The Pune Municipal Corporation has cancelled the tender for a proposed flyover, grade separator and 60-metre-wide road connecting Chandani Chowk with Bhugaon after objections were raised over the project’s estimated and tendered costs. Municipal commissioner Naval Kishore Ram has ordered a fresh tendering process, according to a report by Loksatta – Pune.
The project department had invited bids for the package, which covers the road link from Bhugaon towards Chandani Chowk, along with the flyover and grade separator. The re-tendering decision follows allegations that the amount specified in the tender was substantially higher than the estimate prepared by the PMC’s estimate committee.
Congress corporator Arvind Shinde had alleged that the tender amount was Rs 45 crore higher than the estimate prepared by the committee. He had also sought an inquiry into the officials involved in preparing the estimate and changing the amount in the tender. Questions were raised over whether transparency and equal opportunity had been maintained during the tender process.
The PMC’s project department disputed the scale of the alleged discrepancy. Project department head Dinkar Gojare said the difference between the expected project cost and the amount fixed in the tender was about Rs 1.5 crore, not Rs 45 crore. He attributed the increase to the rise in the prices of certain items after the estimate was prepared and to changes required between the approved plan and the actual work during the tendering process.
The estimate committee had prepared its estimate in December 2025. According to Gojare, subsequent changes in material or other item rates contributed to the revised cost. He also said that the approved design and the work required on the ground needed to be updated over time, resulting in the additional amount included in the tender.
The tender process was cancelled after objections were formally raised, and the municipal commissioner directed the administration to invite fresh bids. The decision is expected to delay the start of work on the Chandani Chowk-Bhugaon corridor, although the report does not specify a revised completion schedule. Gojare said the fresh tender would be issued in the coming days.

