The Adani Group has emerged as the lowest bidder for both packages of Bengaluru’s proposed 16.75-km tunnel road project, according to a Deccan Herald report citing sources familiar with the financial bids opened by Bengaluru Smart Infrastructure Limited (B-SMILE).
However, the bids quoted by the conglomerate are significantly higher than the government’s cost estimates, by around 24% for the first package and 28% for the second. This gap may require the tenders to be placed before the Karnataka Cabinet for a final decision. While the government has pegged the total project cost at Rs 17,698 crore, the Adani Group has quoted Rs 22,267 crore for the entire project.
B-SMILE, the special purpose vehicle tasked with implementing the project, had received bids from Rail Vikas Nigam Ltd (RVNL), the Adani Group, Vishwa Samudra Engineering Ltd, and Dilip Buildcon Limited. The tunnel road has been proposed under a build-operate-transfer (BOT) model, under which the government will contribute 40% of the funding, with the remaining amount to be raised by the private concessionaire.
The project entails the construction of a 16.74-km underground corridor connecting Esteem Mall Junction at Hebbal in north Bengaluru with Central Silk Board Junction in the south. It has been one of the city’s most contentious infrastructure proposals in recent years.
Following the technical evaluation, only two bidders, the Adani Group and Hyderabad-based Vishwa Samudra Engineering Ltd, qualified to proceed to the financial bidding stage. Dilip Buildcon was disqualified for violating Clause 2.2.1 (G) of the tender, which bars entities with a history of collapse of a bridge, flyover, or tunnel. RVNL was eliminated after its joint venture partner failed to meet the technical criteria.
With only two bidders remaining, the Adani Group emerged as the lowest bidder, while Vishwa Samudra ranked second.
Deputy Chief Minister DK Shivakumar has said the tunnel road project is intended to ease traffic congestion along key north-south corridors of Bengaluru. The proposal, however, has faced sustained opposition, and several public interest litigations challenging it are currently pending before the Karnataka High Court and the National Green Tribunal.
Global tenders for the project were floated by B-SMILE in July 2025 for two separate packages, but the submission deadline was extended multiple times due to limited interest from major infrastructure firms. The tender, initially issued on July 16 with a deadline of September 3, was later extended to September 30, October 29, and finally November 11. Officials said all four bidders submitted their bids before the final deadline.
According to the tender documents, the construction period has been fixed at 50 months, or four years and two months. If completed as scheduled, the tunnel corridor could become operational by the end of 2029.
The project has been split into two packages, each measuring 8.748 km. Package 1 runs from Esteem Mall Junction to the Seshadri Road–Race Course Junction, while Package 2 extends from Seshadri Road to Silk Board Junction. Each package will include two tunnels with three lanes each, along with dedicated entry and exit ramps. At least eight tunnel boring machines are expected to be deployed.
Package 1 has an estimated cost of Rs 8,770 crore, with the successful bidder required to furnish a financial guarantee of Rs 43.85 crore. Package 2 is estimated at Rs 8,928 crore, with a corresponding guarantee requirement of Rs 44.64 crore.