The Congress recently accused the Bihar government of favouring the Adani Group and allocating the land for the project to the conglomerate. However, these claims were refuted by the government earlier and now, the Adani Group has also termed the accusations incorrect.
Congress leader Pawan Khera alleged that the NDA government in Bihar had effectively handed over 1,050 acres of land and lakhs of trees to “Rashtra Seth Gautam Adani” for a token lease of Rs 1 per year for 33 years.
He claimed the agreement was hurriedly approved ahead of the assembly elections after the Centre abandoned its earlier plan to develop a similar project, calling the move a “gift” to a politically connected business house.
The remarks have added a sharp political edge to what was initially seen as a routine industrial project. Congress leaders argued that the arrangement reflects a pattern of crony capitalism, where public assets are offered to private conglomerates under the pretext of promoting development.
Government Calls Allegations ‘Misleading’
The Bihar government recently denied any wrongdoing. Industries Minister Nitish Mishra said that a fair and transparent tendering process was followed, with four companies competing for the project. “All due process of tendering was followed in this case. Based on the lowest quotation, the project was handed over to Adani Power Limited,” Mishra told India Today.
BJP spokesperson Neeraj Kumar accused Congress of attempting to stir controversy just before the elections. The government is leasing land for industrial projects, not selling it. This is part of Bihar’s standard industrial policy, he explained, adding that the initiative would help improve the state’s power generation capacity and create employment opportunities.
Adani Group Issues Clarification
Adani Power also released a statement rejecting the allegations, noting that the land in question had been under the Bihar State Power Generation Company for over a decade. The company emphasised that it had won the project through a transparent bidding process by offering the lowest tariff and that the lease terms were consistent with the state’s industrial policies.
“We note with concern about continued misinformation being shared by leaders of certain political parties about the upcoming power plant in Bhagalpur district of Bihar, perhaps without knowledge about the transparent process followed by the Government of Bihar, ” the company said.
The conglomerate further clarified that as part of the Bihar Industrial Investment Promotion Policy 2025, the government decided to provide the land to the successful bidder at a nominal lease rent.
“It is not a special concession granted to a particular party but is a notified policy provision available to any investor in accordance with the provisions of the Bihar Industrial Investment Promotion Policy 2025. Therefore, the allegations being made are completely mischievous and mala fide,” the company noted.
Sharing details of the tender process, it revealed that Adani Power won the bidding by quoting a tariff of Rs 6.075 per kWh, with a fixed charge of Rs 4.165 and a fuel charge of Rs 1.91 per kWh.
It reiterated that the project aims to enhance Bihar’s power supply and industrial capacity. Further, the company revealed that the Bihar government tried to develop the project via competitive bidding and public sector undertakings (PSUs) multiple times, but the attempts were unsuccessful.
