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“Redeveloping Dharavi for Whom?” Aaditya Thackeray Questions Adani’s Role at IMC Conference

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Mumbai (Harshit Yadav), November 14: Shiv Sena (UBT) leader Aaditya Thackeray, at the Indian Merchants Chamber (IMC) conference on 12th November 2024, rekindled the debate on the issue of the redevelopment of Dharavi when he questioned the involvement of the Adani Group in the project and asked, “Who is this redevelopment really for?” In the same vein, he accused the government of the preferential treatment of companies over the lives of the residents. Thackeray also made a promise that if the Maha Vikas Aghadi (MVA) gets reinstated, they would focus on providing fair housing and business rehabilitation and cancelling the Adani deal.

This controversy reflects the dual impact of the redeveloping project – it has the potential to move forward, but it is concerned with the displacement of the residents and micro-businesses in Dharavi.

Political Controversies Surrounding Dharavi’s Redevelopment

Thackeray’s Allegations

The faction of Shiv Sena (UBT) headed by UddhavThackeray is against the Dharavi Redevelopment Project (DRP). Thackeray accused the government of giving an Adani Group an extra 540 acres apart from the original 540 acres of Dharavi. Thus, profit is coming out to be more than the benefits for the people residing. He denounced the possible schemes of the government to shift the ineligible people to the suburbs, like Mulund and Kanjurmarg, saying that the development should be done with those who are already living in Dharavi.

“Who is this redevelopment really for?” Aaditya Thackeray questioned and reiterated that the MVA would pull the tender if they came back to power. He also asked that the sum of Rs 5,000 crore be sent to the Mumbai civic body (BMC), which holds 70% of the land in Dharavi.

BMC’s Exclusion and Financial Loss

Critics say the project makes the BMC useless and gives it the opportunity not to properly collect its ticket taxes. This exclusion deepens fears regarding the local government’s ability to effectively meet the needs of the residents in Dharavi.

Implications for Micro-Businesses: The Backbone of Dharavi

Small Businesses in Jeopardy

Dharavi’s micro-businesses, from leather to food production, are the ones fueling the informal economy of the whole of Mumbai. Even so, the DRP is vague on how these units will be accommodated.

A resident who runs a rexine bag unit, stated, “We spend both our leisure time and work in the same space. If we get 350-square-foot flats, where will our businesses go?” Likewise, a businessman , running a leather processing unit, emphasized, “We, just like the rest of the people in the area, need the same space we are currently occupying – inside Dharavi..”

Financial Challenges of Relocation

Business people such as Khade and Khan say that the high rents in Mumbai start from Rs 15,000 per month and are a hindrance to moving their businesses. Many companies without low-cost choices are concerned about the possibility of closures, which will, in turn, lead to massive unemployment.

Dharavi’s Unique Ecosystem: More Than Just Slums

A Thriving Economic Hub

Dharavi is a densely populated area with a variety of industries that serve the local and global markets. Its unique use of the “live where you work” setting provides savings on transportation costs and maximization of productivity.

Fears of Losing Identity

Redevelopment, according to the experts, threatens the ecosystem of this region and brings the standard high-rise buildings that only serve aesthetic purposes. One of the locals nailed it, saying, “Redevelopment doesn’t mean construction of high-rise buildings, but it should be the retaining of cultural heritage, which is the uniqueness of Dharavi.”

Voices Supporting Redevelopment

Structured Development Advocates

Some residents of Dharavi, like Yunis Sheikh, welcome its redevelopment. “The survey will find the places for industrial zones which can be planned. Redevelopment is the right thing, but at the same time, the interactions between business and residents should be managed very well,” Sheikh said.

Promises of Better Living Standards

The supporters of this idea say that redevelopment will lead to the improvement of infrastructure, hygiene, and efficiency, which in turn will be the main reason for the success of the businesses.

The Broader Socioeconomic Impact

Key Concerns

1. Displacement: With a January 1, 2000 cut-off, many residents risk relocation to less accessible areas.
2. Economic Disruption: The unorganized sector may face upheaval if businesses lose operational space.
3. Social Fragmentation: Redevelopment could erode Dharavi’s tightly-knit community fabric, replacing it with isolated high-rises.

Revenue Projections

According to the contract, the tender awarded to Adani in November 2022 is projected to be Rs 20,000 crore, which brings forth the allegations of favouritism. Detractors contend that the proceeds over-invest in the developer while neglecting the local communities involved.

What Needs to Change?

To balance progress with resident welfare, experts recommend:

1. Comprehensive Business Rehabilitation: Ensure dedicated spaces for micro-businesses to operate.
2. Transparent Communication: Engage with residents to address concerns and foster trust.
3. Equitable Revenue Distribution: Allocate significant project revenues to the BMC and welfare initiatives.
4. Inclusive Housing Policies: Extend eligibility criteria to include more residents, ensuring fair relocation options.

Implications of Dharavi’s Redevelopment Debate on Elections

Redevelopment in Dharavi has become a highly contentious topic during the elections in Maharashtra, closely linked to the struggle for political power. The opposition has been targeting urban policy to make the government accountable to its citizens. The rift created by Aaditya Thackeray’s public condemnation of the Adani Group’s alleged participation in the project and the tender having been promised to be cancelled if the ‘Maha Vikas Aghadi’ (the MVA Coalition) is restored to power has further intensified the issue.

For micro-business owners and residents, redevelopment plans are a source of anxiety. While some embrace the project for the anticipated better housing and infrastructure, others are concerned about displacement and the razing of Dhavari’s one-and-only ecosystem. Redevelopment has become an electoral issue because of these reasons, especially because the opposition parties point out the ruling government’s alleged bias towards the corporate preferences that they are accused of.

Shiv Sena (UBT) has branded the project a symbol of the more general problems that the people suffer from, such as the privatization and unjust urban development, manoeuvring the people who feel left out of suffering by the system. For the voters, this narrative, along with the revenue-sharing exclusion of the BMC from the tax collection, could be a strong argument against the government that has been perceived as doing badly by the local government.

In the end, it all depends on how the government deals with the fears of displacement, business disruption, and the rehabilitation processes that are necessary for the locals, which is probably going to take the voters to make Dharavi a vital issue in the elections.

 

The Dharavi Redevelopment Project stands for both hope and danger. Its ability to improve living conditions to a great extent means that the construction project can also be very risky for the individuals, the properties in this area, and the economic systems developed for decades.

The project’s success is conditioned by the harmony of corporate activities with the social and economic vitality of the residents and businesses in the neighbourhood, so redevelopment could be a type of urban redevelopment that is inclusive and sustainable.

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