Gujarat Unveils ₹547-Cr Redevelopment Plan for AI171 Crash Site
One Year After Air India Disaster, State to Build Hospitals, Hostels and Research Facilities
- Gujarat announces ₹547 crore redevelopment of AI171 crash-hit campus.
- New spine hospital, rehabilitation centre and physiotherapy college planned.
- Damaged hostels and mess buildings to be demolished and rebuilt.
- Project aims to transform tragedy site into a healthcare and education hub.
GG News Bureau
Gandhinagar, 12th June: One year after the devastating Air India AI171 crash claimed 260 lives, the Gujarat government has announced an ambitious ₹547-crore redevelopment plan to transform the affected campus into a major healthcare, medical education and research hub.
Paying tribute to the victims of the June 12, 2025 tragedy, Gujarat Health Minister Praful Panseria said the state was committed to converting the scars of the disaster into a symbol of growth and hope.
“The site will be transformed into a sanctuary of health and education that will usher in a new era in healthcare and inspire future generations of medical students,” Panseria said.
The redevelopment project will be undertaken at the New Mental Campus, located adjacent to Ahmedabad’s Asarwa Civil Hospital and spread across nearly 1.71 lakh square metres.
Before the crash, the campus housed teaching and non-teaching staff quarters, undergraduate and postgraduate hostels, a canteen and other residential facilities.
The tragedy occurred when Air India flight AI171 crashed into the campus shortly after take-off, striking the canteen building and hostel blocks. The accident killed 260 people, including passengers, crew and individuals on the ground, making it one of India’s deadliest aviation disasters.
Four blocks of the married postgraduate hostel, housing 92 students and their families, suffered extensive damage. Following the incident, authorities arranged temporary accommodation and catering facilities for affected students.
According to government plans, all structures damaged in the crash will be demolished and the land repurposed for new healthcare infrastructure.
The first phase of redevelopment will focus on approximately 25,000 square metres of land at the crash site. The area will house a Paraplegia and Spine Hospital, a rehabilitation centre, a physiotherapy college and a hostel accommodating 500 students.
The state budget has earmarked ₹175 crore for the rehabilitation centre, physiotherapy college and student hostel, while another ₹120 crore has been allocated for the proposed Paraplegia and Spine Hospital. Together, these projects account for ₹295 crore of the total investment.
The redevelopment blueprint also includes rebuilding and expanding student housing facilities. New married postgraduate hostels comprising 510 residential units across eight blocks are planned near the existing Sopanam Hostel complex. The estimated cost of this project is ₹192 crore.
In addition, the government plans to establish a state-of-the-art Food and Drugs Laboratory within the campus. The facility will occupy around 3,100 square metres and will be modelled on the National Accreditation Board for Testing and Calibration Laboratories (NABL)-approved laboratory in Vadodara.
The laboratory project carries an estimated cost of ₹50 crore, with ₹28.31 crore already allocated in the 2025-26 budget.
Officials said the revamped campus will emerge as one of Gujarat’s premier centres for healthcare, rehabilitation, medical education and research, providing advanced facilities for students, healthcare professionals and patients.
The redevelopment initiative comes as investigations into the AI171 crash continue, with authorities yet to release a final report on the causes of the disaster.
