When should a housing society in Mumbai start considering re...
From GST on JDAs to SEBI’s REIT reclassification and the S...
Stay ahead in the world of real estate with our daily podcas...
Stay ahead in the world of real estate with our daily podcas...
Construction costs for nearly 20 km of Mumbai Metro Line 4 have risen sharply, with the subcontractor now quoting around 75 percent more than the original 2018 bid secured by the main contractor. The value of three civil packages has increased to about INR 2,772.73 crore from INR 1,584 crore. The escalation follows years of delay, pandemic disruption, design changes and depot relocation. The issue has drawn attention amid a recent slab collapse incident that led to one death and injuries, prompting closer oversight of the project.
Cost escalation in the Mumbai Metro Line 4 project has come under focus after it emerged that a subcontractor is executing work at rates significantly higher than the original 2018 bid.
Nearly 19.91 km of the 32.32 km Wadala Kasarvadavali corridor is being handled by Milan Road Buildtech as a subcontractor. Records show that the three civil construction packages now being executed are valued at approximately INR 2,772.73 crore. In comparison, the Reliance Infrastructure Astaldi SPA joint venture had secured these packages in 2018 for a combined INR 1,584 crore. This reflects an increase of nearly 75 percent over the original bid amount.
The Mumbai Metropolitan Region Development Authority (MMRDA) had initially estimated the full Metro 4 corridor at INR 14,549 crore. The project was awarded in April 2018. However, progress slowed considerably over the following years. Officials indicated that multiple factors contributed to the delay, including financial stress within the contracting consortium and disruption caused by the Covid-19 pandemic. Substantial on-ground construction momentum resumed only around 2022.
After delays mounted, Milan Road Buildtech was engaged directly to continue execution, reportedly with the consent of the original joint venture. Payments were made directly to the subcontractor to ensure work continuity.
Design modifications have also contributed to rising costs. One key change involved relocation of the metro car depot from Kanjurmarg to Mogharpada in Thane following litigation related to salt pan land. Alignment adjustments and updated structural requirements added to revisions in project scope. Officials have indicated that while cost variations are under examination, a formally revised overall project cost has not yet been approved by the competent authority.
The cost escalation has gained attention alongside safety concerns. Recently, a precast parapet wall slab on the Metro 4 viaduct near LBS Road in Mulund West collapsed onto the road below. The slab fell on an autorickshaw and a car, resulting in one fatality and injuries to three others. Authorities initiated inquiries, imposed penalties, and called for tighter quality checks at construction sites.
While the original sanctioned cost of INR 14,549 crore remains on record, internal assessments suggest the total outlay may have increased substantially over time. However, no official revised figure has been placed before the executive body for approval so far. Work on the corridor continues, with the project expected to improve east-west connectivity between Mumbai and Thane once operational.
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023