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HomeCity NewsMumbaiMMRDA Scraps Rs 13,000 Cr Ghodbunder–Bhayandar Tunnel Project Tender Amid L&T Row,...

MMRDA Scraps Rs 13,000 Cr Ghodbunder–Bhayandar Tunnel Project Tender Amid L&T Row, Eyes Fresh Bids with Lower Costs

Despite court victories, MMRDA opts to re-tender mega project to uphold transparency and public interest, with a possible ₹3,000 crore cost cut.

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MMRDA Scraps Rs 13,000 Cr Ghodbunder–Bhayandar Tunnel Project Tender Amid L&T Row, Eyes Fresh Bids with Lower Costs 2

In a bold move aimed at bolstering transparency and public trust, the Mumbai Metropolitan Region Development Authority (MMRDA) has decided to scrap and re-tender the ambitious ₹13,000 crore Ghodbunder–Bhayandar twin tunnel and elevated road project, despite securing legal victories in the High Court and Supreme Court. The decision, taken “purely in public interest,” signals a commitment to ensuring cost-efficiency and responsible governance, MMRDA said in an official statement on May 30.

The legal dispute began when infrastructure giant Larsen & Toubro (L&T) filed petitions challenging the original tendering process. While both the Bombay High Court and Supreme Court upheld MMRDA’s procedures as legally and technically sound, L&T argued that its financial bid—never opened—was ₹3,000 crore lower than its competitors’. However, the firm had failed to submit a key affidavit certifying that no bridge built by it had collapsed within two years, leading to its disqualification.

Even as the Supreme Court, led by Justice B.R. Gavai, upheld the High Court’s decision, MMRDA’s legal team—Senior Counsel Mukul Rohatgi and Solicitor General Tushar Mehta—voluntarily proposed a re-tender in court, stating it would be done in the spirit of transparency and fairness.

The Authority is also mulling a downward revision of the base cost by ₹3,000 crore to enhance financial prudence. The twin project includes a 5-km tunnel with a 14.6-metre diameter connecting Gaimukh in Mira-Bhayandar to the Fountain Hotel junction at Shilphata in Thane, and a 9.8-km elevated creek road bridge linking Bhayandar to Ghodbunder Road. Combined, these projects aim to drastically reduce traffic congestion and improve East-West connectivity in the Mumbai Metropolitan Region.

Megha Engineering and Infrastructure Ltd (MEIL) had earlier emerged as the lowest bidder. With the fresh tendering process now on the horizon, the race to execute one of Mumbai’s most transformative infrastructure projects has been reset.

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