Ahmedabad

AMC Approves ₹241 Crore Proposal For New Subhash Bridge Despite ₹7.5 Crore Cost-Cutting Directive

By GS Team
13 Aug 20262 mins read
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AMC greenlights a new ₹241 crore Subhash Bridge despite the Road and Building Committee's directive to cut ₹7-7.5 crore from consultancy fees. The Standing Committee approved the unchanged proposal, sparking questions about ignored cost-saving measures. The project, initially for span replacement, became a full new bridge and could exceed ₹250 crore due to potential material price hikes.

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AMC Approves ₹241 Crore Proposal For New Subhash Bridge Despite ₹7.5 Crore Cost-Cutting Directive
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The Amdavad Municipal Corporation (AMC) has approved a ₹241 crore proposal for construction of a new Subhash Bridge despite the Road and Building Committee directing officials to explore savings of around ₹7-7.5 crore by reducing consultancy and project management consultancy (PMC) fees.

Officials' Cost-Cutting Directive Not Reflected In Proposal

At its August 3 meeting, the Road and Building Committee, chaired by Jainik Vakil, directed the bridge department to reduce consultancy and PMC charges. The move was expected to bring down the overall project cost by around ₹7-7.5 crore.

However, when the proposal was placed before the Standing Committee on Thursday, the amount remained unchanged at **₹241 crore**. The Standing Committee subsequently approved the proposal without the suggested reduction.

The difference between the Road and Building Committee's directive and the proposal ultimately placed before the Standing Committee has now raised questions over whether the cost-cutting instructions were implemented.

AMC Decides To Build New Bridge

Standing Committee Chairman Kamlesh Patel said the original plan was to remove the vulnerable spans of the existing Subhash Bridge and replace them with new ones.

However, reports from various agencies subsequently indicated that constructing an entirely new bridge would be more appropriate, he said. The civic body therefore decided to opt for a new bridge instead of replacing individual spans of the existing structure.

Project Cost Could Cross ₹250 Crore

The approved ₹241 crore amount may not necessarily be the final cost of the project.

Under the contract provisions, the contractor will be eligible for a corresponding price adjustment if the cost of construction materials such as cement, aggregate or steel rises during the project.

Conversely, the payment could be reduced if material prices fall.

As a result, a rise in material costs could push the overall cost of the Subhash Bridge project beyond **₹250 crore**.

The development comes even as the Road and Building Committee had sought savings of up to ₹7.5 crore, meaning the project could face further cost escalation if construction material prices increase.