Shimla twin tunnel: HC pauses work and seeks NHAI reply on ₹600 crore

By Rahul Goyal · 30 Oct, 2026

On 29 Oct 2026, the Himachal Pradesh High Court paused Sanjauli twin-tunnel work and sought NHAI's reply on the abandoned surface route and about ₹600 crore in compensation.

Shimla twin tunnel: HC pauses work and seeks NHAI reply on ₹600 crore

On 29 Oct 2026, the Himachal Pradesh High Court directed the National Highways Authority of India (NHAI) not to undertake further construction on the twin-tube tunnel near Chalauthi, Sanjauli and Bhatta Kuffar under Package No. 2 of the Shimla bypass. The court also sought an explanation for replacing the earlier surface-highway plan after about ₹600 crore had been paid as land-acquisition compensation, a development that matters to residents and anyone planning to drive through Shimla because the project's safety review and next steps remain unsettled.

Key takeaways

The High Court has told NHAI not to carry out further work on the Sanjauli twin-tunnel section while safety concerns are being examined.
NHAI's counsel said tunnelling work had already been suspended on 18 Sep 2026 and would not resume until an IIT Roorkee expert review and protective measures were completed.
The court wants NHAI to explain why the original surface alignment was abandoned after around ₹600 crore was paid in compensation; the court has not ordered that the old route be restored.
The next hearing is listed for 17 Nov 2026. The reports reviewed do not announce a new toll, FASTag rule, fuel-price change or general closure of NH-5 for ordinary traffic.

What the High Court has asked NHAI to explain

The hearing followed a petition by Sanjauli residents who alleged that excavation and tunnelling had damaged homes above the alignment. Reports published on 29 Oct 2026 say Justice Sandeep Sharma issued notices to the Union government, the Himachal Pradesh government, NHAI and the Shimla Deputy Commissioner, asking them to file replies within two weeks.

The central question is why the original plan for a surface highway through Chhakrail, Bhatta Kuffar and Dhalli was replaced by a twin-tube tunnel after land had been acquired and compensation had been distributed. The court also asked who should bear responsibility for the approximately ₹600 crore expenditure. That is a question raised in the ongoing case, not a final finding that the money was wrongly spent.

There is a small but important difference in how the latest reports describe the direction. The Tribune reported that the court directed NHAI not to undertake further construction because of the risk to nearby houses. The ANI account carried by Devdiscourse said the court refrained from passing a separate formal injunction after NHAI assured it that tunnelling would remain suspended until the IIT Roorkee report. In practical terms, both accounts point to the same immediate position: work is not expected to resume before the safety review and the next stage of the case.

What the project record shows

NHAI's own implementation-status document dated 1 Mar 2025 listed Package II as the four-laning of the Shakral Village–Dhalli section of NH-5 from km 146.300 to km 156.560, along with 0.725 km of Shimla connectivity. The listed package length was 10.985 km. That document records the highway project as it stood at that time; it does not settle the later design change or the court's current safety concerns.

The news reports on the hearing say land acquisition for the earlier surface route had displaced around 88 families. They also report residents' allegations that cracks appeared in buildings above the tunnel alignment and that some structures were later considered unsafe. Those allegations should not be treated as a final technical conclusion: the Indian Express had earlier reported that NHAI and the district administration said the precise cause of the cracks had not yet been established. The current court process is therefore about both resident protection and accountability while the technical review continues.

What this means for drivers heading to Shimla

For most motorists, the immediate effect is uncertainty around a construction project rather than a change in the amount paid at a toll plaza. The court proceedings do not create a new FASTag charge, alter a national toll rule or set a revised petrol or diesel price. The reports reviewed also do not announce a blanket closure of NH-5 for through traffic.

Drivers approaching Sanjauli, Chalauthi or Bhatta Kuffar should still check local traffic instructions before departure. Construction restrictions, inspections or access controls can change the time taken on the approach even when through traffic remains open. A planned route is especially useful for hill journeys, where a short diversion can add more time than the map distance suggests. Use the road-trip planner to compare the route before leaving.

If an alternative route increases the distance, the fuel cost calculator can help estimate the extra running cost using the vehicle's mileage and the journey distance. It is better to keep that estimate separate from the news itself because no verified diversion length or travel-time figure has been announced in the court reports.

For the latest pump-rate input before a trip, check the live fuel prices separately. The High Court development does not provide a basis for publishing a new fuel or toll figure.

What happens next

NHAI and the other notified authorities are expected to respond within two weeks. NHAI's position, as recorded in the hearing reports, is that work will remain suspended until IIT Roorkee completes its examination of the construction records and adequate steps are identified to protect nearby homes. The next hearing on 17 Nov 2026 should clarify whether the court requires more technical material, further safeguards or a fuller explanation of the change from a surface route to tunnels.

Until then, the practical takeaway for road users is limited but important: there is no confirmed new toll or fuel rule to act on, while the Sanjauli construction situation remains subject to a live safety and judicial review. Anyone travelling through the affected Shimla approaches should allow time for local instructions and recheck the route on the day of travel.