Union Cabinet Approves Two Major Highway Projects Worth Over Rs 14,000 Crore

The Union Cabinet on Wednesday approved two major highway projects worth Rs 14,115 crore, including a six-lane tunnel linking the Dwarka Expressway with south Delhi and a greenfield access-controlled highway connecting Kanpur and Kabrai in Uttar Pradesh, aimed at improving urban mobility, strengthening logistics and boosting regional economic growth.

The projects, approved by the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi, involve a combined investment of Rs 14,114.81 crore, with the Delhi tunnel to be built under the Hybrid Annuity Model (HAM) and the Kanpur-Kabrai highway on Build-Operate-Transfer (BOT) (Toll) mode.

The Cabinet approved the construction of an 8.1-km six-lane road tunnel on NH-148AE connecting the Shivmurti Interchange on the Dwarka Expressway (NH-248BB) with Nelson Mandela Marg in Vasant Kunj at a cost of Rs 6,969.67 crore.

The project is expected to provide faster connectivity between West and South Delhi, benefiting commuters travelling from Gurugram, Dwarka, IGI Airport and West Delhi towards south Delhi. It will also integrate with the proposed elevated corridor between AIIMS and Mahipalpur, which will connect the tunnel to the Barapullah elevated road, improving connectivity to East Delhi, Ghaziabad and Noida.

The tunnel will pass beneath the Southern Ridge Forest using tunnel boring machines (TBMs), minimising surface disruption in the ecologically sensitive area. The alignment includes a 3.14-km underground tunnel, approach ramps, elevated stretches and at-grade roads. The project also includes a 1.8-km elevated road along Nelson Mandela Marg, an additional flyover towards Mahipalpur and an elevated U-turn to ease congestion at the Mahipalpur-Chhatarpur junction.

The government estimates the project will generate nearly 7.54 lakh person-days of direct employment and 9.8 lakh person-days of indirect employment during construction.

The Cabinet also approved the construction of a 117.7-km access-controlled greenfield highway between Kanpur and Kabrai in Uttar Pradesh at a cost of Rs 7,145.14 crore.

The four-lane corridor, designed for future expansion to six lanes, forms a key part of the proposed Bhopal-Kanpur Economic Corridor under the National Highways (Original) Programme and will be implemented by the National Highways Authority of India (NHAI). The project also includes operation and maintenance of the existing Kanpur-Kabrai section of NH-34.

Designed for speeds of 80-100 kmph, the highway will reduce travel time between Kanpur and Kabrai from 3.5 hours to 1.5 hours, while improving road safety, reducing vehicle operating costs and enabling faster movement of passenger and freight traffic.

The corridor will strengthen connectivity between Uttar Pradesh and Madhya Pradesh by linking industrial and commercial centres with mineral-rich and agricultural regions. It will also improve access to the Kabrai mining belt, facilitating the movement of minerals, industrial goods, construction materials and agricultural produce.

The highway will connect with NH-34, NH-35, the Bundelkhand Expressway, Kanpur Ring Road, and several state highways, while improving access to 16 economic nodes, nine social nodes and 10 logistics hubs, including industrial areas, railway stations and airports across the region.

According to the government, the project is expected to generate around 1.2 crore person-days of employment during construction and is projected to carry an Annual Average Daily Traffic (AADT) of around 18,069 Passenger Car Units (PCUs) by FY29.

The Centre said the two projects are expected to improve connectivity, ease congestion, strengthen logistics efficiency and support industrial and economic development in the National Capital Region, Bundelkhand and adjoining areas of Uttar Pradesh and Madhya Pradesh.