Speaking to The Financial Express, secretary, ministry of surface transport, R Vasudevan said that the broad contours of the Road Board proposal are being debated within the ministry and are likely to be clear in another two to three months.

According to Vasudevan, the idea has yet to crystallise. "Issues like functions of the board--whether it will be a total regulatory authority with powers of traffic management, highway patrolling and ribbon development activity or another authority will administer financing and rehabilitation functions-are yet to be decided," he said.

The creation of Road Board is one of options being considered foradministering a dedicated road fund.

The government is planning to amend the National Highways Act 1956 for creating a dedicated road fund which does not lapse.

The amendment will be placed in Parliament during the current session when the House meets again after a recess. The ministry of surface transport is hoping to get the amendment passed in this session itself.

The money from diesel and petrol cess will accrue to the dedicated fund but pending creation of such a fund, it will be go into a public account. There is likely to be a tussle for administering the dedicated fund.

An important issue being raised is the role of the National Highways Authority of India (NHAI) in case a Road Board is created.

NHAI was established by an Act of Parliament in 1988 as an autonomous body. Initially it was entrusted with the function of implementing foreign-aided projects and also privatisation policy.

Now, with all the important highway projects under its fold, including the six-laning of the GoldenQuadrilateral and the Prime Minister's north-south east-west corridor, NHAI has been trying to get the cess money under its control. At present, funds for NHAI projects are routed through the ministry of surface transport.

The ministry's road wing is left with smaller projects which it implements through the state public works departments.