The Tamil Nadu Budget for the financial year 2025-26, presented in the state Assembly on Friday, March 14 by Finance Minister Thangam Thenarasu, made announcements for strengthening the state’s infrastructure, easing traffic congestion, and boosting economic growth. A total of Rs 20,722 crore has been allocated to the Highways and Minor Ports Department, with key projects aimed at enhancing road connectivity, improving industrial corridors, and promoting sustainability initiatives.
To tackle increasing traffic congestion in Chennai, the Tamil Nadu State Highways Authority (TANSHA) will construct a 14.2 km four-lane elevated road from Thiruvanmiyur to Uthandi along the East Coast Road (ECR) at an estimated cost of Rs 2,100 crore. This project aims to enhance connectivity along the coastal stretch and streamline vehicular movement.
The Budget also includes plans to develop industrial corridors to boost economic activity. In the first phase, Rs 250 crore has been earmarked for the Oragadam-Cheyyar Industrial Corridor, which is expected to enhance exports from the Cheyyar Industrial Park.
To further decongest roadways, the state government will assess the feasibility of constructing a new 28 km four-lane road from Karunguzhi in Chengalpattu district to Mamallapuram, linking it to the ECR via Thirukkazhukundram. Additionally, 14 bypass roads will be built in the financial year 2025-26, with a total investment of Rs 1,713 crore. This includes the 12.5 km Coimbatore Western Bypass (Rs 348 crore) and the 12.4 km Tirunelveli Western Bypass (Rs 225 crore). The state Finance Minister also said that a detailed project report will also be prepared for the proposed 48 km Madurai Outer Ring Road.
As part of its sustainability initiatives, the state government plans to plant and geotag 10 lakh native trees such as jamun, tamarind, neem and Indian beech along highways. It has also allocated Rs 200 crore for road safety improvements under the Accident-free State initiative, which aims to reduce fatalities in high-risk accident-prone areas.
In order to improve roadside infrastructure, the government will also set up facilities at 10 selected locations on state highways, including food stalls, accommodations, e-vehicle charging stations, and medical facilities. In Kanniyakumari, additional passenger boats will be introduced from Chinna Muttam Port to the Thiruvalluvar statue to manage increasing tourist footfall.