Adani meet with DKS sparks buzz as tunnel project awaits nod

Gautam Adani, chairman of the Adani Group, met with Karnataka's Chief Minister DK Shivakumar recently, raising speculation about a potential deal for the Hebbal-Silk Board tunnel project. The 16.75-km tunnel, which aims to alleviate traffic congestion in Bengaluru, is currently awaiting government approval. Adani visited Shivakumar at the latter's residence after addressing Sri Ravi Shankar Guruji's ashram in Kanakapura.

The specifics of the meeting remain undisclosed, as neither Shivakumar's office nor Adani Group have released statements on the discussions.

Adani Enterprises has submitted a bid of ₹22,267 crore for the tunnel project, which is significantly higher than the government's estimated cost of ₹17,698 crore. Under the proposed Build-Operate-Transfer model, the government would contribute 40% of the project cost as viability gap funding, while the private developer would contribute the remaining 60%.

Adani Enterprises and Vishwa Samudra Engineering were the only companies to qualify during the technical evaluation and subsequently emerged as the L1 bidder following the financial bidding process. However, the government now faces several options, including accepting the bid, negotiating for a lower amount, or canceling the tender and inviting fresh bids.

Senior BJP leader R Ashoka expressed concerns over the meeting, questioning whether Shivakumar had sought Congress leader Rahul Gandhi's approval. Ashoka pointed out the apparent contradiction in the Congress party's stance towards Adani, noting that the party opposes him in Delhi but welcomes him in Karnataka. Ashoka accused the Karnataka government of "rolling out a red carpet" for Adani and criticized the ruling party's approach towards the industrialist.