Updated January 19th, 2024 at 13:10 IST
Govt committed to revive BOT model for highway construction: Gadkari
Going forward, 53 BOT (Toll) Projects for a length of 5200 km worth Rs. 2.1 lakh crore have been identified and bids for 7 projects.
Reviving BOT model: The government is committed to reviving the Build-Operate-Transfer model and making it investment-friendly and attractive for private partnerships, the Minister of Road, Transport and Highway, Nitin Gadkari said on Wednesday.
“This will not only strengthen the road infrastructure but will have a ripple effect that will help to strengthen the economy, increase the employment potential, and reduce the logistic cost,” Gadkari said.
“At present, projects are being awarded on Engineering Procurement Construction (EPC) or Hybrid Annuity Mode (HAM) due to various challenges in the implementation of BOT Projects,” the government release said.
Many initiatives have been taken for the revival of BOT projects and various schemes like Harmonious Substitution, Time Fund Infusion, Rationalized Compensation, Premium Deferment, and allowing refinancing have been adopted in the past.
Going forward, 53 BOT (Toll) Projects for a length of 5200 km worth Rs. 2.1 lakh crore has been identified and bids for 7 projects with a Length of 387 km worth Rs 27,000 crore have been invited.
As per the Government of India’s ‘Vision 2047’ Plan, a large number of high-speed corridors are envisaged to be developed. Robust Public Private Partnerships in the development of the road sector will play a pivotal role in realizing this vision and will greatly contribute towards the development as well as operation & maintenance of a world-class national highway network in the country.
Published January 17th, 2024 at 21:26 IST