Vol. 11, Issue 3, Part A (2025)

The Godda Thermal Power Plant established in Jharkhand, India, has dramatically influenced the socioeconomic life of the region. Though the project is described as a backbone of economic development and energy production, its effects on the livelihood of local people are contentious. The paper analyses multiple effects on employment, displacement, environmental health, and traditional livelihoods that are involved and presents a well- balanced socioeconomic study. A mixed-methods approach was used in gathering primary data from household surveys and focus group discussions with 200 households within a 10 km radius of the plant. Secondary data were obtained from government reports, NGO publications, and previous research. Findings: Increased income levels and infrastructure development: The average monthly income increased by 50%, while access to roads and education improved.

However, it is outweighed by major difficulties. About 30% of the households had been displaced. Despite compensation attempts, many households complained of delay and inadequacy in valuation. Environmental degradation is a very serious issue since air and water quality have declined, and residents have suffered an increase of 15% respiratory diseases and reduced agricultural productivity. Social dynamics have also changed, as the benefits of the power plant remain unevenly distributed, exacerbating inequality. New employment opportunities did emerge, but these were largely temporary or low-paying, with little skill development for long-term growth.

The study concludes that the Godda Thermal Power Plant, despite its developmental promises, poses serious challenges to the sustainability and equity of local livelihoods. To mitigate these issues, robust policies addressing fair compensation, environmental management, and equitable benefit distribution are essential. This research emphasizes the relevance of inclusive planning and participative decision-making regarding effective balancing development and social well-being.