The much-delayed Peripheral Ring Road (PRR) project, first proposed more than two decades ago to decongest Bengaluru’s traffic, continues to remain stalled as Thursday’s conciliatory talks between Bangalore Development Authority (BDA) officials and landowners ended without any consensus.

Project stuck despite high stakes

The Rs 27,000-crore PRR project aims to build a 73.5-km, eight-lane corridor connecting Tumakuru Road to Hosur Road via Ballari Road, Hennur-Bagalur Road and Old Madras Road. Planned as a key alternative route to ease congestion on Bengaluru’s arterial roads, the project requires the acquisition of over 1,036 hectares (2,561 acres) of land.

Despite its importance, land acquisition hurdles have plagued the project for years. Multiple rounds of negotiations have been held with farmers and landowners, but disputes over compensation continue to block progress.

Four options proposed by BDA

  • At the meeting chaired by BDA chairman N.A. Haris on Thursday, officials outlined four compensation models, stressing the flexibility being offered to landowners:
  • Cash compensation: Farmers will be offered three times the guidance value in rural areas and twice the guidance value in urban areas. Officials clarified that market rates cannot be used, as guidance values are based on official sales statistics.
  • Transferable Development Rights (TDR): Farmers unwilling to accept cash can opt for TDRs worth twice the value of their acquired land, which can either be sold or utilised elsewhere.
  • Enhanced Floor Area Ratio (FAR): Landowners can claim higher FAR benefits on their remaining property, proportionate to the land acquired. This will allow them to construct larger buildings on other plots.
  • Land-to-land compensation: Touted by the BDA as the “best option”, this model follows the 60:40 rule, where farmers receive 40% of developed land back in BDA layouts. For example, losing one acre would entitle a farmer to around 9,583 sq. ft. of developed land.
  • Farmers yet to be convinced
  • While BDA pitched the proposals as unprecedentedly flexible, farmers remain unconvinced. They argue that the guidance value grossly underestimates the real market price of their land, and insist that compensation must reflect actual market rates.
  • Haris assured landowners that their concerns will be conveyed directly to Chief Minister Siddaramaiah and Deputy Chief Minister D.K. Shivakumar. A separate meeting between top state leaders and farmers is expected to be convened soon to break the deadlock.
  • Project remains in limbo
  • The PRR, first proposed in the early 2000s, was envisioned as a long-term solution to Bengaluru’s crippling traffic. With the city’s vehicle population crossing 1.3 crore and congestion costing the economy thousands of crore annually, the road is considered critical.
  • However, with compensation disagreements unresolved, the ambitious project remains in limbo. Each delay not only escalates costs but also prolongs the city’s wait for traffic relief.
  • Conclusion
  • As Bengaluru struggles with worsening congestion, the Peripheral Ring Road remains one of its most anticipated infrastructure projects. Yet, until landowners and the government agree on compensation, the city’s dream of an outer traffic corridor will stay stalled.