For easing traffic in Bengaluru, the Karnataka Cabinet on Thursday approved the long-pending 117-km Bengaluru Business Corridor (BBC), formerly known as the Peripheral Ring Road (PRR), to connect the Electronic City with Tumakuru Road and Mysuru Road. It will be a tolled corridor.
Briefing the media after the Cabinet meeting, Deputy Chief Minister D.K. Shivakumar said the corridor would be completed in two years. Earlier, the estimated cost was ₹27,000 crore, but it would be reduced to ₹17,000 crore by giving four options of compensation to land losers. The Bengaluru Development Authority (BDA) would develop the BBC. The HUDCO has decided to lend to the project.
Much-delayed
The corridor, which was earlier planned in 2007, has had its implementation delayed owing to several reasons, including land acquisition cost.
Mr. Shivakumar said that the government has offered to farmers or land losers five options: compensation in cash, Transferable Development Rights (TDR), utilisation of Floor Area Ratio (FAR) on their remaining land, residential plots nearby BDA layouts , and developed commercial land (35% of land) in the corridor.
The BBC will become a landmark project that transforms connectivity, drives investment, and shapes the city’s next phase of growth.
Earlier, it was to be a 100-m road. But now, the road would be 65 m wide. To reduce the burden of compensation, it was decided to give 35 m of developed land near the road to farmers for commercial purposes. The compensation in cash would be given to those who lose less than 20 guntas of land, he said.
Two times guidance value
The compensation will be two times the guidance value in the corridor’s stretches passing through urban areas and three times the value in rural areas. The other compensation schemes include granting additional FAR for those losing the land or issuing “TDR as per BBMP” (now GBA) norms, he said.
Those who are seeking a residential site, he said the site would be given in one of the BDA-developed layouts.
Apart from bringing down the overall cost of the project, most of which is required for land acquisition, the new compensation measures for land losers are expected to speed up the project, which has been in limbo for almost two decades.
As many as 1,900 families will be affected by the land acquisition for the project, first notified by the government in 2007. Also, space is provided at the centre for the construction of a metro line in the future, Mr. Shivakumar said.
To further ease traffic movement, tunnels and a cloverleaf interchange would be constructed at a few points by the BDA. Mr. Shivakumar estimated that a reduction of about 40% of the traffic entering the city would occur once the corridor is constructed.
Published – October 16, 2025 09:31 pm IST
