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Time of India
09-05-2025
- Business
- Time of India
On path to four-laning of 30k-km highways: Gadkari
New Delhi: Union minister Nitin Gadkari on Thursday said that infrastructure development is key to making India a strong economic power and that the road transport and highways ministry has taken a decision to convert 25,000-30,000 kilometres of two-lane highways into four-lane ones at an investment of ₹10 lakh crore. Speaking at the India Infrastructure Forum 2025, he said the ministry will now encourage the Infrastructure Investment Trust (InvIT) model to raise money for highway projects from Indian investors. 'To make India a strong economic power, infrastructure is key. We have taken a decision to convert 25,000-30,000 km two-lane highways into four lanes for ₹8-10 lakh crore,' he said. The road transport and highways minister further said his dream is to complete road projects worth ₹5-6 lakh crore every year. Gadkari also said the ministry is working on revising the build-operate-transfer (BOT) model for the construction of roads, under which it will collect tolls for 15 years and share part of it with concessionaires. 'We will construct highways under the BOT model but for 15 years toll will be collected by the government and we will give money to them (concessionaires) on an annuity basis,' he said, adding that the maintenance of highways for 15 years will be done by contractors. Making agriculture viable Agriculture needs to become economically viable as it is necessary to make the country 'atmanirbhar' (self-reliant), Gadkari said at the 4th International BBB Summit & Expo on Bioenergy Value Chain on Thursday. 'Indian agriculture is not very economically viable. This is the time we need to find out the solution to make it economically viable as without that, we cannot make Atmanirbhar Bharat ,' he said.
Time of India
08-05-2025
- Business
- Time of India
Road ministry to convert 30,000 km two lane highways into four lane; invest Rs 10 lakh crore: Nitin Gadkari
Union Minister Nitin Gadkari emphasized infrastructure development as crucial for India's economic strength. The highways ministry plans to convert 25,000-30,000 km of two-lane highways into four lanes with a Rs 10 lakh crore investment, utilizing the InvIT model. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Union minister Nitin Gadkari on Thursday said that infrastructure development is key to making India a strong economic power , and the highways ministry has taken a decision to convert 25,000-30,000 km two-lane highways into four lanes at an investment of Rs 10 lakh at the India Infrastructure Forum 2025, Gadkari said that the ministry of road transport and highways (MoRTH) will now encourage the Infrastructure Investment Trust (InvIT) model to raise money for highway projects from Indian investors.'To make India a strong economic power, infrastructure is key. We have taken a decision to convert 25,000-30,000 km two-lane highways in the country into four lanes for Rs 8-10 lakh crore,' he road transport and highways minister further said his dream is to complete road projects worth Rs 5-6 lakh crore every also said the government is working to revise the build-operate-transfer (BOT) model for the construction of roads, under which the highways ministry will collect tolls for 15 years, and share part of it with concessionaires.'We will construct highways under the BOT model but for 15 years toll will be collected by the government and we will give money to them(concessionaires) on an annuity basis,' he said, adding maintenance of highways for 15 years will be done by agriculture needs to become economically viable as it is necessary to make the country 'Atmanirbhar', Gadkari said while speaking at the 4th International BBB Summit & Expo on Bioenergy Value Chain on to Gadkari, there is a need to diversify India's agriculture towards the energy and power sector, as the country does not have enough capacity for the storage of foodgrains and to increase employment potential in rural and tribal India as these areas are facing crucial economic problems.'Indian agriculture is not very economically viable. Now, this is the time we need to find out the solution to make our agriculture economically viable as without that, we cannot make Atmanirbhar Bharat,' he the present situation, Gadkari said, the big problem is that India has a surplus of foodgrain, rice, wheat and sugar. 'And these are the problems we are need to find out how the farmers will get remunerative prices,' he also pointed out that by creating a good market for biofuels, India is going to reduce the demand for fossil fuels. 'If we want to reduce pollution, then green fuel is very important for sustainable development,' he said.
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Business Standard
08-05-2025
- Business
- Business Standard
Rs 10 trn to upgrade 30K km of 2-lane roads to 4-lane highways: Gadkari
Union minister Nitin Gadkari on Thursday said that infrastructure development is key to making India a strong economic power, and the highways ministry has taken a decision to convert 25,000-30,000 km two-lane highways into four lanes at an investment of Rs 10 trillion. Addressing an event here, Gadkari further said that the Ministry of Road Transport and Highways (MoRTH) will now encourage the Infrastructure Investment Trust (InvIT) model to raise money for highway projects from Indian investors. "To make India a strong economic power, infrastructure is key... We have taken a decision to convert 25,000-30,000 km two-lane highways in the country into four lanes for Rs 8-10 trillion," he said. The road transport and highways minister further said his dream is to complete road projects worth Rs 5-6 trillion every year. National Highways are developed under different modes of execution, including Build-Operate-Transfer(BOT or toll, BOT (Annuity), Engineering, Procurement and Construction (EPC), InvIT and Hybrid Annuity model. Infrastructure Investment Trust (InvIT) is an instrument on the pattern of mutual funds, designed to pool money from investors and invest in assets that will provide cash flows over a period of time. Gadkari also said the government is working to revise BOT model (annuity) for the construction of roads, under which the highways ministry will collect tolls for 15 years, and share part of it with concessionaires. "We will construct highways under the BOT model but for 15 years toll will be collected by the government and we will give money to them(concessionaires) on an annuity basis. " And maintenance of highways for 15 years will be done by contractors," he said. BOT projects provide the risk of financing, building and operating highway projects with a concession period of 20-30 years. "The quality of highways constructed under EPC model is not good when compared to highways constructed under the BOT model," he said. The minister further said that there is no problem if toll increases by 10 per cent. However if it(toll) goes beyond 10 per cent the concessionaires must share 50 per cent of the additional with the government. Gadkari, who is known for his frank views, said he will not tolerate contractors who make cartels for getting highway projects.
Time of India
24-04-2025
- Business
- Time of India
IndiGrid plans to double assets in next 5 years: Harsh Shah, CEO
Mumbai: IndiGrid , India's first publicly listed power sector Infrastructure Investment Trust (InvIT), plans to double its assets in the next five years, its Chief executive officer, Harsh Shah told ETEnergyWorld . 'We are not asset focused, we are returns focused. We would like to do business in which there are returns. We do see currently there are reasonable returns in the business and therefore we are looking to grow. In the next five years, we would like to double assets, which is just another ₹30,000 crore of assets,' he said in an exclusive interaction. He said that they do have plans to grow in solar. However, on diversification, they are very conservative and only do business which they understand. 'Within the sector, I think we understand transmission, solar and battery… At present, we are about ₹30,000 crore in size with almost 22,500 MVA of transformation capacity, 8,700 kilometers of line, one gigawatt of solar generation and about a gigawatt hour of battery projects,' said Shah. The company will continue to operate within the power sector and their asset expansion focus is in transmission – both brownfield and greenfield. 'Greenfield BESS, as brownfield projects aren't there in the market, and brownfield solar, since we are not looking at developing solar on our own,' he said. Indigrid is an energy transition platform, which owns transmission, solar, and battery energy storage assets. 'The company's portfolio level asset mix will be 25-30 per cent solar or renewable. Rest will be in transmission. Following the sectoral guidelines, BESS is categorised as transmission,' he said. On capital requirements, he added that it varies depending on the opportunities as and when they come. 'For us, sources of capital are both debt and equity… As per the regulatory guidelines that govern us, we have a debt to AUM cap of 70 per cent. So that's generally the mix – 70 per cent debt and 30 per cent equity. To ensure we have enough headroom for growth, we always maintain a cushion in our leverage,' he said. He added that as of Q3 end, their leverage was 59.6 per cent , leaving enough growth room. 'Our thumb rule philosophy is to go for a fund raise as soon as we near the 66-67 per cent leverage mark,' said Shah. He added that in India the peak demand is going to increase by 2030 to almost 335 GW, which is about 35 per cent more than what it is today. 'An incremental investment in renewables is going to be higher and therefore, we see that both these directionally push greater investment in transmission, energy storage, and renewable capacity, all three segments where we are very active,' he added. Under the National Electricity Plan, India is looking at over ₹9 lakh crore of investment in transmission, and battery energy storage to setup a capacity of 47 GW which will together enable evacuation of the envisioned 500 GW of renewables. 'We are pretty confident that we will have our own share within such a big ecosystem, especially when the tailwinds are favoring the sector,' he said. On the outlook front, the company is positive and Shah mentions that this is one of the reasons that they have partnered with global investors to form a development company, EnerGrid, where they will take active part in these bids to ensure that they come as an operating asset to Indigrid and their portfolio keeps going up.
