Between Celebration and Cost Escalation

“Amid the joy of revival and the belief that it is better late than never, escalating costs stand as a reminder that delay carries a price.”

Peerzada Mohsin Shafi


After a prolonged and uncertain journey spanning several years, the recent approval by the Union Government for the construction of the Singhpora–Vailoo and Sudhmahadev–Dranga twin tube tunnels has rekindled hope across Jammu and Kashmir. Nearly four years ago, detailed project reports were prepared. Four years later, bids were invited. About two years ago, tenders were annulled. This was followed by over a year of rumours suggesting that the projects had been abandoned altogether. In this backdrop, the latest approval has brought relief to stakeholders and revived confidence that these long-awaited projects will finally take shape, with tenders expected to be floated soon.

These tunnels go far beyond being mere engineering works. At present, NH-44 remains the primary corridor connecting the Kashmir Valley with the rest of the country, yet it passes through highly complex geological terrain. Despite efforts to widen and strengthen the highway, inherent vulnerabilities remain. Even light rainfall triggers landslides, leading to frequent disruptions. Numerous bypasses have been constructed, yet new weak points emerge every year. What appears stable in one year often becomes vulnerable in the next. In practical terms, NH-44 cannot be reliably termed an all-weather road. With increasing traffic, even the four-lane configuration is proving insufficient. Ideally, it should have been six-laned as suggested in various Detailed Project Reports, but terrain constraints, environmental limitations and high costs make that impractical. Nature, in this case, sets clear limits.

In this context, the Singhpora–Vailoo and Sudhmahadev–Dranga tunnels become vital missing links. They will strengthen the alternative corridor via NH-244, which starts at Nashri and runs through Doda and Kishtwar before connecting to Anantnag. Work on NH-244 is already progressing in phases. The Khanabal–Vailoo stretch is largely complete. Construction from the Kishtwar side is in full swing. Pending works such as the Drabshala tunnel, which was earlier abandoned, have now been re-tendered and will resume. Other stretches are also under execution. The four-lanning of the remaining 8.9 km from the Anantnag side has been tendered and two-lane sections will be upgraded. The Singhpora–Vailoo tunnel will bypass the treacherous Sinthan Pass, which remains closed for long periods due to snowfall, reducing distance and ensuring safer and more reliable connectivity. Improved interconnectivity between the Chenab region and the Kashmir Valley will also boost economic activity, tourism and regional integration.

Despite these clear and far-reaching benefits, the projects have suffered prolonged and avoidable delays since their initial approval during the PDP-BJP regime. What should have been a time-bound infrastructure push instead turned into a drawn-out process marked by administrative indecision and procedural setbacks. The cancellation of earlier tenders on administrative grounds not only halted momentum but also created a vacuum of uncertainty. Over time, this uncertainty translated into negative perception, weakening stakeholder confidence and reinforcing the belief that these projects might never materialize.

While the recent approval under the NH(O) scheme, originally conceived under the Bharatmala Pariyojna, has brought widespread happiness and relief, with the news resonating across stakeholders and regions, restoring direction and making execution appear imminent, the financial consequences of this prolonged delay are both evident and significant. The numbers tell a compelling story. The civil cost of the Singhpora–Vailoo tunnel has risen from ₹3253.58 crore to ₹3567.51 crore, marking an 8.8 percent increase. More significantly, the total project cost has escalated from ₹4807.97 crore to ₹5600.24 crore, reflecting a sharp 14.15 percent rise. A similar trend is evident in the Sudhmahadev–Dranga project, where the civil cost has increased from ₹2598.4 crore to ₹2765.71 crore, a rise of 6.05 percent, while the total project cost has gone up from ₹3703.16 crore to ₹4179.18 crore, registering an 11.4 percent increase.

In absolute terms, the financial impact becomes even more striking. The Singhpora–Vailoo project alone has witnessed a cost escalation of ₹792.27 crore, while the Sudhmahadev–Dranga project has increased by ₹476.02 crore. Combined, these two projects have imposed an additional burden of approximately ₹1268.29 crore on the public exchequer. This is not merely a statistical increase but a reflection of how time directly translates into financial cost in infrastructure development.

Such escalations are rarely accidental. They are the cumulative result of inflation in construction materials, rising labour costs, changes in project specifications, and the compounding effect of delayed decision-making. Each year of delay adds a new layer of financial burden, turning originally viable estimates into significantly inflated commitments. In this case, what could have been executed at a lower cost has now become substantially more expensive without any proportional increase in scope or benefit.

This pattern is not unique to these tunnels but is symptomatic of a broader issue in infrastructure planning and execution. The cancellation of the proposed widening of the Khanabal–Pahalgam road, initially estimated at around ₹1500 crore, reflects a similar trend. If revived in the future, that project too will face escalated costs, further straining limited public resources. Such repeated instances create a cycle where delays lead to higher costs and higher costs reduce the capacity to undertake new projects.

From a financial standpoint, delayed infrastructure is inefficient infrastructure. It locks capital into projects that do not deliver timely returns while simultaneously inflating their eventual cost. This weakens overall fiscal discipline and reduces the effectiveness of public spending. In regions like Jammu and Kashmir, where infrastructure plays a critical role in economic integration and growth, such inefficiencies carry even greater consequences.

As these projects now move towards execution, the priority must shift decisively from approval to delivery. Strict timelines, institutional accountability, and efficient contract management are essential to prevent further escalation. The additional ₹1268 crore burden is not just an escalation on paper but a lost opportunity, resources that could have been deployed towards other critical infrastructure projects in the region. The lesson is clear and difficult to ignore. While it is often said that better late than never, such delays come with a measurable and often heavy cost.

Time in infrastructure is not neutral. Time is expenditure. Time is escalation. Time is public money.

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