Daijiworld Media Network – Mumbai
Mumbai, Apr 2: The standing committee of the Brihanmumbai Municipal Corporation (BMC) on Wednesday approved a revised cost of over Rs 5,000 crore for the Gargai dam project, marking a significant escalation from its earlier estimate.
The proposal to sanction Rs 5,051 crore — up from the initial Rs 3,105 crore estimated in 2020 — was passed through a majority vote despite strong opposition from several members.

Earlier, on March 11, the committee had deferred the proposal seeking a revised cost of Rs 5,396 crore and demanded clarification. Following this, the civic administration held multiple rounds of negotiations with contractor Soma Enterprises and managed to reduce the projected cost by Rs 345 crore.
Standing committee chairman Prabhakar Shinde put the proposal to a voice vote after discussions, where the ruling members outnumbered the opposition, clearing the project.
Supporting the move, Ganesh Kankhar said the project is crucial to meet Mumbai’s rising water demand, pointing out irregular supply in some areas and highlighting the savings achieved through negotiations.
However, Congress leader Ashraf Azmi criticised the escalation, questioning the need for such a large increase without visible progress on the ground. He raised concerns about potential further cost overruns in the future.
Yashodhar Phanse flagged environmental concerns, noting that the project could involve the removal or transplantation of over 3.1 lakh trees in Palghar, with compensatory afforestation planned in distant areas like Chandrapur. He suggested exploring alternatives such as desalination projects.
Meanwhile, Yashwant Killedar stated that while his party supports the project in principle, it remains concerned about the steep rise in costs.
The Gargai dam project is expected to play a key role in augmenting Mumbai’s water supply, even as debates continue over its financial and environmental implications.