Vadodara: The Vadodara Urban Development Authority (VUDA) has approved revised budgets for the financial years 2025–26 and 2026–27, allocating major funds for infrastructure works, including completion of the 75-metre ring road, road and drainage networks, gardens, ponds, and housing projects in the peripheral areas of the city.

An additional ₹50 crore has been sanctioned to complete the remaining work of the first phase of the 75-metre ring road around Vadodara. Besides this, around ₹643 crore will be spent on development works in VUDA areas, including road construction, water supply and drainage networks, development of lakes and gardens, STPs, and EWS housing.

The authority has approved a revised budget of ₹711.70 crore for 2025–26 and ₹801.70 crore for 2026–27.

Ring road project delayed due to land acquisition

VUDA had prepared a Development Plan (DP) in 2006, which was approved by the state government in 2012, proposing a 75-metre ring road around Vadodara.

An amount of ₹220 crore was spent on the project in 2024–25, while against a provision of ₹200 crore in 2025–26, only ₹70.23 crore was spent till December 2025, and the estimate for the current year has been revised to ₹97.23 crore.

The ring road is being constructed in two phases, and about 7% of the first phase work is still pending, mainly due to delays in land acquisition. VUDA will now spend an additional ₹50 crore to complete the remaining work, for which provision has been made in the new budget.

Major allocations for infrastructure works

The budget also includes ₹200 crore for road network works in VUDA jurisdiction. Other proposed expenditures include:

• ₹57.07 crore for drainage network

• ₹23.60 crore for water distribution network

• ₹57 crore for construction of a sports complex at Sevasi

• ₹167.73 crore for STP works

• ₹18 crore for lake development

• ₹20 crore for rainwater catchment works

• ₹19.09 crore for EWS housing project

• ₹5 crore for logistics park

• ₹250 crore for street-light works

• ₹25 lakh for garden development

Only ₹1 lakh provision for Vishwamitri project

Despite last year’s floods affecting both city and VUDA areas, only ₹1 lakh has been allocated in the budget for the Vishwamitri river project.

After the 2024 floods, the state government had taken up deepening and widening work of the river, with the municipal corporation handling areas within city limits and the irrigation department handling other areas. However, the nominal provision in the VUDA budget indicates that no major expenditure is likely to be made from VUDA funds for the Vishwamitri project. DeshGujarat