Advertisement

Help
You are here: Rediff Home » India » Business » Interviews » Vijay Singh, Member of NHAI
Search:  Rediff.com The Web
Advertisement
  Discuss this Article   |      Email this Article   |      Print this Article

'Most work on NHDP-II will be done by 2009'
 
 · My Portfolio  · Live market report  · MF Selector  · Broker tips
Get Business updates:What's this?
Advertisement
November 27, 2006
The National Highways Authority of India (NHAI) has been under attack for delays in completion of its road projects as well as for poor corridor management.

Vijay Singh, part time member of NHAI and secretary of Department of Road Transport and Highways, spoke to Shuchi Bansal on the need to rejuvenate the government owned agency:

What is NHAI's biggest challenge today?

Meeting the demand for good roads in a short time is a huge challenge. Of the nearly 66,000 km of highways, we have done about 6,000 km of four laning. That is just about 10 per cent of the total. The subsequent phases of the National Highway Development Programme will take care of another 20,000 km.

Is it true that only 35 per cent of the contracts for the East-West and North-South corridors have been awarded?

The contracts have been awarded almost entirely for the North-South and East-West corridors barring one short stretch in Kashmir where project reports have not been finalised because of a difficult terrain.

So the 35 per cent figure is incorrect?

For a length of 6,300 km, contracts have been awarded for about 5,000 km. That leaves only 1,300 km. Other than the short stretch in Kashmir, there is a stretch in West Bengal near Siliguri where there is a wildlife sanctuary.

Then what is causing the delays?

In some states, there has been a delay in land acquisition. Other projects were originally planned as direct engineering contracts to be executed by NHAI but then the government switched some of them to the Build-Operate-Transfer basis. So those contracts were redone.

Today, 30 per cent of NHDP II is on BOT, which wasn't originally envisaged.

What is the timeframe for the completion of NHDP II?

Each package has its own date of completion. Most of these roads should be completed by the beginning of 2009.

Any progress on the reform and rejuvenation of NHAI?

It was felt that NHAI's BOT projects would require viability gap funding by the government which needed careful analysis and financial and legal expertise.

Currently, the NHAI board has five members and a chairman. We are adding a member for public-private partnerships. The board will also have part time members from the IIMs and the IITs. The restructuring plan may go to Cabinet soon.

India's road programme faces criticism for focusing on asset creation rather than corridor management.

That criticism is not without basis. Corridor management, that includes swift tolling arrangements, wayside facilities, provision of ambulances and patrolling, will get much more attention in NHDP II. This is also part of the restructuring exercise. We will have more dedicated personnel for corridor management.

Is there any move to have an independent economic regulator for NHAI?

We are not aware of a regulator for roads as such but a National Road Safety Board, which would have a regulatory aspect is being finalised.

State boards would be members of the board and one per cent of the cess that we get, would go for road safety. Right now the cess funds our highways programme.

More Interviews
 Email this Article      Print this Article

© 2008 Rediff.com India Limited. All Rights Reserved. Disclaimer | Feedback