Prime Minister Sanae Takaichi and Indian Prime Minister Narendra Modi meet on the sidelines of the G20 in South Africa. (Courtesy of Japan's Cabinet Office.)
India and Japan have reaffirmed their commitment to strengthening their partnership. One way they are doing so is by expanding their joint efforts to develop the Andaman and Nicobar Islands and Lakshadweep as "Smart Islands."
A bilateral meeting was held in Oslo early in 2025 between Union Minister of Ports, Shipping & Waterways, Shri Sarbananda Sonowal, and Japan's Vice Minister for International Affairs, Terada Yoshimichi, along with the Ministry of Land, Infrastructure, Transport & Tourism (MLITT). They discussed utilizing sustainable technologies, disaster-resilient infrastructure, and enhancing connectivity through renewable energy, smart mobility systems, as well as digital infrastructure to transform the Andaman and Nicobar Islands (A&N islands) and Lakshadweep into Smart Islands.
This includes improved port development, shipbuilding, and maritime training. Japan is known for its extensive expertise in developing island territories. This article explores this new avenue for partnership in joint work within the island chains.
Strategic Location of the Andaman & Nicobar Islands
The A&N islands are situated at the junction of the Bay of Bengal and the Andaman Sea. They comprise a group of 572 islands that span some of the busiest trade routes in the world.
The islands stretch approximately 450 nautical miles in a roughly north-south orientation, located near the western entrance to the Malacca Strait, which is a major chokepoint in the Indian Ocean. Geopolitically, they link South Asia with Southeast Asia. While the northernmost point of the archipelago is only 22 nautical miles from Myanmar, the southernmost point, Indira Point, is just 90 nautical miles from Indonesia.
The islands dominate the Bay of Bengal, the Six Degree, and the Ten Degree Channels, through which more than 60,000 commercial vessels pass each year. Moreover, their strategic presence in the islands gives India an enhanced position to play a vital role in the Indo-Pacific region.
Japan's first-ever Official Development Assistance (ODA) to a project in the A&N islands was a grant of ¥4.01 billion JPY ($25.5 million USD) for improving the power supply in 2022. The grant would be used to acquire 15 MWh batteries and power system stabilizers to enhance the solar power generated in South Andaman. Joint ventures could be formed by combining Japanese digital technology with Indian raw materials and labor.
Japanese Inlet into the Indian Critical Island Chain
The idea to develop smart islands was conceived between India and Japan in 2016. With Delhi's renewed focus on developing its A&N islands, the initiative has gained momentum in recent years. Smart islands serve as a hub for joint development.
Japan is already working with India to lay submarine optical fiber cables connecting Chennai and the Andaman Islands. These would improve digital connectivity in the region. While Japan is a leader in physical infrastructure, it can also help develop a model for a smart island using sustainable methods like renewable energy, waste management, and eco-tourism.
The partnership utilizes Japan's expertise in developing island areas. It focuses on deploying and integrating renewable energy sources such as solar and wind power, establishing smart mobility solutions, and enhancing digital infrastructure and connectivity. These efforts align with both countries' commitments to ecological conservation and regional maritime security. They are expected to reduce the islands' carbon footprint and support sustainable tourism and economic growth.
This collaboration involves a transformative plan that includes developing smart grids, electric vehicle charging infrastructure, and expanding high-speed internet connectivity. Additionally, the initiative aims to improve waste management systems and promote the use of clean technologies across various sectors. It seeks to balance development with environmental stewardship.
Additionally, it envisions establishing maritime industrial clusters to foster innovation and economic growth in the region. By integrating advanced technologies and sustainable practices, it hopes to enhance residents' quality of life, as well as create new opportunities for employment and entrepreneurship.
Tackling Global Challenges Together
The Smart Island Initiative is part of a larger effort to strengthen bilateral ties between India and Japan. In this case, the focus is on areas such as infrastructure development, maritime security, and technological innovation. It also sets a benchmark model for sustainable development that can be copied in other island communities worldwide.
Beyond this, it serves as an example for future international collaborations. The successful implementation of smart islands in the A&N islands and Lakshadweep could lead to similar projects in other regions. These also help to combat climate change and promote sustainable growth.
Japan and India, with this transformative project, highlight the importance of international cooperation in tackling global challenges. Furthermore, they showcase the potential of innovative solutions to build resilient and sustainable communities.
This new collaboration could enhance port connectivity and coastal monitoring, safeguarding India's strategic interests in the Indo-Pacific, supporting regional stability, and boosting maritime domain awareness. The parties are seeking investment in shipbuilding, smart mobility systems, and digital infrastructure, fueling economic growth and helping India realize its goal of becoming a regional maritime hub.
All of the island's main industries — tourism, agriculture, and fisheries — will benefit from digital transformation. Meanwhile, the island will continue to develop and increase its attractiveness to both residents and visitors.
Japan's expertise in sustainable infrastructure, smart mobility systems, and renewable energy will furthermore aid India's workforce development through upskilling and training programs. This initiative also provides a strong response to China's increasing influence in Asia and the Indo-Pacific, both physically and digitally.
The Vantage Point for Deeper Ties
Significantly, the A&N islands are strategic locations that sit close to all entry points into the Indian Ocean. Therefore, they could impact the Indian Navy's ability to patrol, monitor, and operate in areas further from the Indian mainland.
Meanwhile, Japan's maritime security strategy is built on three interconnected layers: defense cooperation, capacity building, and strategic financing. Moreover, through critical area development, Japan is strengthening cooperation with India to maintain an inclusive and rules-based maritime order through practical, non-aligned coalitions. Its layered approach to maritime security aims to enhance regional resilience through effective collaboration.
By combining deterrence, capacity building, and strategic financing, Japan supports its partners in addressing a variety of maritime challenges while allowing space for independent decision-making. Cooperation with India demonstrates that maritime security in the Indo-Pacific can be advanced not only through formal alliances but also through more flexible, issue-based arrangements rooted in shared interests.
This evolving approach integrates defense cooperation, capacity building, and strategic financing. In partnership with countries like India, Japan aims to enhance operational readiness and promote a more resilient maritime security environment.
Hurdles on the Way
These island chains are ecologically sensitive and face risks of environmental damage and cultural erosion. Even well-intentioned projects can have unforeseen consequences if ecological safeguards are not prioritized.
While the strategic importance of these islands is well recognized in Delhi, environmental concerns require a sustainable and eco-friendly development approach. As the project progresses, it should be closely monitored for its impact on the environment, economy, and society, ensuring that the transformation of these islands acts as a catalyst for broader regional development and cooperation.
Conclusion
An increasing number of islands are leading in smart technology. They are also positioning themselves as incubators as they work toward becoming self-sufficient. Furthermore, they are reducing carbon footprints, which drives the adoption of new innovative technologies. Their growth can serve as replicable models for larger regions, transforming into sustainable communities that benefit local populations.
The Smart Islands Initiative in India exemplifies the impact of international partnerships in addressing global challenges and fostering a sustainable future for generations. As India develops its own model, partnering with Japan on strategic islands like the Andaman Islands also greatly enhances Delhi's ability to operate within the Indo-Pacific region.
Finally, the vision of smart islands is becoming a reality. It's offering a sustainable development model that aligns technological progress with environmental preservation. This collaboration between India and Japan represents a key milestone in their shared commitment to sustainable development and regional cooperation in the Indo-Pacific.
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Author: Varuna Shankar
Editorial manager at India’s World Magazine
