NHAI to Offer Rs 440 Bn Projects Under BOT Mode in FY25

21 Jun 2024 CW Team

The National Highways Authority of India (NHAI) plans to offer highway projects worth Rs 44,000 crore under the Build-Operate-Transfer (BOT) model in the fiscal year 2025. This strategic move aims to revive private investment in the highway sector and reduce the financial burden on the government.

The BOT model, where private entities build, operate, and maintain highways for a specified period before transferring them back to the government, has been chosen to leverage private sector efficiency and expertise. This approach is expected to enhance infrastructure quality and expedite project completion.

NHAI has identified several key projects for this initiative, focusing on high-traffic corridors and economically significant routes. These projects are anticipated to improve connectivity, boost economic activities, and support the government's broader infrastructure development goals.

The revival of the BOT model comes after a period of decline in private investments in highway projects. NHAI's efforts aim to restore investor confidence by ensuring favourable terms and robust project viability. This includes measures like risk mitigation and providing support for land acquisition and environmental clearances.

Overall, this initiative is poised to play a crucial role in India's infrastructure growth, fostering public-private partnerships and ensuring sustainable development in the highway sector.

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