Ongoing Efforts to Boost Public-Private Partnership
The Government of India has announced its continuous efforts to enhance the public-private partnership in the highway and infrastructure sectors across the country. India is witnessing significant private sector financing through public-private partnership projects, and the central government is actively working to create an environment conducive to channeling this financing.
Efforts to Fill Gaps in the Highway and Infrastructure Sector
The Centre has undertaken considerable efforts to address the shortcomings in the highway and infrastructure sector, which is a priority area for the government. In this year's budget, the government declared the establishment of a regulatory body, with work already underway. Issues such as debt management, institutional strengthening, project restructuring, and revision of the Model Concession Agreement (MCA) are being reviewed and updated regularly.
Development of Road Network
The government is committed to the development of the road network, with plans to create one of the world's most extensive national highway networks through various phases of development projects. Additionally, there are plans to construct greenfield expressways in the near future. The government is also formulating suitable maintenance plans, taking into account the budget and demand, which will impact long-term PPP projects.
Reduced Project Award Targets
Following a disappointing performance, the Road Transport and Highways Ministry has reduced its project award target by nearly half to 5,500 km in this financial year, compared to a target of 9,500 km in 2012-13.
Upgrading Existing Highways
Concurrently, the government is planning to add more lanes to existing highways and upgrade current roads to minimize the greenhouse effect.