‘Govt to award 100 highway projects on PPP next year’

After a rough patch, highways building through PPP mode is set to take a leap with government planning to launch 100 such projects next year, Union Minister Nitin Gadkari said on Tuesday.

Asking investors to change their perception about pubic-private-partnership (PPP), the Road Transport and Highways Minister said all problems pertaining to the mode have been addressed and this year seven projects worth Rs 11,500 crore have already been awarded in contrast to a nil last year.

“The government will award 100 projects on PPP mode next year. Under the hybrid model, we will give you on platter projects with land acquisition and environment clearances. Forty per cent cost will be borne by us while 60 per cent will be funded by you. Of the 60 per cent banks will provide 30 per cent of the requirement,” Gadkari said at India PPP summit by FICCI.

He said investors need not worry at all and just “change their perception about PPP” as in the present hybrid model even the toll collection will be done by the government adding PPP has received good response this year. The minister said the government was planning to float tenders for about 18 projects by December.

He said 95 per cent problems pertaining to PPP projects have been addressed and of the 283 projects, 44 were terminated. About Delhi-Jaipur Highway, he said the Rs 1,700 crore project will be completed by December as 85 per cent of the long-delayed project is completed while problems related to Delhi-Haridwar and Ranchi-Jamshedpur highways were being addressed.