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Chennai Outer Ring Road (ORR), Tamil Nadu, India

Key Data

Chennai's Outer Ring Road (ORR) is a 62.3km project being constructed in two phases around the Chennai Metropolitan Area (CMA) in Tamil Nadu, India. The project will connect the GST Road starting at Vandalur to the TPP Road, ending at Minjur. The key objective of the project is to allow heavy vehicles to journey outside of the city, minimising traffic congestion within the city central areas.

Land for the project was acquired in two phases. Chennai Metropolitan Development Authority (CMDA) acquired land for the first phase and took possession of 29.65km of land between national highway (NH) 45 and NH205, covering 29 villages. The second phase acquired approximately 30km of land from Nemilicheri to Minjur, covering several villages. The project is expected to boost real estate prices and commercial activities in the surrounding areas.

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A detailed feasibility report (DFR) for the development of the ORR has been completed. A detailed project report (DPR) was prepared after the DFR had been approved by the government. The project extends up to an area of 545.08ha with a total estimated cost of approximately INR20bn (approximately $380m).

In August 2009, a consortium of GMR Group and NAPC received the order to construct the first phase of the ORR project on a public-private partnership basis. Construction of phase I of the project was started in 2010. Its completion is expected by June 2013.

The INR10.75bn second phase of Outer Ring Road (ORR) project was approved by the Tamil Nadu government in January 2013. The bids for phase II of the project were under evaluation by that time.

Phase II of ORR will be a 32km six-lane road connecting Nemillichery on NH205 with Minjur on Tiruvottiyur Ponneri Pancheti (TPP) Road via Padayanallur on NH5. The construction will be based on a build-operate-transfer (BOT) system.

Four construction phases for the Chennai ORR traffic project

Each phase of the project consists of two segments.

The first phase comprises segment one and segment two. Segment one involves construction of the Vandalur-Nazarathpet Road at a length of 19.7km, occupying 265.34ha, while segment two includes construction of the Nazarathpet-Nemilicherry Road, at a length of 9.5km, spreading over 140.9ha.

"In August 2009, the GMR Group and NAPC consortium bagged the contract for the construction of phase one of the Chennai ORR project."

Construction of phase one started in August 2010. Completion of phase one has been delayed and is now expected to be finished by June 2013. Phase one includes construction of five major bridges, eight vehicular underpasses, three interchanges, 18 pedestrian subways, three flyovers, two minor bridges and 100 box culverts.

The second phase includes segments three and four. Segment three involves construction of the 19.1km Nemilicherry-Nallur Road, spread across 258.02ha, while segment four will see the construction of 14km Nallur-Minjur Road over an area of 195.8ha.

Design and lanes included as part of the Chennai outer ring road

The outer ring road will be 122m wide. Of this, the road and rail corridor will constitute 72m while 50m will be left for future developments, such as public facilities and commercial set-ups. The 72m road and rail corridor will be divided into a 50m road and a 22m railway.

The 50m road will have a two-way transportation corridor, with three lanes on either side and two service lanes. The remaining 22m space will be used for the future mass rapid system / light rail transit system.

Phase one of ORR will connect the NH4, NH45 and NH205 highways, from Vandalur in the south to Nemilicherry in the north of Chennai, at an estimated cost of INR10.81bn.

Contractors linked with the traffic congestion project in Tamil Nadu

In August 2009, the lowest bidders, the GMR Group and NAPC consortium, bagged the contract worth Rs11bn ($228m) for the construction of phase one of the Chennai ORR project.

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Under the contract, the consortium is constructing the 29.65km highway on a design, build, finance, operate and transfer basis for an annuity. GMR Group holds a 90% stake and NAPC a 10% stake in the consortium.

The first phase has a concession period of 20 years and is to be completed in 30 months. The contract is for 30 years, including three years for construction and the remaining 27 years for operation and maintenance of the highway.

GMR and NAPC are directly involved in some of the construction works, while the rest have been contracted out.

Finances behind India's Chennai ORR development

The first phase of the 29.65km transportation corridor was taken up by the consortium. Being a public-private partnership, the Tamil Nadu government provided a INR3bn support fund to be included in the promoter's contribution in the project. The remaining funds were planned to be secured through debt and equity.

According to GMR Highways managing director and GMR Infrastructure director O Bangaru Raju, phase one of the project is financed through about INR6.65bn of debt, with the rest from equity and government financing.

Outer Ring Road project Map of the Chennai Outer Ring Road project.
Chennai map A Chennai / Marina beach area satellite map.
minimising traffic congestion The key objective of the project is to allow heavy vehicles to transit from outside the city, minimising traffic congestion within the city central areas.