A&N Administration Finalizes Tenders for Flagship Eco-Tourism Projects at Long Is., Aves Is., Smith Is. and Shaheed Dweep

Master Plans for Development of 11 Additional Sites Completed

Sri Vijaya Puram, Dec. 14: In a major stride toward sustainable tourism-led growth, the Andaman & Nicobar Administration—guided by the Government of India—has finalized successful tenders for four flagship eco-tourism projects across the Islands. The initiative forms a key part of the Government of India’s Holistic Development of Islands (HDI) framework aimed at positioning the Andaman & Nicobar Islands as a premier global destination for responsible, nature-centric tourism.

Under the first phase, four greenfield beach-resort projects at Long Island, Aves Island, Smith Island, and Shaheed Dweep, along with the redevelopment of the Megapode Resort in Sri Vijaya Puram, were taken up for development under the Public-Private Partnership (PPP) model. These projects are designed to meet international sustainability standards, including LEED, GRIHA, and Green Globe certifications, and comply fully with Coastal Regulation Zone (CRZ) and environmental norms.

Emphasizing low-impact design, each resort will operate on self-sustaining systems powered primarily by renewable energy, including solar installations, ensuring minimal ecological footprint and seamless integration with the Islands’ natural landscapes.

Initial bids invited during 2018–2021 did not yield successful outcomes. Following extensive market consultations with leading hospitality players, the Administration revised the Request for Proposal (RFP) to enhance investor interest. After approvals from the Standing Finance Committee and the PPP Appraisal Committee, the updated RFP was issued on 28th July, 2025.

A robust market response followed. More than 100 representatives from nearly 60 prospective investors attended the pre-bid meeting on 14th August, 2025, confirming strong industry enthusiasm. The bids received significantly exceeded expectations, with the highest bids ranging from three to ten times the Government’s reserve price.

Letters of Award for the development of eco-tourism resorts at Long Island, Aves Island, Shaheed Dweep, and the Megapode Resort are now being issued following approval from the competent authority. In addition to the annual concession fee, concessionaires will share revenue at the rates of 3.6% for Megapode Resort, 3% for Shaheed Dweep, and 2% each for Long Island and Aves Island. The concession period is 50 years for Megapode Resort and 75 years for the other projects, including construction time.

Second Phase: Expansion Into 11 New Tourism Sites

Building on this momentum, the Administration has completed master plans for the development of 11 additional tourism sites in North, Middle, and South Andaman. Transaction advisors are being appointed to initiate the bidding process for the first six locations:

• Kalipur, North Andaman: Eco/wellness resort and cultural village

• Ramnagar, North Andaman: Eco/wellness resort

• Aamkunj, Middle Andaman: Camping, caravan parking, and water sports facilities

• Raman Bagicha, Middle Andaman: Budget resort and cultural village

• North Bay, South Andaman: Eco resort

• Flat Bay, South Andaman: Marine, agricultural & spice park, mangrove park, and camping site

The development of these tourism projects under the PPP mode is expected to unlock substantial economic value, attract high-end tourism, and generate significant direct and indirect employment. Together, these initiatives mark a transformative step toward a sustainable, inclusive, and globally competitive tourism landscape in the Andaman & Nicobar Islands.

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