Mumbai: State Cabinet Approves Rs 1,354 Crore Interest-Free Loan For Rs 7,765 crore Orange Gate To Marine Drive Tunnel Project

In a significant move to enhance infrastructure in Mumbai, the Maharashtra state Cabinet approved interest-free secondary loan assistance amounting to Rs 1,354.66 crore for the Mumbai Metropolitan Regional Development Authority (MMRDA). This funding will support the construction of a crucial tunnel project connecting Orange Gate to Marine Drive in South Mumbai, with a total construction cost estimated at Rs 9,158 crore.

The proposed tunnel will provide the shortest route between the western and eastern parts of Mumbai, significantly enhancing connectivity.

The project, with an estimated cost of Rs 7,765 crore, will cover a distance of 9.2 kilometres, including 6.52 kilometres of twin tunnels. Each tunnel will be 11 metres wide, accommodating two lanes of traffic with a third lane dedicated to emergency use. Additionally, cross passages will be constructed between the tunnels to ensure safety in unforeseen circumstances.

This tunnel will offer a traffic-free route, addressing the congestion challenges at Orange Gate, which has become a significant issue for the Mumbai Port Trust and the Main Post Office square on P D'Mello Road.

The Eastern Freeway, which connects Mankhurd to Chembur Junction and Orange Gate, has greatly improved transportation to South Mumbai. However, the increased traffic at Orange Gate necessitates further infrastructure development.

The tunnel will be constructed approximately 40 metres below ground level to avoid interference with the metro line, central rail, and high-rise building foundations.

The approved loan will cover various expenses, including Rs 614.44 crore for state government taxes, Rs 307.22 crore for 50 per cent of central taxes, and Rs 433 crore for land acquisition.

MMRDA is expected to contribute Rs 477.34 crore to the project, while the Cabinet has granted permission to raise an additional Rs 7,326 crore through bilateral and multilateral loans at reduced interest rates. Importantly, the government clarified that the financial burden of cost escalation will rest with MMRDA, which will also have the flexibility to adjust the project’s alignment if necessary.

In related news, the Cabinet has also approved an increase in funding for the Thane-Borivali tunnel project, now pegged at Rs 18,800 crore, up from the previously announced Rs 16,600 crore, reports Indian Express. This underground twin tube tunnel, spanning 11.85 kilometers, will run beneath the Sanjay Gandhi National Park, creating a vital link between the Western Express Highway and Thane Ghodbunder Road.

The project is expected to reduce travel distance by 12 kilometers and cut travel time by about an hour. MMRDA will contribute Rs 1,350 crore, while the state’s share will be Rs 2,417 crore, with the authority permitted to secure Rs 15,071 crore through lower-interest loans.