November is the month of new beginnings for many Indian states. In November 2000, Uttarakhand, Jharkhand, and Chhattisgarh were created with the hope of gaining stronger self-governance and preserving their cultural identities.
As these states enter their 25th year in 2025, their development stories show a clear divide—Uttarakhand has surged ahead, while Jharkhand and Chhattisgarh continue to struggle despite having far more natural resources.

Three States, One Beginning — But Very Different Destinations

All three states were formed with similar promises:

• Better development

• Cultural protection

• Administrative independence

Yet, after 25 years, their progress looks surprisingly different.

Uttarakhand Leads, Despite Fewer Resources

While Jharkhand and Chhattisgarh are rich in minerals such as coal, iron, bauxite, and uranium, Uttarakhand—a state with almost no mineral wealth—shows stronger performance in nearly every major development indicator.

Key Development Comparisons (2024–25)

• Per Capita Income:

  • Uttarakhand: ₹2.65 lakh

  • Chhattisgarh: ₹1.45 lakh

  • Jharkhand: ₹95,000

• GDP Growth (2023–24):

  • Uttarakhand: 8.2%

  • Chhattisgarh: 7.9%

  • Jharkhand: 6.8%

• Poverty Levels (NITI Aayog 2023):

  • Jharkhand: 36.9%

  • Chhattisgarh: 29.1%

  • Uttarakhand: 17.2%

• Literacy Rate:

  • Uttarakhand: 88.3%

  • Chhattisgarh: 77.3%

  • Jharkhand: 71.4%

Despite earning only ₹1,200 crore from hydropower in 2023, Uttarakhand still outperformed Jharkhand and Chhattisgarh, which earned ₹28,000 crore and ₹22,000 crore from minerals respectively.

Conclusion: More resources did not mean more development.

Why Jharkhand and Chhattisgarh Fell Behind

1. Political Instability

• Jharkhand had 11 chief ministers and three periods of President’s Rule.

• High-profile leaders like Madhu Koda, Shibu Soren, and Hemant Soren faced corruption cases.
  This instability weakened governance and slowed development.

2. Corruption and Mismanagement

• Jharkhand’s ₹1.86 lakh crore coal scam exposed serious systemic flaws.

• Chhattisgarh also witnessed controversies related to iron ore allocation.

3. Naxalism and Security Issues

• 18 districts in Jharkhand and 10 districts in Chhattisgarh have faced Naxal violence for years.

• Investors avoid high-risk zones, reducing job opportunities.

4. Large-Scale Displacement

• Mining and dam projects displaced:

  • 2.5 million tribals in Jharkhand

  • 1.8 million tribals in Chhattisgarh

5. Environmental Damage

• Jharkhand lost 40% of its forests due to mining.

• Chhattisgarh’s Hasdeo Aranya deforestation triggered national protests.

Why Uttarakhand Succeeded Where Others Struggled

1. Stable Leadership

Strong, experienced leaders like N.D. Tiwari laid a solid administrative foundation in the early years.

2. Tourism and Hydropower Growth

• Uttarakhand built its economy around tourism, pilgrimage routes, services, and hydropower.

• These sectors provided consistent income and steady jobs.

3. Better Governance and Administration

• Uttarakhand inherited an experienced bureaucracy from Uttar Pradesh.

• The state has fewer internal conflicts—no caste violence, no Naxal influence, and a safer environment, making it attractive for investors.

Challenges That Uttarakhand Still Faces

Despite leading in development, the state is not without issues:

1. Alarming Migration

• Over 1,500 villages have become ghost villages.

• Nearly 1 million youth have migrated for jobs.

2. Disaster Vulnerability

• The 2013 Kedarnath floods and 2023 Joshimath land crisis highlighted the state’s fragile geography.

• Annual economic losses reach nearly ₹5,000 crore.

3. Rising Inequality

• Plains districts like Haridwar earn almost double compared to hilly regions like Pauri and Chamoli.

4. Lack of Strong Anti-Corruption Systems

• The state still does not have an empowered Lokayukta.

What Each State Must Do Now

For Jharkhand

• Invest a major share of mineral earnings into tribal welfare funds

• Enforce PESA Act

• Guarantee 50% local employment in mining areas

For Chhattisgarh

• Strengthen its admired food security model

• Expand organic farming at national and global levels

• Improve education and connectivity in tribal districts

For Uttarakhand

• Pass a strong Lokayukta law

• Create long-term disaster management plans

• Boost employment to stop migration

• Reduce inequality between hills and plains