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Telangana rolls out Rs 12k crore road development plan

Telangana rolls out Rs 12k crore road development plan

Time of India2 days ago
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Hyderabad: Deputy chief minister Bhatti Vikramarka and roads and buildings minister Komatireddy Venkat Reddy on Tuesday said that the Congress govt will soon invite tenders for the first phase of road development.
The R&B department will take up 5,190 km of road work at a cost of Rs 6,478 crore, while the panchayat and rural development department will develop another 7,947 km of rural roads at a cost of Rs 6,000 crore.
All these roads would be laid under the Hybrid Annuity Model (HAM), a blend of the Engineering, Procurement and Construction (EPC) and Build, Operate, Transfer (BOT) models. Under HAM, 40% of the work follows the EPC model and 60% is BOT-Annuity based.
The National Highway Authority of India (NHAI) has already awarded about 30 highway projects under this model.
Addressing a roadshow on HAM at the National Academy of Construction (NAC) here on Tuesday, Bhatti and Komatireddy Venkat Reddy said the govt's vision is to link every village to its mandal headquarters, every mandal to the district headquarters, and every district to Hyderabad through modern, all-weather roads.
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Another 6,810 km of road works will be tendered by Dec this year. The plan includes four-lane roads from district centres to Hyderabad, two-lane roads from mandals to district headquarters, and upgradation of rural roads, including converting mud roads into bitumen-surfaced ones.
Explaining the benefits of HAM, Komatireddy Venkat Reddy said the model combines the strengths of EPC and BOT, with the govt funding 40% of the project cost in 10 instalments, while contractors invest the remaining 60%, to be repaid based on performance with inflation-linked adjustments.
The model ensures low risk for investors, steady income, and 15 years of assured maintenance, resulting in durable, pothole-free and safer roads.
Bhatti said roads are symbols of civilisation. "With road development, goods produced in remote areas can be transported anywhere with ease, industries will grow, thereby creating employment and income for the youth of the state," he said.
The deputy chief minister, who also holds the finance portfolio, said the govt is aware of the contractors' problems.
He alleged that the previous BRS govt had entered into agreements for development works worth ₹1.75 lakh crore and issued tokens for works worth ₹45,000 crore, but failed to clear those dues, leaving behind a financial burden for the present govt. "The Congress govt is setting right the financial situation gradually and ensuring that contractors are paid in time for the work they complete," he said.
"The Congress govt considers contractors, industrialists, and investors as partners in wealth creation. The state govt works with a humanitarian approach. Keeping traffic requirements in view, some roads in the state still need to be converted into four-lane roads. Officials should prepare that list quickly, place it before the cabinet, and get approval," he said and called upon the contractors to partner in TelanganaRising vision and that small contractors will be given opportunities in HAM road projects.
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