The subcontractor for Mumbai’s Metro 4 corridor, Milan Road Buildtech, is executing 19.91 km of the 32.32 km line at a cost roughly 75% higher than the original 2018 bid, raising concerns over project finances. The slab collapse on February 14 in Mulund West, which killed one person and injured three, has brought scrutiny to both costs and safety.
Originally, the Mumbai Metropolitan Region Development Authority (MMRDA) had invited bids in November 2017 for the Wadala-Ghatkopar-Thane-Kasarvadavali corridor at an estimated Rs 14,549 crore. In April 2018, the Reliance Infrastructure-Astaldi SPA consortium won three packages with a combined Rs 1,584 crore bid and a 30-month completion timeline. Milan Road Buildtech, now executing these packages, values them at Rs 2,772.73 crore, according to the company’s website.
A senior MMRDA official said, “Since 2018, no significant work has happened. MMRDA directly engaged the subcontractor after obtaining clearance from the consortium and made payments directly. Work on the ground only started in 2022 after notices threatening contract termination.”
Officials cited multiple factors driving cost escalations, including pandemic delays, design changes, and depot relocation. “Earlier, the car depot was planned at Kanjurmarg, but salt pan-related litigation meant no progress. Now, we have shifted the depot to Mogharpada in Thane,” one official explained. Adjustments along Ghodbunder Road and in Ghatkopar in 2018 also contributed to variations.
While one MMRDA official maintains that the project cost is still Rs 14,549 crore, others have admitted to a 70-80% escalation, with no final revised figure having been submitted to the executive committees. If the 75% increase persists, the corridor’s cost could nearly double by the projected operational date in the second half of 2026.
The 32-station Metro 4 line is expected to carry 1.34 million passengers daily by 2031. Following the Mulund slab incident, Milan Road Buildtech was fined Rs 5 crore, and four executives have been arrested, highlighting the dual pressures of rising costs and safety compliance.
Source: Hindustan Times
