CHENNAI: The `336-crore estimated construction cost of the already delayed Kuthambakkam bus terminus has further jumped by `126 crore following the decision to add another floor to the main terminal building’s design. A G.O. will likely be issued soon to revise the construction cost as Rs 462 crore following sanction from the finance department.
The new terminus for buses plying to the districts west of Chennai, is coming up on 25 acres of land. The previous AIADMK government announced the project in 2019 and the terminus was proposed to come up on 20 acres at a cost of Rs 150 crore. Within just four years, the project cost has tripled.
During finalisation of the concept plan in 2020, five more acres were added to the outlay and the cost was revised to Rs 336 crore. It was also decided that the terminus would be included in the Comprehensive Mobility Plan of Chennai. After Erode-based Renaatus Projects Private Limited took up the construction work, Chennai Metropolitan Development Authority Minister P K Sekarbabu on December 17, 2022, inspected the work site.
The minister had then sought some modifications to the project, including the construction of a dormitory comprising cubicles for the crew of buses, adding a floor to the terminal building considering space requirements for a food court and other commercial activities, scaling up the reverse osmosis plant, air conditioning for the entire terminal building, entrance arch for the bus terminal, CMDA logo on the compound wall, exclusive parking space for long stay vehicles, and separate entrance for persons with disabilities.
The extra floor and air conditioning facility for the Kuthambakkam main terminal building will cost an additional `60 crore and this was announced by the minister this year. Apart from that, through a third-party review by Anna University, various works were suggested which inflated the project cost. Official sources also blamed the GST which was revised from 12% to 18% last year, for the hike in cost. “On December 31, 2021, the quantum of work executed was worth Rs 67.04 crore, and the GST worked out to Rs 8.04 crore. As per the revised GST slab, Rs 54 crore more must be paid as tax for the remaining work,” they added.
Meanwhile, sources said during the review meeting of the iconic project, Chief Secretary Shiv Das Meena had said an additional floor is not viable and the plan should be dropped. He also added the project needs to be re-examined.
The previous G.O. had restricted the price escalation to Rs 32 crore. As per the state government’s ‘D’ Code, a revised administrative sanction is needed if the cost exceeds 10% of the amount that previously received administrative sanction. Meanwhile, a former transport planner has questioned the construction cost being increased following the submission of the detailed project report. It may be recalled that the Kilambakkam bus terminus construction cost had also increased after the inclusion of additional work. The Kilambakkam bus terminus is under legal scrutiny now over the lack of accessibility for people with disabilities.