The government proposes to undertake projects based on financial viability under the Bharatmala programme with a goal of asset monetisation, reports The Economic Times. The ambitious Bharatmala programme will entail construction of 60,000 km of national highways across India.
According to an official with knowledge of the matter, the government will first be undertaking projects with high-traffic density and ability to be monetised immediately after construction to yield revenue. The plan aims to recycle assets faster.
“We want to see that projects are monetised as soon as they are ready, and the funds can be put into building more roads,” he said. Further, the centre will combine toll securitisation and toll-operate-transfer (TOT) to make debt sustainable.
The National Highway Authority of India (NHAI) has also been working on a policy on similar lines, a government official tells.
“We are working on a strategy…. We have a long list of projects in Bharatmala... We have to see, that stretches with high traffic density will be prioritised, and then (we can) take on other projects later on,” the official said.
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