms department recommended rates ranging from Rs. 5.2 lakh per acre to Rs 10.39 lakh per acre. But a section of the pro-active authorities at the State headquarters in Ranchi preferred to make amendments to the Jharkhand Stamp (Prevention of Under Valuation of Industries) Amendment Rules 2012 to facilitate 'under valuation' of the land rates in Santhal Pargana instead. Since Sharma is said to have refused to go by the unrealistic decision of the Government for under valuation of rates, he was, subsequently, replaced. Harsh Mangla came in. Complying with the orders of his higher authorities, Mangla is alleged to have fixed the new rate at almost 1/4thof the rate fixed by his predecessor.
In accordance with 'under valuation' of the land cost, the D.C. Godda notified the average cost of land for non-Government land for 2014-15 and 2015-16 as Rs. 3,25,400 per acre. The company was supposed to pay Rs 325,400 x 338 for the non-Government land. Incidentally, the Jitpur coal-block was earlier allocated to Jindal Steel and Power Ltd that had to lose it after it was found to have been involved in the infamous Coal-gate scam and declared a defaulter. Jindal is believed to have carried out land acquisition at the rate of Rs 41.56 lakh per acre in the light of section 26 of the Land Acquisition Act 2013.
As such, Adani was granted land at around ten times lower than the valuation of the land made by the previous DC of Godda under the 2013 Act. The corridors of power pervaded with the stench of corruption and the intelligence agencies and media smelt a rat in the matter too. It was alleged that a deal of more than Rs. 100 crores was struck to dole out a big chunk of 338 acres of land to Adani in Godda. The over-action by the pro-active political authorities and senior bureaucrats ostensibly to oblige the high-profile Adanis boomeranged when the Opposition in the State Assembly stalled the business of the house for three consecutive days alleging that the Government was hand-in-glove with Adani. Chief Minister Raghubar Das was consequently compelled to cancel the lease of the land granted to Adani from the floor of the House and constituted a high-powered committee under the leadership of the State Chief Secretary. The committee had to face stiff opposition from locals during its spot visits amid frenzied shouts of 'Adani ke dalalon wapas jao (go back Adani's touts)'. Consequently, one of the members of the committee, State Finance Secretary Amit Khare showed his inability to continue with the committee and quit.
The politico-economic overtures made by Modi towards Bangladesh to meet the power requirements of the latter is, as such, poised to suffer a major setback owing to inept handling of the situation by the State Government. The quantum of power set by Adani to supply to Bangladesh bears testimony to the fact that Modi aimed to meet his commitment to support Bangladesh in the power sector by using resources from the proposed 1600 MW power-plant by the company in Jharkhand. The power plant at Godda was to be commissioned by December in order to meet the requirements of Bangladesh.
Adani has proposed to set up two more power plants (1600 MW each) at Punsia in Dumka district and Gunihari in Sahebganj district in the Santhal Pargana region of Jharkhand. In order to exercise a damage-control measure, the high-powered committee of the State Government is likely to recommend a large chunk of land to Adani at Gunihari in Sahebganj with the contention that the area is situated along the Bangladesh border. Having been duped twice (first, in the garb of granting land and second, by dispensing with land in the garb of allaying the Opposition), the Adanis are said to have taken recourse to the highest authorities at the Centre and have broached the matter with none other than Prime Minister Narendra Modi.
However, this is not the first occasion when Modi has had to suffer loss of face before the international community owing to the unscrupulous activities by Jharkhand leadership. A virtual blow was also dealt to the Indo-Russia trade accord recently in the backdrop of the high-handedness by the ruling BJP MLA in Jharkhand with Russian experts. On January 27, the Russian Consulate General in Kolkata, Irina K Baskirova, had shot off missives to the PM and the Jharkhand CM expressing explicit displeasure over the activities of the BJP MLA, Dhullu Mahato - who was alleged to have egged on Russian experts working with a PSU in the State to comply with his dictates for fat gains - and warned the State Government of its sinister implications on the much-acclaimed Modi-Putin talks of bilateral trade cooperation that was held during the Russia-India summit in Moscow on December 23-24, 2015.
The Russian crisis that was by and large a law and order issue was, however, resolved with the active intervention by the Centre and the State leadership as well, but the issue pertaining to the support to be lent to Bangladesh in the power sector is being viewed as a crisis on the part of the Indian authorities and poses a direct threat to the impeccable credentials of the PM.
To top it all, in spite of the fact that business tycoon Gautam Adani is known to have a major clout in the corridors of power, he appears to have failed to make his high-profile stature felt in Jharkhand. He was favoured, but only after complying with the unscrupulous demands by a section of authorities. Subsequently, he was bereft of the favour he 'bought', despite the intervention of the political masters at the helm of affairs in the country.
BW Reporters
D.P. Sharan has been a journalist for the past 30 years and has served many national dailies, magazines and channels. He has also been a member at the Central Board of Film Certification, Mumbai under I&B Ministry, Government of India