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Cost of Building the Atal Tunnel and Its Impact on Indian Infrastructure

April 17, 2025Transportation3813
How Much Did it Cost to Build the Atal Tunnel and Its Impact on Indian

How Much Did it Cost to Build the Atal Tunnel and Its Impact on Indian Infrastructure?

My name is Pankaj, and I am from Himachal Pradesh. I travel to various locations and make travel videos to explore the lesser-known places that people often miss. As a local, I understand the importance and excitement of discovering such locations.

Let me take you on a journey to one of the most extraordinary engineering feats in the Himalayas: the Atal Tunnel. The total cost to build this tunnel, which connects Manali to Leh, is approximately 3200 crore rupees (approximately $400 million USD).

The Historical Context and Initial Estimation

In the year 2000, the project was estimated to cost 5 billion rupees and was projected to be completed in seven years. This was a considerable sum for a tunnel that would serve as a crucial link between two of the most scenic and remote regions of India. However, the journey from estimation to construction was fraught with challenges.

The Beginning of the Project: 2002-2004

On 26 May 2002, the Border Roads Organisation (BRO), a tri-service organisation of the Defence Ministry, was put in charge of the construction. BRO is specialized in road and bridge construction in difficult terrains. The project, however, did not make significant progress, with the first action being tree-felling in May 2003. By December 2004, the cost estimate had grown to 9 billion rupees due to the added complexities and challenges of the terrain.

The Contract Award: 2007

In May 2007, the contract was awarded to SMEC Snowy Mountains Engineering Corporation International Private Limited, an Australian company, by the Dr. Manmohan Singh Government. The completion date was revised to 2014. However, the project faced a period of inactivity for the next three years due to various reasons, including lack of progress and funding issues.

The Final Push: 2009 and Beyond

The Cabinet Committee on Security of the UPA government cleared the Rohtang Tunnel Project in September 2009. The work was awarded to a joint venture of AFCONS Infrastructure Limited (an Indian construction company) and STRABAG AG (an Austrian company).

The drilling of the Rohtang Tunnel through the Himalayan ranges began on 28 June 2010, at the South Portal, 30 km (19 miles) north of Manali. The project faced additional challenges with regard to anchoring and slope stabilisation, which were subcontracted to Spar Geo Infra Pvt Ltd. Despite setbacks and delays, the tunnel was finally completed and inaugurated in 2020, marked as a significant milestone in Indian infrastructure.

Conclusion

The construction of the Atal Tunnel has had a profound impact on the region, providing a safer, faster, and more reliable route between Manali and Leh. The project's journey from initial estimation to completion highlights the complexities and challenges of infrastructure development in remote and challenging terrains.

As someone from Himachal Pradesh, I am proud of the engineering marvel that has been achieved in such a diverse and challenging landscape. For those looking to explore the region, the Atal Tunnel is now a key route to experience the natural beauty and cultural richness of Himachal Pradesh.