With budget speech Emphasizing on infrastructure development for economic growth and job creation, the Ministry of Road Transport and Highways saw a 68% increase in the budgetary allocation for the next fiscal.
The ministry has been allocated Rs 1,99,107.71 crore for the financial year 2022-2023, as against Rs 1,18,101 crore in last year’s budget estimate.
A major chunk of the additional ₹81,000 crore given to the ministry this year has been earmarked for investment in the National Highways Authority of India (NHAI), a 133% increase in its allocation (₹76,665 crore) to ₹1,34,015 crore Is.
Finance Minister Nirmala Sitharaman has set a target of expanding the national highway network in the country to 25,000 km in 2022-2023 from 12,000 km for the financial year 2022. But this does not mean doubling the annual target for national highways.
“The 25,000-km target includes augmentation and development of the existing roads network,” said Giridhar Armane, secretary, ministry of road transport and highways. Hindu, He said port connectivity and the World Bank’s Greenfield Highways program are some other components.
The senior official said the total expenditure for the roads is Rs 2,54,108 crore. In addition to budgetary support, the required funds will come from private sector investments.
According to the Finance Minister, Rs 20,000 crore will be raised through “innovative methods of financing to supplement public resources”. Infrastructure Investment Trust (InvIT), securitization and “green highways” could be some of these constructive mechanisms, Mr Armane explained, adding that the ministry will explore green bonds to finance highways. NHAI recently raised Rs 8,000 crore through its first InvIT in November.
Ms Sitharaman identified the PM Gati Shakti program as the top priority for the government out of a total of four priorities, including inclusive growth, productivity enhancement and investment funding. Announced in October 2021, the program envisages a digital platform with national masterplans of various infrastructure ministries for integrated planning and implementation of infrastructure connectivity projects to 16 ministries including railways, roadways, shipping and aviation as well as states Is.
“The touchstone of the master plan will be world-class modern infrastructure and logistical synergy between various modes of movement – both people and goods – and the location of projects. This will help increase productivity and accelerate economic growth and development,” said the Finance Minister. said.
“PM Gati Shakti Master Plan for Expressways” will be prepared in 2022-23 to facilitate faster movement of people and goods. Hundred cargo terminals will also be facilitated under the program during the next three years.
To improve connectivity in hilly areas, a National Ropeway Development Program will be launched on public-private-partnership mode, under which eight ropeway projects for a length of 60 km will be awarded in 2022-23. The FM said that ropeways can also cover “congested urban areas where conventional mass transport system is not possible”.
Contracts for four Multi-Modal Logistics Parks (MMLPs) at Nagpur, Chennai, Bengaluru and Indore will also be awarded in 2022-23. In 2017, the Union Cabinet approved 35 MMLPs for the country. The FM said that 1 lakh crore is being allocated to assist states to catalyze overall investment in the economy and use it for projects related to PM Gati Shakti, funds for PM Gram Sadak Yojana and other productive capital investments. Will be done. State.
,