Surat gets ₹566 crore grant for seven key infrastructure projects
October 21, 2026
Surat: The Surat Municipal Corporation (SMC) has received approval for ₹566 crore in central government grants for seven major infrastructure projects, including a multi-storey office building, a conventional barrage on the Tapi River, a new hospital building and creek remodelling works. Of the approved amount, ₹373.56 crore has already been released as the first instalment.
The grants have been sanctioned under the Centre’s Special Assistance for Capital Investment Part-I scheme for 2026-27. Surat has received the highest allocation among eight municipal corporations in Gujarat, which have collectively secured ₹1,685.75 crore for 77 projects under the scheme.
The allocations for other cities include ₹420 crore for 14 projects in Ahmedabad, ₹223.04 crore for 19 projects in Rajkot, ₹255.40 crore for 28 projects in Vadodara, ₹50 crore for one project in Junagadh, ₹75.76 crore for three projects in Jamnagar, ₹65 crore for two projects in Bhavnagar and ₹30.55 crore for three projects in Gandhinagar.
Multi-storey office building gets largest allocation
Of the seven projects in Surat, the largest allocation of ₹350 crore has been approved for a modern multi-storey office building in the Majura-Khatodara area. The building will come up on Final Plots 234 and 235 of Town Planning Scheme No. 6. The project also includes operation and maintenance for up to five years.
Another ₹100 crore has been allocated for a conventional barrage on the Tapi River near Rundh-Bhada to meet water-related requirements, along with a flyover bridge on the river’s left bank.
The Centre has also approved ₹50 crore for a new hospital building at the SMIMER campus, with capacity for more than 600 patients, and an academic building featuring four lecture theatres that can accommodate over 300 students.
Funds for creek remodelling, flyovers and water supply
The remaining allocations include ₹15 crore for creek remodelling and restructuring, ₹16 crore for four-lane flyovers on both sides of the BRTS lanes at Ratnamala and Gajera junctions, and ₹20 crore for a new water distribution line in the Sachin-Kanakpur zone.
An additional ₹15 crore has been earmarked to provide a 24-hour water supply in Bhada and Laskana villages in the Varachha zone.
The funding is expected to accelerate the implementation of these projects, which cover administrative infrastructure, water management, healthcare, road connectivity and essential civic services. DeshGujarat
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