Government to Expedite Projects Under NHDP

The Government of India has taken several initiatives to expedite highway projects under the National Highway Development Project (NHDP). These are –

- NHAI Board has approved formation of a High Level Expert Settlement Advisory Committee for one time settlement of old cases pending in court.

- A new model of Engineering Procurement and Construction (EPC) contracts is being brought in. Highways which are not viable to be constructed under the BOT(toll) mode will be taken up under the new EPC mode. Under this modified turnkey EPC note, the Government will provide 100% funding.

- The Government has also decided to introduce passive Radio Frequency Identification (RFID) for electronic toll collection at the toll boards. This will remove bottlenecks at the toll booths and ensure seamless movement of traffic.

- NHAI has taken up award of select highway projects to the private sector under an Operate, Maintain, and Transfer (OMT) concession. Till recently the tasks of toll collection and highway maintenance were entrusted to tolling agents and sub contractors respectively.

- Under directive from NHAI most states have constituted high level committees under their Chief Secretaries for monitoring pre construction activities of NHAI projects. The NHAI regional officer is the Member Secretary.

- Substantial financial powers have been delegated to the regional officers of NHAI for facilitating speedy processing and approvals for acquisition of land.

Source : Equity Bulls

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