Kerala open to discuss new projects with Adani; not keen on any big polluting industries: Rajeev

MUMBAI: Kerala is not averse to discussing any new project with the Adani group and will do so only if there is a "win-win" situation which benefits the people of the state as well, a senior state minister has said.

However, the southern state is not keen to have any big industries which will cause pollution and ecological damage, P Rajeev, the Minister of Law, Industries and Coir, told PTI.

The comments from the minister come even as there seems to be some unease among southern states when it comes to dealing with the Adani group, especially after the second richest Indian Gautam Adani and others faced charges of bribing officials to secure contracts.

Rajeev said Kerala has a big investment from the Adani group in the Vizhinjam Seaport near its capital Thiruvananthapuram and added that the current government decided to go ahead with the project signed by the predecessors only because the benefits accrued to the state and its people through the ambitious transshipment port.

He also clarified that the government is against giving any special incentives and wants to operate on its conditions.

Replying to a specific question on what changes after the Adani indictment in the US, he said, "We are working with them, we are not giving that much incentives, a win-win position should be there. It should create employment opportunities, (get) more revenue to the state."

When quizzed if the state will continue to engage with the Adani group even for newer projects, Rajeev said the government is open to "discuss with them", but made it clear that certain areas like privatisation in the electricity or water distribution space are strict no-go areas.

He also reminded that while the Kerala government works with the Adani group on the "gamechanger" Vizhinjam port, it also opposes the group in other projects like the move to hand over the operations of the international airport located just 15 km away from the port to the billionaire's group.

Rajeev said the state is not against big industries setting up base in the state, but added that ecological concerns are of prime importance for Kerala, and the government will not allow polluting industries to come up.

"We are not totally against big industries, big industry is needed. It should give employment to our people and should be non-polluting," he said, specifying that investments in sectors such as medical devices manufacturing, robot manufacturing and processing of spices are welcome.

The state is focusing on pitching itself as a hub for knowledge-based sectors, on the back of its strong talent potential.

It will soon declare itself as the first digitally literate state of the country, he said, adding that the state has moved up to being ranked number one on ease of doing business nationally.

He said that industries may find wage level as being high in Kerala, but promised that they will get the right dividends courtesy the productivity benefits.

On concerns of strikes and work-days lost, the Minister countered saying that the state is not number one in the country on such losses and added that it has not seen any violence on industrial units that has resulted in any deaths or injuries like other states.

Seeking to allay fears of extortions by loaders, Rajeev also said that a law giving rights to such labourers is not applicable in industrial and logistical parks, and it is a criminal offence to demand money.