road infrastructure development in india

7/24/2019 Road Infrastructure Development in India

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Road Infrastructure Developmentin India

- An Overview

Dr. K. Krishnamurthy Associate Professor

Department of Civil Engineering

National Institute of TechnologyCalicut



Introduction• Roads and transportation are the bedrock of the modern world and road transport is animportant sector of economic activity.

• They facilitate the trade and specialization of tasks that is fundamental to economicgrowth since the industrial revolution.

• The impact of road transportation is very significant in both developing and developedcountries also.

• Road transportation development helps to attain an efficient distribution of population,industry and income.

• 10% increase in the length of the highway network within a city causes about a 5%increase in the weight of the city's annual exports but no measurable increase in itsvalue.

• A 10% increase in highway miles causes about a 1.5% increase in employment over 20years.

• Roads and transportation also come at a high environmental cost. The transportationsector accounts for about one sixth of world carbon emissions

• Devising transportation policy to balance the economic benefits of roads against their economic and environmental cost is an important and formidable problem.

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Introduction (cont..)

3

GNP/Capita Vs Paved Roads in km/million inhabitants in 98Countries




4

GNP/Capita Vs Paved Roads in km/1000 sq km of land area in 98

Countries




5

Average Road Density in Low, Middle and High IncomeEconomies



Road Development Scenario in India• India has a road network of over 4.7 million kilometres in 2013, the second

largest road network in the world.

• At 0.66 km of roads per square kilometre of land, the quantitative density of India's road network is similar to that of the United States (0.65) and far higher than that of China (0.16) or Brazil (0.20).

• As of 2011, 54 percent – about 2.53 million kilometres – of Indian roads werepaved.

• More than 60% of freight and 90% of passenger traffic in the country is handledby road.

• Indian economy has been projected to accelerate its growth from the average of8.0 percent and the lower 12th plan annual growth at about 7.0 percent to 9.0percent subsequently upto 2031-32.

• To achieve this GDP, infrastructure investment rate would need to increase fromthe current 35 percent of GDP to about 42 percent in 2031-32.

• Total investment in transport is projected to increase from about 2.6 percentaverage in the 11th plan to 3.3 percent in the 12th plan and stabilising at 3.7

percent of GDP in the 13th, 14th and 15th plans (2017-32).

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Road Infrastructure in India

7

Roads *

(Total length: 4.87 million Kms

National Highways State Highways District and Rural Roads

Total length: 97,135 kms

Share: 2.0 percent of thetotal roads in India

Total length: 1,46,100 kms


Total length: 46,26,500 kms




Road Development in India 1951- 2011

8

Year Road Length in ‘000’s Kilometres

NH SH Other PWD

Roads

Panchayat

Raj Roads

JRY &

PMGSY

Roads

Urban

Roads

Project

Roads

Total

1951 19.81 0 173.7 206.4 0 0 0 399.94

1961 23.79 0 257.1 197.19 0 46.36 0 524.47

1971 23.83 56.76 276.83 354.53 0 72.12 130.89 914.97

1981 31.67 94.35 421.89 628.86 0 123.12 185.51 1485.52

1991 33.65 127.31 509.43 931.28 329.14 186.79 209.73 2327.36

1995 34.26 134.08 511.04 1063.79 886.07 204.57 225.48 3059.31

2000 52.01 132.79 730.68 1048.04 900.00 248.40 213.82 3325.76

2005 65.56 144.39 786.23 1299.46 966.97 286.70 259.81 3809.15

2006 66.59 148.09 803.69 1318.25 989.86 291.99 262.18 3880.652007 66.59 152.23 835.03 1372.86 1020.62 300.58 268.50 4016.40

2008 66.75 154.52 863.24 1388.75 1061.80 304.32 270.18 4109.59

2009 70.54 158.49 962.88 1514.95 1114.21 373.80 276.61 4471.51

2010 70.93 160.17 977.41 1518.20 1174.33 402.44 278.93 4582.43

2011 70.93 163.89 1005.32 1530.36 1219.43 411.84 288.53 4690.34



Road Length in India 1951-2011

9

399.94 524.47

914.97

1485.52

2327.36

3059.31

3325.76

3809.153880.65

4016.44109.59

4471.51 4582.43

4690.34

0

500

1000

1500

2000

2500

3000

3500

4000

4500

5000

1951 1961 1971 1981 1991 1995 2000 2005 2006 2007 2008 2009 2010 2011

T o t a l R

o a d L e n g t h i n ' 0 0 0 ' k m s

Year



Road Development in India 1951-2011

10

0

200

400

600

800

1000

1200

1400

1600

1800

19511961197119811991199520002005200620072008200920102011

R o a d L e n g t h i n ' 0

0 0 ' K m s

Year

National Highways

State Highways

Other PWD Roads

Panchayat Raj Roads

JRY & PMGSY Roads

Urban Roads

Project Roads



Road Development Targets

• The length of National Highways is expected to grow from 92,850kms in 2013-14 to 100,000 kms by the end of 2017.

• India has completed 100 Public Private Partnership projects and165 are ongoing as of March, 2014.

• The type of Public Private Partnership modules used in the highwaysector are Build Operate Transfer (BOT) toll and BOT annuity.

• During the next five years, investment through Public PrivatePartnerships are expected to be in the region of USD 31 Billion for national highways.

• The National Highway Authority of India (NHAI) and the Ministry of Road Transport & Highways had sanctioned projects for 3,700 kmsin 2013-14.

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Statewise NH Density

12



Statewise NH Density (cont..)

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National Highways Development Project(NHDP)

• The National HighwaysDevelopment Project is aproject to upgrade, rehabilitateand widen major highways inIndia to a higher standard.

• The project was implemented in1998 under the leadership of AtalBihari Vajpayee.

• This project is managed by the

National Highways Authority of India (NHAI) under the Ministry of Road Transport and Highways.

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Projects under NHDP in Different Phases

15

Phase Scheme Project Roads

I Golden Quadri lateral Connecting four major cities, Delhi, Mumbai, Chennai and Kolkata (5846

km)

II National Highways connecting

four extreme points of the

country

North-South and East-West Corridors (7300 km)

NS ( Srinagar in the north to Kanyakumari in the south)

EW ( Slichar in the east to Porbhandar in the west)

III Upgrading the existing

national highways

Upgrading the 12, 109 km national highways on a BOT basis

IV Widening of national

Highways

Widening 20,000 km (12,000 mi) of highway that were not part of Phase I,

II, or III. Phase IV to convert existing single lane highways into two lanes

with paved shoulders

V Upgraded/expanded to six

lanes.

The current plan calls for upgrade of about 5,000 km (3,100 mi) of four-lane

roads.

VI Expressways To connect major commercial and industrial townships. It has already

identified 400 km (250 mi) of Vadodara -Mumbai section that would

connect to the existing Vadodara (earlier Baroda)-Ahmedabad section. The334 km (208 mi) Expressway between Chennai- Bangalore and 277 km

(172 mi) Expressway between Kolkata- Dhanbad

VII Improvements to city road

networks

This phase calls for improvements to city road networks by adding ring

roads to enable easier connectivity with national highways to important

cities. The 19 km (12 mi) long Chennai- Maduravoyal Elevated

Expressway is being executed under this phase.



National Highways Development Project at a glance

16

NHDP Phase Particulars LengthIndicative cost ( in

cr)

NHDP-I & IIBalance work of GQ

and EW-NS corridors13,000 km (8,100 mi) 42,000

NHDP-III 4-laning 10,000 km (6,200 mi) 55,000

NHDP-IV 2-laning 20,000 km (12,000 mi) 25,000

NHDP-V6-laning of selected

stretches5,000 km (3,100 mi) 17,500

NHDP-VIDevelopment of

expressways1,000 km (620 mi) 15,000

NHDP-VII

Ring Roads,Bypasses, Grade

Separators, Service

Roads etc.

700 km (430 mi) 15,000

Total 45,000 km (28,000 mi)1,69,500 (Revised to

2,20,000)



Timeline of the National Highways Development Project

17

Priority NHDP Phase Length (km) Status Approval Completion

1 Phase I 5,846 km (3,633 mi) Fully complete December 2000 December 2006

2 Phase II 7,300 km (4,500 mi) Award in progress December 2003 December 2009

3 Phase III A 4,000 km (2,500 mi) Already identified March 2005 December 2009

4 Phase V 6,500 km (4,000 mi)5700 km of GQ + 800 km

to be identifiedNovember 2005 December 2012

5 Phase III B 6,000 km (3,700 mi) Already identified March 2006 December 2012

6 Phase VII A 700 km (430 mi) Ring roads to be identifiedDecember 2006 December 2012

7 Phase IV A 5,000 km (3,100 mi) To be identified December 2006 December 2012

8 Phase VII B Ring roads to be identified December 2007 December 2013

9 Phase IV B 5,000 km (3,100 mi) To be identified December 2007 December 2013

10 Phase VI A 400 km (250 mi) Already identified December 2007 December 2014

11 Phase VII C Ring roads to be identified December 2008 December 2014

12 Phase IV C 5,000 km (3,100 mi) To be identified December 2008 December 2014

13 Phase VI B 600 km (370 mi) To be identified December 2008 December 2015

14 Phase IV D 5,000 km (3,100 mi) To be identified December 2009 December 2015



Prime Minister Gram Sadak Yojana (PMGSY) -I• Launched on 25th December 2000 as a fully

funded Centrally Sponsored Scheme to provideall weather road connectivity in rural areas of thecountry.

• It aims to Provide all-weather road connectivity toall the habitations with population 500 or more.

• For Hill states, Tribal and Desert areas minimum

population limit is 250 persons.• Up gradation of existing Through Routes and

MRLs.

• 100 % financing by central government.

• Maintenance by states.

• Dedicated implementing machinery at state anddistrict level.

• Strong quality assurance mechanism.

• Online monitoring, management and accountingsystem (OMMAS)

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Prime Minister Gram Sadak Yojana (PMGSY)-II

19

OBJECTIVES OF PMGSY II

• Planned to carryout the works from 2012over a period of 16 years.

• PMGSY II envisages consolidation of the

existing Rural Road Network to improve itsoverall efficiency.

• Up-gradation of existing key rural roads.

• Development of Growth centres and Ruralhubs are critical to the overall strategy inpoverty alleviation

• Strengthening of Rural Roads MaintenanceManagement System (RRMMS).



Special Features of PMGSY-II

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Commitment of State for improvement of MDR when arural road meets

Application of ESMF

Traffic safety audit

Institutionalized second-tier quality control mechanism

Batch maintenance of Through Routes and 50% of LinkRoads

Strengthening of institutions like NRRDA, SRRDA,PTA/STAs

R&D and use of locally available material

Fully online monitoring mechanism

100% e-procurement and e-payments

Audit for maintenance fund account



Major Differences of PMGSY-I and PMGST-II

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Core Network is the basis for selection ofroads for PMGSY-I while DRRP is thebasis for PMGSY-II.

Priority for New Connectivity in PMGSY-I,whereas in PMGSY-II, only up-gradation isenvisaged.

PMGSY-I is 100% Centrally fundedprogramme while PMGSY-II is on cost-

sharing basis between Centre and theStates/UTs.



Road Sector Development Policy• Road infrastructure is a key government priority – the sector has

received strong budgetary support over the years.

• Standardised processes for PPP projects - a clear policy frameworkrelating to bidding and tolling.

• A regulatory authority is being constituted for the road sector.

• Environmental clearance is de-linked from forest clearance.

• An entity exclusively for the development of roads in the North-easternregion and border areas is being created under MoRT&H.

• The Prime Minister’s Gram Sadak Yojana (PMGSY) and Constructionof Rural Road Project (CRRP) focuses on the development of rural

roads.

• The Central Road Fund assists the State Government and UnionTerritories in the development of state roads.

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Provisions in 2014-15 Union Budget

• INR 378.8 Billion has been allocated towards the proposed investment inthe National Highways Authority of India and state roads which includesINR 30 Billion for the North-east.

• INR 143.89 Billion has been allocated towards the Pradhan Mantri GramSadak Yojana.

• INR 5 Billion has been allocated to set up an institution to providesupport to mainstreaming Public Private Partnerships in India called 3PIndia.

• It is clarified that road construction machinery imported duty-free can besold within 5 years of import, subject to the payment of customs duty ondepreciated value and that individual constituents of the consortium

whose names appear in the contract can import goods without paymentof duty.

• The requirement of certification by the Ministry of Road Transport foravailing customs duty exemptions on specified goods required for theconstruction of roads is to be done away with.

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Provisions in 2014-15 Union Budget (cont..)

• Plants and equipment imported prior to 2008 for use in projects financedby the UN or an international organization, which hitherto could not betransferred/sold/re-exported out of the project site, are now permitted tobe transferred/sold/re-exported from the project site.

• The FFI (Foreign Institutional Investors) investment limit in infrastructure

corporate bonds was raised from USD 5 Billion to USD 25 Billion.• Companies enjoy 100% tax exemption in road projects for 5 years and30% relief for the next five years.

• Capital gains of up to 40% of the total project cost to enhance viability.

• Financial institutions have received government approval to issue tax-free bonds for a total value of USD 9.2 Billion in 2014-15.

• The India Infrastructure Finance Company (IIFC) is to provide long-termfunding for infrastructure projects.

• Interest payments on borrowings for infrastructure are now subject to alower withholding tax of 5%.

• Infrastructure Debt Fund income is exempt from income tax.

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Projected Investment Plan

25



Foreign Investors

• Jiangsu (China)

• PLUS Expressway Bcrhad Consortium (Malaysia)

• Hyundai Engineering Construction Company Ltd. (Korea)

• Isolux (Spain)

• Yongma Engineering Company Ltd. (Korea)

• Apollo, JLI & LOR (UK)

• OJSC Consortium, SIBMOST (Russia)

• GALFAR Consortium (UAE)

• Zignego Company Inc. (USA)

• Galfar Engineering and Contracting, SAOG (Oman)

• ITD (Thailand)

26



Agencies for Road Development

• The National Highway Authority of India

• The Indian Roads Congress• The Central Road Research Institute

27



Road Development in Top 10 Countries

28

CountryTotal Road

(km)

Expressways

(km)Year

1 United States 6,586,610 77,017 2013

2 India 4,865,000 1,324 2014

3 China 4,460,000 111,950 2014

4 Brazil 1,751,868 11,000 2013

5 Russia 1,396,000 929 2014

6 Japan 1,215,000 8,050 2012

7 Canada 1,042,300 6,350 20138 France 1,028,446 11,882 2013

9 Australia 823,217 3,132 2011

10 South Africa 747,014 1400 2014



Per Capita GNI of Top 10 Countries Based on Road Length

29

Sl.No Country

Per capita GNI in US Dollars

2012 2013 2014

1

United

States 52540 54070 55200

2 India 1530 1560 1610

3 China 5870 6740 7380

4 Brazil 12390 12550 11760

5 Russia 12730 13810 13210

6 Japan 47830 46330 42600

7 Canada 51020 52570 51690

8 France 43180 43550 43080

9 Australia 59760 65410 64680

10 South Africa 7640 7410 6800

11 Pakistan 1250 1360 1410

2016 Fiscal Year Economic Category using

World Bank Atlas Method

Economic

Category

GNI Per Capita

in US Dollars

(2014)

No of

Countries

Low-income

economies

$1045 or less 35

Lower-

middle-

income

economies

$1046-$4125 56

Upper-

middle-

income

economies

$4126- $12736 54

High-income

economies

$12736 or more 39



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“…IT IS NOT WEALTH THAT BUILT THE ROADSBUT,ROADS THAT BUILT OUR WEALTH”

-John F. Kennedy



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road infrastructure development in india

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