New takers for PPP model spell hope for road projects

According to Union Minister for Road Transport and Highways Nitin Gadkari, five investors have agreed to work on five projects based on PPP model.

Underscoring the achievements of MoRTH in the last one year, Gadkari on Thursday said, “When we took over  charge from the UPA government in 2014, the highway sector was facing a crisis of confidence and all the stakeholders were in complete disarray...But now investor confidence has revived. PPP model is picking up, private sector is evincing interest, which is a big achievement of Prime Minister Narendra Modi led government at centre,” adding, “We had terminated 44 projects after investors showed no interest in re-starting the projects.”

“We introduced engineering, procuring and construction (EPC) model in road projects to keep the construction work on. Invited banks to invest in projects which were 50 per cent complete and the results are in front of you. Banks are showing overwhelming interest in such projects. Apart from these investors have also started coming in hoards,” the minister said, adding, “I assure you that after the Narendra Modi government would complete its second year in office, there would be no closed project.”

Gadkari further added that to propel economic growth, the government has set an ambitious target of awarding highway projects worth Rs 3.5 lakh crore in next six months besides creation of 25 lakh jobs in the shipping. “Infrastructure plays a pivotal role in bolstering the economy. Finance Minister Arun Jaitley has requested us to jack up target and hence we have set a target to award Rs 3.5 lakh crore highway projects in next six months. It is a difficult work but we will try to accomplish it,” Gadkari said addressing a press conference here.