Ahluwalia Contracts Emerges Lowest Bidder For Mumbai's Iconic Station Chhatrapati Shivaji Maharaj Terminus Redevelopment Project

Ahluwalia Contracts with Rs 2,450 crore quotation has emerged as the lowest bidder to redevelop Mumbai's iconic station Chhatrapati Shivaji Maharaj Terminus (CSMT) as against the estimated cost of nearly Rs 2,000 crore.

The Rail Land Development Authority (RLDA) had invited tenders for the CSMT project in October 2022, and four major players were found to be in the bidding race and after the opening of technical bids on 15 March 2023.

Besides Ahluwalia Contracts, Larsen and Toubro (L&T), Afcons Infrastructure and Nagarjuna Construction Company (NCC) had submitted bids for the Chhatrapati Shivaji Maharaj Terminal (CSMT) re-development project.  

The CSMT project, with an estimated cost of nearly 2000 crore, has a three-year completion deadline.

The overall scope includes the re-development of Chhatrapati Shivaji Maharaj Terminus (CSMT) station and construction of associated infrastructure on EPC basis, with particular focus on transforming the facility’s piece-meal annexe developments made over time.

No major changes would be made to the gothic-style heritage building of the station, which is a UNESCO-listed world heritage site.

With the opening of bids for CSMT, RLDA has completed the bidding process for all three stations — New Delhi, Ahmedabad and CSMT — for which the Railways has got the Cabinet clearance to redevelop these three stations on EPC mode.

While two real estate companies submitted bids for New Delhi, three players came forward for Ahmedabad and four construction giants entered the race for Mumbai station.

However, the bidders have quoted much higher prices than the estimated cost of the three projects approved by the Cabinet.

In September last year, the union cabinet sanctioned Rs 10,000 crore for the redevelopment of three major railway stations — New Delhi, Ahmedabad, and CSMT in Mumbai.

While for New Delhi station, Indian infrastructure major Larsen & Toubro became the lowest bidder quoting Rs 8,740 crore, exceeding the Indian Railways estimate of Rs 5,000 crore.

Construction giant, Afcons Infrastructure Limited, has emerged as the lowest bidder for Ahmedabad station redevelopment project by quoting Rs 5,355 crore, as against the Indian Railways' estimated cost of Rs 3,000 crore.

Only two firms — L& T and Shapoorji Pallonji — submitted the bids for the New Delhi station redevelopment project last month.

Afcons Infrastructure Limited, Larsen and Toubro and Nagarjuna Construction Company (NCC) had submitted bids for the Rs 3,000 crore Ahmedabad station re-development project in March this year.

For CSMT in Mumbai, the scope of work includes undertaking civil works for the station buildings and associated infrastructure which primarily consists of an iconic façade, ultra-modern station buildings, refurbishment of heritage buildings, separate platform for suburban and long distance trains, and connection through skywalk from Mahatma Jyotiba Phule Mandai (earlier known as Crawford Market).

The re-developed CSMT station will have a spacious roof plaza with all passenger amenities at one place along with spaces for retail, cafeterias and recreational facilities.

Facilities like food court, waiting lounge, place for local products, etc. will be available.

To make the station navigable, adequate illumination, wayfinding/signages, acoustics, and lifts/escalators/travelators shall be provided. Master plan has been prepared for smooth movement of traffic, with adequate parking facilities.

According to the Rail Land Development Authority (RLDA), the tender committee is seized with the matter opening of the financial bids of the three stations and a decision would be taken so that the contracts can be awarded in May this year.

Railways maintain that discussions are going on with the lowest bidders to bring down their price quotations and a solution has to be found through negotiations.