Tamil Nadu’s 10 new rail projects spent just 31% of funds last year; allocation for 2026-27 slashed

Last year, the spending was heavily concentrated on the Tindivanam-Nagari project, which accounted for Rs 169.28 crore
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Image of train used for representative purposePexels
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CHENNAI: Ten new railway line projects in Tamil Nadu spent merely Rs 192.54 crore of the Rs 617.76 crore allocated in 2025-26 – just 31% - show information obtained under RTI. The allocation for these projects for 2026-27 has now been cut to Rs 497.57 crore.

Last year, the spending was heavily concentrated on the Tindivanam-Nagari project, which accounted for Rs 169.28 crore. The 184.45-km project sanctioned in 2006 at an estimated cost of Rs 3,631.34 crore has reported 16% physical progress. In contrast, the Madurai-Thoothukudi line via Aruppukkottai spent only Rs 12.19 crore, Morappur-Dharmapuri Rs 10.72 crore, and Rameshwaram-Dhanushkodi a meagre Rs 0.35 crore.

Four major projects – Tindivanam-Tiruvannamalai, Chennai-Cuddalore via Mahabalipuram, Attipattu-Puttur, and Erode-Palani –had received Rs 187.5 crore in 2025-26, but recorded no spending.

"If the allocation and spending is this low, even the land acquisition process cannot be initiated. It shows the Southern Railway has no interest in getting things done," said Dayanand Krishnan, who obtained the RTI information.

For 2026-27, Tindivanam-Gingee-Tiruvannamalai, Attipattu-Puttur, and Chennai-Mahabalipuram-Cuddalore, which were brought to life after remaining on the ice for long, have been given only Rs 1 crore each, while Erode-Palani has received nil. Despite accounting for most of last year's spending, Tindivanam-Nagari line has received lesser allocation – to Rs 334.7 crore from Rs 347.7 crore.

The 10 new-line projects together cover 870.78 km and have an estimated cost of Rs 16,841.34 crore. Only Rs. 497.57 crore has been provided for 2026-27, which works out to only 2.95% of the estimated project cost.

The current year's funding is concentrated on two projects: Tindivanam-Nagari (Rs 334.7 crore) and Sriperumbudur-Guduvanchery Phase-I project (Rs 100 crore). The latter is a Rs 3,136 crore, 60-km project to provide cargo connectivity from the Chennai Peripheral Industrial Corridor to Chennai Port.

The funding concerns extend to doubling and multi-tracking projects as well. Katpadi-Villupuram has been allocated Rs 2 crore this year, less than 1/100 of Rs 200.45 crore allocated in 2025-26. Salem-Karur-Dindigul and Erode-Karur lines have fallen to Rs 5 crore each from Rs 100 crore each.

The 14 doubling and multi-tracking projects cover about 658 km, with an estimated project cost of Rs 8,173.35 crore, but received only Rs 342.10 crore allocation in 2026-27.

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