In a move that would boost the economy of Himachal Pradesh, the state Cabinet has given its nod to the Rs 142-crore road-widening project. The 72-km stretch from Kumarhatti to Nahan would be widened and strengthened under the World Bank-aided project, which would link the Kalka-Shimla road to the Paonta Sahib-Nahan road.
This would also improve movement between Shimla and Dehradun. North-based Som Datt Builders would execute the project.
Both the hill states of Uttarakhand and Himachal Pradesh have benefited by the special concession given to industry by the Centre.
Thousands of pharmaceutical units had migrated to the two states to avail the special concessions, including tax holiday for five years.
Sources told FE that this project is one of the many projects to be completed in the next five years. Under these projects, 435-km-long roads are to be upgraded and 2,000-km-long roads are to be maintained and strengthened. Being a hill state with a difficult terrain, Himachal Pradesh has poor rail network and air connectivity, making roads the lifelines of the state.
The state government has also tied up with Nabard, which has sanctioned 118 road projects worth Rs 180 crore for the state.