4 days ago
Tunnel roads in Bengaluru to be built on BOOT model, will be tolled: Cabinet
Bengaluru: The cabinet Thursday approved the construction of two major tunnel road corridors in Bengaluru on a build-own-operate-transfer (BOOT) basis, paving the way for toll collection on these routes.
The two proposed corridors — from Esteem Mall near Hebbal to HSR Layout/Silk Board and from KR Pura to Mysuru Road — will be developed under a global tendering process, law and parliamentary affairs minister HK Patil said.
"The cabinet was given three options: Hybrid Annuity Model (HAM), handing it over to National Highways Authority of India (NHAI), or BOOT. The cabinet has decided to go ahead with BOOT model, and global tenders will be called shortly," Patil said while briefing media after the cabinet meeting.
He added the concession period under BOOT arrangement has been fixed at 30 years. "These roads will be tolled; the modalities will be decided at a later stage," Patil said.
According to govt sources, tenders for the mega infrastructure project are expected to be floated within the next 7 to 10 days. The estimated cost is pegged at Rs 2,17,780 crore.
Housing subsidy
In another key decision, the cabinet resolved to provide interest subsidy of up to Rs 3,000 per month for beneficiaries under the 1 lakh housing scheme project in Bengaluru. The subsidy will be available for 10 years and apply to 45,124 one-bedroom housing units being constructed and sold by the state housing department.
Other cabinet decisions include: Quantum research park at IISc at a cost of Rs 48 crore; Rs 1,380-crore proposal for ITI-KGTI German institute skill development programme with assistance from Asian Development Bank (ADB).
