The meeting coincided with Adani Enterprises emerging as the lowest bidder for both packages of a proposed 16.75 km tunnel road between Central Silk Board and Hebbal, with financial bids opened by Bengaluru Smart Infrastructure Ltd in December 2025. The state government had estimated the total project cost at Rs 176.98 bn, while Adani Enterprises quoted Rs 222.67 bn, about Rs 46.00 bn higher than the estimate.
The contract has not yet been awarded and officials said the file was forwarded to the state government by the special purpose vehicle B-SMILE on May 29. Cabinet approval has become necessary because the quoted bid value exceeds the permissible variation from the approved estimate, officials added. The chief minister described the engagement as a courtesy call and indicated that no substantive matters were discussed, while opposition figures criticised the meeting and alleged inconsistent positions at the national and state level. Senior BJP leader R Ashoka questioned the propriety of the interaction and party MP Tejasvi Surya has opposed the tunnel road and pursued legal remedies in the Karnataka High Court.
The proposed tunnel road is to be implemented under a modified Build, Own, Operate and Transfer model with the state providing viability gap funding and funding 40 per cent of the project cost. The private concessionaire would be expected to recover its investment through a concession mechanism over 30 years. The project is regarded as one of the chief minister’s priorities and has faced sustained opposition from citizen groups and urban mobility experts despite official backing. Adani Group already maintains a significant presence in Karnataka through investments in renewable energy, cement manufacturing and food processing and by operating the Udupi thermal power plant and Mangaluru International Airport.