Govt to realise targeted pace of road building in two years

By: | Published: November 5, 2014 10:26 PM

The government has also set a target of awarding road projects of 8500 kilometres by March 2015.

The Narendra Modi government has promised it will meet the targeted pace of building 30 kms of road a day within two years by removing the bottlenecks in approvals and by putting in place a hassle free environment for project implementation. Now roads are constructed at a pace of about three kilometres a day.

Road Transport and Shipping Minister Nitin Gadkari said at the World Economic Forum summit here that the government is working on solving glitches in land acquisition and on reducing the cost of capital to make investments into roads and highways more viable. The minister said he has written to the finance minister and the Prime Minister on the need for lowering the cost of capital.

Within five months of coming to power, the new government has awarded road projects for 3419 kilometres and has resolved project disputes involving construction of 2384 kms. Unviable projects for constructing 4000 kilometres got cancelled.

The government has also set a target of awarding road projects of 8500 kilometres by March 2015.

The minister’s assurance comes in the wake of the special interest Prime Minister Narendra Modi has taken in clearing stuck road projects.
Gadkari admitted that land acquisition and environment clearances remain a big hurdle in project execution.

The government is already working on removing the bottlenecks in road projects by changing rules including those relating to environment clearances and compensation for the land acquired for the purpose.

According to sources, many road projects got delayed because land owners demanded enhanced compensation.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition