Road Infrastructure.. ► Current Status ► Gaps ► Challenges ► Govt. Initiatives ► Investment Required.

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Presentation transcript:

Road Infrastructure.

► Current Status ► Gaps ► Challenges ► Govt. Initiatives ► Investment Required

Total Road Length TypeMn. KMs%Traffic Carried National Highways %40% State Highways %40% District Roads % Rural Roads % Total3.321

Current Status IndiaWorld Average Road density per 1000 population 2.83 KMs 6.7 KMs Road density per 1000 Sq KMs 770 KMs840 KMs ► Growth rate of Roads :  : CAGR 3.77 % whereas freight increased y 9.6% CAGR ► Avg. KMs covered by trucks per day  India : Developed Countries : 700 – 800

National Highway Development Program KMs I4 laning Golden Quadrilateral + port connectivity = Others 7,498 Budgetary allocation, WB, ADB, JBIC Loans; Pvt Participation for Some portion in Phase II IINorth South & East west Corridor + port connectivity 6,647 III4 Laning12,109Mostly by Pvt Sector IV2 laning with Paved shoulders20,000Mostly by Pvt Sector V6 laning6,500Mostly by Pvt Sector VIExpress Highways1,000Mostly by Pvt Sector VIIRing Road Flyovers etc700Mostly by Pvt Sector Total54,454Estimated cost Rs 3,00,000 cr.

NHDP Progress ( ) ► Completed : 14,250 KMs ► Work in progress : 9,030 KMs ► To be awarded : 25,549 KMs ► Total: 48,829 KMs

Financing NHDP ► Budgetary allocation ► Central Road Fund ( cess on Fuel) ► International Institutions  World Bank, ADB, JBIC ► Private Financing  DBFOT ( Toll), BOT (Annuity) ► JV : Pvt and Govt. ► Market Borrowings

KMsCost Rs.Cr.Negative Grant Delhi Gurgaon28710Rs Cr. 61 ( -ve grant) Ambala - Zirakpur36298Rs. Cr. 106 ( -ve Grant) Vadodara - Bharuch83660Rs. Cr. 471 (-ve grant) Surat - Dahisar % revenue share Chennai - Tada % revenue share Gurgaon - Jaipur % revenue share Mumbai-Pune Super Express Highway 90IRB Road Builders paid Rs 918 Cr upfront to MSRDC, spent Rs 300 Cr for upgradation with concession period of 17 years with payback period of 17 years. Mumbai Pune National Highway 110

NH policy initiatives ► 100% FDI ► Maximum 40% grant under Viability Gap Funding scheme ► 100% tax exemption for 10years out of first 20 years ► Toll rates to increase with WPI ► Duty free import of equipments for Highway construction, Relaxations under excise duty, service tax, VAT, central Sales taxes also ► Govt Support for Land Acqusition, Rehabilitation and Resettlement ► MCA for BOT ( Annuity) and OMT ► Revenue risk to be shared with NHAI

RoadsCoordinating Agency ExpresswaysMoRTH, NHAI & St Road Dev Corp. National HighwaysMoRTH, NHAI, BRO State HighwaysState PWDs Major District RoadsState PWDs Rural & other RoadsMinistry of Rural Dev. Project RoadsState PWDs Urban RoadsZilla Parishad, State Govts.

Issues ► Land Acquisition ► Claims / arbitrations : Third Party regulatory agency ?? ► Generating Funds for projects not attractive for Private participation : Separate Fund ?? ► Appropriate Risk sharing / Concession agreement

Prime Minister’s Gramin Sadak Yojana (2000)  Connecting 170,000 habitations with 365,000 KMs of Roads at cost of Rs 2500 Bn ( at 2010 cost)  As of May 2010 – KMS roads connecting 283,787 habitations have been completed.

Special Area Road Development Program – North East ► Develop 9940 KMs comprising 5184 NH & 4756 KMs state Roads to be completed by 2015 ► 776 KMs on BOT ( Anuity) and others on EPC