Mumbai: Legal Battles And Layoffs Increase Consulting Costs For Coastal Road Project; Fee Increased By Rs 6.5 Crores

Mumbai, 13th April 2023: Due to the increase in the duration of the work of the Coastal Highway, the fees of the consultants have also increased along with the increase of duration for contractors. The consultant fee for the first phase from Priyadarshini Park to Baroda Palace has been increased for the second time and its fee has gone up from Rs 50 crore to Rs 66 crore in the last four years.

The work on the Seashore Project from Princes Street to the Worli end of the Bandra Worli Sea Bridge is underway in three phases. Three different consultants have been appointed for these three phases. A general adviser has also been appointed to supervise the work of these three advisers and to bring unity to the work.

Out of the three phases, the consultancy fee for the first phase from Priyadarshini Park to Baroda Palace was increased for the second time. Earlier, the consultant had charged an additional fee of Rs 8.92 crore. Now, for the extended period, an additional fee of Rs. 6.65 lakhs has been charged. A consultant was appointed in 2018 for the first phase. The contract value of the consultant has increased from Rs 50 crores to Rs 66 crores due to an increase in duration and twice the increase in fees.

The proposals for frequent toll hikes are to build bridges with a width of approximately 34 meters and a length of about 2,000 meters under the Sea Coast Corridor. Interchanges with a total of 15.66 km will also be constructed. A single-column method will be used instead of the conventional multi-column method while building the said bridge.

After the commencement of the work on the sea coastline, the general consultant and experts from IIT Powai recommended using single-column foundation technology instead of a multi-column foundation for the bridge work in this project. The consultants had asked for increased fees for this changed work.

The general counsel had asked for a fee hike of Rs 5.91 crore. Later, the consultant in phase one asked for an increased fee of Rs 8.92 crore. Earlier, the General Counsel had also asked for an additional fee of Rs 4.52 crore for the services provided during the extended construction period.