Road freight operators and logistics companies moving goods between Delhi and Uttar Pradesh will benefit from faster and more reliable corridors after the Union Cabinet approved two major highway projects worth a combined Rs 14,114.81 crore, according to Business Today. The approvals, announced by Union minister Ashwini Vaishnaw, fall under the PM GatiShakti National Master Plan and aim to cut travel times and boost economic activity.
Delhi Tunnel Project: Easing Capital Congestion
The Cabinet approved a six-lane road tunnel on NH-148AE connecting the Dwarka Expressway with Nelson Mandela Marg in Vasant Kunj, Delhi, at a cost of Rs 6,969.67 crore. The 8.1-km project includes a 3.14-km twin-tube tunnel beneath the Southern Ridge, built using a Tunnel Boring Machine (TBM) to minimize surface disruption, according to Business Today. Implemented under the Hybrid Annuity Mode (HAM), the tunnel will improve connectivity between West and South Delhi and ease traffic from Gurugram, Dwarka, and Indira Gandhi International Airport towards South Delhi. The project is expected to be completed in around five years.
Kanpur-Kabrai Greenfield Highway: Boosting UP Connectivity
The Cabinet also approved a 117.7-km, four/six-lane access-controlled Kanpur-Kabrai Greenfield Highway in Uttar Pradesh at Rs 7,145.14 crore. Part of the Bhopal-Kanpur Economic Corridor, the highway will be developed by the National Highways Authority of India (NHAI) under the Build-Operate-Transfer (BOT) toll model, according to Business Today. Designed for speeds of 80-100 kmph, it will cut travel time between Kanpur and Kabrai from around three-and-a-half hours to just one-and-a-half hours. The corridor is expected to be completed within two-and-a-half years and handle an annual average daily traffic of about 18,069 passenger car units (PCUs) by FY2028.
| Project | Cost (Rs crore) | Length | Model | Time Saved | Employment (person-days) | Completion Timeline |
|---|---|---|---|---|---|---|
| Delhi Dwarka Tunnel | 6,969.67 | 8.1 km | HAM | Significant congestion relief | 7.54 lakh direct, 9.80 lakh indirect | ~5 years |
| Kanpur-Kabrai Greenfield Highway | 7,145.14 | 117.7 km | BOT (Toll) | 2 hours (3.5 hr to 1.5 hr) | ~1.2 crore (direct & indirect) | ~2.5 years |
Economic and Employment Impact
The projects are projected to generate substantial employment. The Delhi tunnel will create 7.54 lakh person-days of direct employment and 9.80 lakh person-days of indirect employment, while the Kanpur-Kabrai corridor will generate nearly 1.2 crore person-days of direct and indirect employment, according to Business Today. Minister Vaishnaw noted that the approvals will enhance connectivity and boost economic activity under the PM GatiShakti plan.
Watch List
- Completion milestones: The Delhi tunnel is slated for completion in five years, while the Kanpur-Kabrai highway is expected in two-and-a-half years. Delays could affect logistics planning.
- Tolling models: The Delhi project uses HAM (government bears 40% cost during construction, rest as annuities), while Kanpur-Kabrai uses BOT toll (private developers recover investments through tolls). Changes in toll rates or policy could impact operating costs for freight operators.
- Traffic growth: The Kanpur-Kabrai highway's projected daily traffic of 18,069 PCUs by FY2028 suggests significant freight volumes; capacity additions may be needed if growth exceeds forecasts.
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