Even as the officialdom claims to have a steady increase in the tourist arrivals to the Andaman and Nicobar Islands, the need for world-class yet environmentally sustainable tourism infrastructure has become more pressing than ever. Experts believe that carefully planned high-end hospitality projects can significantly enhance the Islands’ tourism potential, attract higher-spending visitors, generate substantial long-term revenue and create employment opportunities, while preserving the fragile ecology that makes the archipelago unique.
In this direction, two five-star eco-tourism resort projects proposed under the Public-Private Partnership (PPP) model are expected to play an important role in strengthening the Islands’ tourism ecosystem. The projects involve the redevelopment of the Megapode Resort at Sri Vijaya Puram and the development of a luxury eco-tourism resort at Shaheed Dweep. These facilities are expected to augment the existing hospitality infrastructure, encourage longer tourist stays and increase visitor spending, thereby benefiting hotels, transport operators, tour guides, restaurants, handicraft businesses and other tourism-related sectors.
The Shaheed Dweep resort will be developed under a 75-year concession agreement, while the Megapode Resort redevelopment will operate under a 50-year concession. Both projects have a construction period of three years before commercial operations commence.
The projects are being implemented by the Andaman and Nicobar Islands Integrated Development Corporation (ANIIDCO) under the PPP model, with the objective of leveraging private investment to create modern, internationally benchmarked tourism infrastructure without placing an additional financial burden on the public exchequer.
The emphasis, however, remains on ensuring that development is environmentally responsible. Given the ecological sensitivity of the Andaman and Nicobar Islands, the projects are expected to adhere to all statutory environmental safeguards and sustainable construction practices so that tourism growth does not come at the cost of the archipelago’s rich biodiversity and natural heritage.
The emphasis came during a meeting between Lieutenant Governor Admiral D.K. Joshi (Retd.) and the top management of Sheeraj Projects Private Limited, the concessionaire selected for developing two five-star eco-tourism resorts under the Public-Private Partnership (PPP) model. The delegation, led by the company’s Chairman, Rajender Singh Pannu, called on the Lt. Governor at Raj Niwas on Monday.
Industry observers have often pointed out that despite possessing some of the country’s most spectacular beaches, coral reefs and tropical forests, the Islands have long faced a shortage of premium accommodation capable of attracting affluent domestic and international travellers. The creation of quality eco-friendly resorts is therefore seen as an important step towards positioning the archipelago as a globally competitive, high-value tourism destination.
If executed as envisaged, the projects have the potential to deliver long-term benefits through increased tourism revenue, greater private investment, enhanced employment opportunities for islanders, improved visitor experience and stronger support for local enterprises. Equally important, they can demonstrate that economic growth and environmental conservation can go hand in hand, ensuring that tourism development remains sustainable and beneficial for the Andaman and Nicobar Islands for decades to come.

