Mumbai Metropolitan Region Development Authority (MMRDA) has issued a formal request to Larsen & Toubro (L&T) for a comprehensive breakdown of its financial estimates, after scrapping two major Thane–Bhayander corridor projects and sparking a high-profile legal dispute. The move signals MMRDA’s intent to ensure transparency and accountability as it revises its urban infrastructure strategy.
The authority cancelled the ₹15,182.87 crore contracts for the proposed Thane–Ghodbunder Road tunnel and an 11.4 km Ghodbunder–Bhayander elevated road bridge following allegations that the bids circumvented procurement norms. L&T had submitted a bid nearly ₹3,130 crore lower than Megha Engineering & Infrastructure Ltd (MEIL), which eventually secured the projects. The contractor claims it was unfairly disqualified on technical grounds, prompting parallel legal petitions in Bombay High Court and the Supreme Court. In its letter dated Tuesday, MMRDA has requested L&T to submit rate analysis, technical worksheets, explanatory documents, and justifications from its original tender. The authority clarified that these records will be archived and examined to shed light on cost reasons and to shape revised bidding strategy moving forward.
L&T, which quoted ₹5,554 crore for the elevated roadway and ₹6,498 crore for the tunnel, has maintained it had complied fully with all bidding requirements and offered a competitive price. MEIL’s winning submission, by contrast, stood at ₹9,019.53 crore for the elevated stretch and ₹6,163.34 crore for the tunnel—placing it slightly higher but technically compliant, according to MMRDA. These twin projects were integral to the broader Coastal Road initiative intended to ease congestion across Mumbai’s north-western suburbs. The tunnel would have spanned 5.7 km beneath the Thane Ghodbunder Road, connecting Gaumukh to Fountain Hotel junction, while the elevated passage would link Ghodbunder to Bhayander, crossing the Vasai Creek.
Originally planned for completion by 2028 and operations to commence in early 2029, both schemes now face significant delay due to the legal and procedural setbacks. MMRDA officials caution that the revised procurement process could stretch timelines by six months or more. From an urban planning perspective, the cancellations represent a setback for sustainable transport in the Mumbai Metropolitan Region. Both the tunnel and elevated sections were intended to discourage vehicular reliance, reduce emissions from idling traffic, and support gender-neutral and efficient travel through segregated roadways. In evaluating the bid, MMRDA officials will also consider equity and lifecycle costs. A senior transport analyst explained that excessively low bids compromise quality standards and maintenance funding, whereas high bids raise cost-efficacy concerns. A comprehensive breakdown ensures that infrastructure delivery remains viable, robust, and climate-aligned.
Since the tender launch in July 2024, followed by bid submission by L&T in December and financial bid on 1 January, procedural irregularities came to light last May. MMRDA’s decision to designate MEIL triggered immediate legal recourse. The Bombay High Court first stayed the bids pending review, then ultimately ruled in MMRDA’s favour on 20 May. L&T escalated the case to the Supreme Court, where hearings remain ongoing. Experts say the lessons from this episode extend beyond Mumbai. As the city scales up climate-resilient road and public transport systems, overseeing procurement transparency is vital. Cost breakdowns help ensure that public money yields equitable urban benefits—from reduced travel times and cleaner air to improved accessibility for women, elderly and persons of all mobility levels.
MMRDA has clarified that the documentation will serve two primary goals: archival record-keeping and guiding future tender designs. Once compiled and analysed, Mumbai officials plan to relaunch the tender, potentially with clearer technical evaluation criteria to avoid future disputes. In parallel, the authority must deal with evolving project scope. With stormwater, pedestrian safety, barrier design, and urban aesthetics key to sustainable urban roads, each structural estimate needs to account for environmental and social safeguards. Authorities emphasise that cost overruns, debottlenecked entry lanes, and engineering safeguards are indispensable to long-term city resilience.
Civil society advocates have endorsed the move, urging that the authority institute regular public reporting of procurement schedules and tender evaluations. One policy expert said: “As the city invests billions in new roads, tubes and bridges, citizens deserve clarity on cost competitiveness, environmental licence checks, and inclusion parameters.” An official from MMRDA indicated that full budget realignment could occur later this year, aligning revised timelines with fiscal commitments. The authority emphasised that both tunnel and elevated extensions are still priorities under its sustainable mobility framework. Navbhushan Joshi, Head of Urban Transport at a leading think tank, observed: “These sections are part of a larger ethos—a low-carbon, equitable, and inter-modal corridor that supports metro, bus, and cycling integration.” He added that the unfortunate delay provides an opportunity to improve design for pedestrian safety, last-mile connectivity, and gender-sensitive access.
Legislative attention has followed suit. Local civic representatives have warned that delays must not be allowed to constrain essential urban upgrades. They have urged expedited evaluation and transparent tender remodelling, emphasising that public welfare should take precedence in city planning. As the legal process plays out in the Supreme Court, the demand for cost clarity from L&T will shape the next phase of urban development for the region. Both projects, once realized, promise years-long productivity gains, reduced travel hardship, and cleaner air across Mumbai’s expanding suburbs.
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