Andaman & Nicobar UT Administration Receives Strong Investor Response for High-End Eco-Tourism Projects

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Tarun Karthick

Sri Vijaya Puram, 14 October 2025

The Andaman & Nicobar Islands Administration has received a robust response from leading hospitality developers and investors for its ambitious high-end eco-tourism initiatives aimed at harnessing the islands’ vast tourism potential.

The Administration has launched five transformative projects under the Public-Private Partnership (PPP) model, covering Shaheed Dweep, Long Island, Smith Island, and Aves Island, along with the redevelopment of the iconic Megapode Resort in the heart of Sri Vijaya Puram City. The initiatives align with the Government of India’s Holistic Development of Islands (HDI) framework and aim to establish the Andaman & Nicobar Islands as a premier global destination for sustainable, nature-led tourism.

The projects are designed to promote eco-friendly and responsible tourism, adhering to international sustainability standards such as LEED, GRIHA, and Green Globe certifications. All developments will comply with Coastal Regulation Zone (CRZ) and environmental norms, and are planned to be self-sustaining and low-impact, integrating seamlessly with the islands’ natural landscapes. Renewable energy, including solar power, will form a major part of the energy requirements, minimizing the carbon footprint.

Following approvals from the Standing Finance Committee and the PPP Appraisal Committee, and proactive pursuit of environmental clearances, the Request for Proposal (RFP) was issued on 28th July 2025. A pre-bid meeting on 14th August 2025 drew participation from over 100 representatives of approximately 60 potential investors, reflecting strong market interest.

By the bid submission deadline of 6th October 2025, the Administration received:

  • Five bids for the Shaheed Dweep project
  • Four bids for the Megapode Resort redevelopment
  • Two bids for Aves Island
  • One bid for Long Island

The bids are currently under technical evaluation, with the work to be awarded to the highest bidder after completion of both technical and financial assessments. The Megapode Resort redevelopment is expected to be completed within three years, while the island projects have an estimated four-year completion timeline.

The development of these resorts under the PPP model is expected to unlock significant economic value, boost high-end luxury tourism, and generate substantial local employment opportunities, both direct and indirect — marking a major step toward the sustainable and inclusive growth of the Andaman & Nicobar Islands.

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