NHAI Withdraws Rs 957-Cr Southern Ludhiana Bypass Project In Punjab

In a significant setback to infrastructure development in Punjab, the National Highways Authority of India (NHAI) has withdrawn approval for the Rs 957-crore Southern Ludhiana Bypass project. This decision, confirmed by officials, stems from issues related to land acquisition.

Project Aimed to Decongest City Roads
The 25.24-kilometer-long Southern Ludhiana Bypass was envisioned to alleviate traffic congestion in Ludhiana, a key industrial and commercial hub in the North. However, despite the physical possession of nearly 100 hectares of acquired land being handed over to NHAI by the district administration, the acquisition of the remaining 80.58 hectares—constituting 44.77 per cent of the total land required—remains incomplete.

Land Acquisition and Compensation Issues
The project, initially approved on 2 June 2022, has faced prolonged delays. The construction company originally awarded the project had already withdrawn, refusing to proceed due to the inability to secure the necessary land. Even after more than two years, the approved compensation could not be fully disbursed, further stalling the project.

Resistance from Landowners
The six-lane Greenfield highway project, which was to be constructed at a cost of Rs 956.94 crore, encountered strong resistance from landowners reluctant to part with their land. This resistance has been a significant barrier to the project's progress.

Discrepancy in Land Possession Claims
The district administration asserts that 80 per cent of the required land has already been handed over to NHAI and the contractor, meeting the mandatory requirement to begin construction. However, NHAI cites delays in the full transfer of land possession as the primary reason for withdrawing the project approval.

Rajya Sabha MP from Ludhiana, Sanjeev Arora, confirmed the withdrawal of the letter of approval (LOA) for the project, attributing it to delays in land possession. He reported that NHAI briefed him on the matter, revealing that only Rs 198.42 crore of the total Rs 323.06 crore compensation declared for land acquisition had been disbursed, and physical possession had been obtained for only 19.74 kilometres of the required 25.24 kilometres of land.

The cancellation of the Southern Ludhiana Bypass project underscores the challenges of land acquisition and compensation in large-scale infrastructure developments. With the withdrawal of this major project, Ludhiana's traffic congestion issues remain unresolved, posing ongoing challenges for the city’s infrastructure and development.