Ahmedabad Municipal Corporation's proposed City Square on Sindhu Bhavan Road could cost over Rs 1,200 crore, against the announced estimate of Rs 570 crore. The likely doubling of the cost has put the project under scrutiny, with questions raised over how the civic body arrived at its figure.
Construction contracts are being awarded on 2024-25 Schedule of Rates, typically 22 to 25 per cent above scheduled rates, which could add Rs 140 to 150 crore to the bill on its own.
The land value left out
The 13,144 sq m plot's market value, about Rs 3 lakh per sq m based on AMC auctions on Sindhu Bhavan Road, is about Rs 400 crore, and was not included in the announced cost. Including the land value pushes the true outlay far above the Rs 570 crore figure announced for the project.
The omission has become a central point in the criticism, since the land alone is worth nearly as much as the announced project cost.
Questions over priorities
Questions have been raised over spending priorities, noting that 30 to 40 per cent of Ahmedabad reportedly faces drinking-water problems. Critics ask whether a costly square should come before fixing basic water supply for large parts of the city.
Mayor steps in, members question engineers
The mayor summoned engineers a day after the announcement, and standing committee members questioned the engineering department about the project. Elected office-bearers were reportedly unaware of the details of the large project.
The proposed 175-metre tower's viewing gallery accommodates only 75 people at a time, another detail that has drawn attention in the scrutiny of the plan.
What happens next
The scrutiny leaves the City Square proposal facing hard questions about its real cost and its priority for the city. Whether the civic body revises its estimate, scales back the project or defends the spending will decide the fate of the Sindhu Bhavan Road square.
For now, the gap between Rs 570 crore announced and over Rs 1,200 crore likely is the figure at the centre of the debate.
