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Union Cabinet Approves Major Infrastructure Projects Worth Over ₹14,115 Crore

The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has approved two ambitious national highway projects with a combined investment of more than ₹14,115 crore. These initiatives—a sophisticated road tunnel in Delhi and a modern greenfield highway in Uttar Pradesh—are set to transform connectivity, reduce travel times, ease congestion, and drive economic development in key regions of northern India.


Announced during a media briefing by Union Minister Ashwini Vaishnaw, the projects highlight a focused effort to strengthen urban mobility in the National Capital Region and promote high-speed linkages in Uttar Pradesh and beyond.


Image from OpIndia
Image from OpIndia

Delhi’s 6-Lane Dwarka Tunnel: Enhancing Urban Connectivity

One of the approved projects is the construction of an 8.1-kilometre six-lane road tunnel on NH-148AE, which will link the Dwarka Expressway (NH-248BB) with Nelson Mandela Marg in Vasant Kunj, South Delhi. With a total capital cost of ₹6,969.67 crore, the project will be implemented under the Hybrid Annuity Mode (HAM) as part of the National Highways (Original) scheme.


The project features a 3.14-kilometre twin-tube tunnel, to be built using advanced Tunnel Boring Machines. A substantial portion of the underground alignment passes beneath the Southern Ridge Forest, an approach that significantly minimises surface disruption and helps preserve the ecologically sensitive area. The development also includes approach ramps, elevated sections, at-grade roads, flyovers, and an elevated U-turn facility to smooth traffic flow at critical junctions.


Once completed, the tunnel is expected to provide much-needed faster and signal-free connectivity between West and South Delhi. Commuters travelling from areas such as Gurugram, Dwarka, and the Indira Gandhi International Airport will benefit greatly, with improved access extending further to East Delhi, Ghaziabad, and Noida through integration with the proposed Barapullah elevated road and other corridors. The project is anticipated to be completed in approximately five years.


This initiative is projected to generate substantial employment, creating around 7.54 lakh person-days of direct jobs and 9.80 lakh person-days of indirect employment during the construction phase.


Kanpur–Kabrai Greenfield Highway: Unlocking Regional Economic Potential

In parallel, the Cabinet has sanctioned the development of a 117.7-kilometre four-lane access-controlled greenfield highway on NH-34 between Kanpur and Kabrai in Uttar Pradesh’s Mahoba district. Designed with provisions for future six-laning, the project carries a total capital cost of ₹7,145.14 crore and will be executed on a Build-Operate-Transfer (BOT) Toll basis by the National Highways Authority of India. It also includes the operation and maintenance of the existing Kanpur–Kabrai section of the highway.


This corridor forms an important segment of the broader Bhopal–Kanpur Economic Corridor. It will feature multiple major bridges, a railway overbridge, and service roads, enabling seamless high-speed travel at operating speeds of 80 to 100 kilometres per hour. The highway is expected to reduce the current travel time between Kanpur and Kabrai from 3.5 hours to about 1.5 hours, representing a reduction of nearly 58 percent.


By strengthening linkages with several national and state highways, including the Bundelkhand Expressway, the project will facilitate efficient movement of passengers, freight, minerals from the Kabrai mining belt, industrial goods, construction materials, and agricultural produce. It aligns with the PM GatiShakti National Master Plan, improving access to numerous economic, social, and logistics nodes across Uttar Pradesh and Madhya Pradesh.


The development is anticipated to generate close to 1.2 crore person-days of direct and indirect employment and support an Annual Average Daily Traffic of approximately 18,069 passenger car units by FY 2028.


The MGMM Outlook

The approval of these two large-scale infrastructure projects reflects India's continued emphasis on building a transportation network that supports both economic growth and improved public mobility. The Dwarka tunnel project addresses one of the National Capital Region's most pressing challenges—traffic congestion—while balancing urban development with environmental considerations through its underground alignment beneath the Southern Ridge Forest. Faster, signal-free connectivity is expected to improve daily commuting, strengthen access to the airport, and enhance integration across Delhi and adjoining cities.


The Kanpur–Kabrai Greenfield Highway has the potential to become a significant catalyst for regional development by reducing travel time, improving freight movement, and strengthening links with major industrial, mining, and agricultural hubs. Better highway connectivity can attract investment, create employment, and enhance logistics efficiency across Bundelkhand and neighboring regions. Together, these projects reinforce the importance of strategic infrastructure planning in supporting long-term economic competitiveness, regional integration, and inclusive development.



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