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DEVELOPMENT AND UPGRADATION OF ASIAN HIGHWAYS

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					DEVELOPMENT AND UPGRADATION
OF ASIAN HIGHWAYS NETWORK IN
 INDIA, INVESTMENT NEEDS AND
    STATUS ON ROAD SAFETY
                                    Shri S.B. Basu,
           Chief Engineer (Planning & Monitoring),
        Department of Road Transport & Highways
                                     (Roads Wing)
 Ministry of Shipping, Road Transport & Highways,
                              Government of India
Road Transport Development Scenario in the
                Country
   3500                                                    3135.40

   3000

   2500

   2000
   1500                                  600.00
                            72.70
   1000
                    0.3                                                              In 1951
    500                              6
                                                                        In 2004      In 2004
          0                                           23
                                                                                  Year
                                                                     In 1951
                Vehicle
              population      Road Freight
                               Movem ent             Road
               (m illion)
                             (billion tonne-     Pas s enger
                                    km )         Movem ent
                                                    (billion
                                               pas s enger-km )
          Road Network in India
      Category-wise distribution of Road Lengths (km)
                Total Length-33.3 lakh km
             66,590              140000
                                   4%        470000
               2%
                                              14%



                                                  National
                                                  Highw ays
                                                  State Highw ays


                                                  M DR / ODR
2650000
  80%
                                                  Rural Roads
Major Initiatives taken for Development of the
         National Highways in India
  National Highways Authority of India (NHAI)
  set up.
  Implementation   of    National    Highways
  Development Project (NHDP) through NHAI.
  Special Accelerated Road Development
  Programme for the North-Eastern Region
  (SARDP-NE).
Major Initiatives taken for Development of the
      National Highways in India-Contd.-
  CRF revamped to create dedicated fund.
  PPP encouraged in road development; NHDP-
  Phase-III onwards to be mainly on BOT basis.
  Requisite legislative and legal provisions made
  for facilitating PPP.
Traditional Financing of Roads
General Budgetary Support
Lending from International Institutions
  World Bank
  Asian Development Bank (ADB)
  Overseas Economic Cooperation Fund
  (OECF), now Japan Bank for International
  Cooperation (JBIC)
Central Road Fund (CRF)
      Government Allocation of Funds for Road
                     Sector
                         2004-05                   2005-06                   2006-07                   2007-08

                Rs. in        US$         Rs. in       US$          Rs. in       US $         Rs. in       US$
                crore         (billion)   crore        (billion)    crore        (billion)    crore        (billion)

Central           5854.00          1.32    9738.45           2.19   11452.68           2.57   12440.00           2.80
Sector
Roads
State Roads      10370.00          2.33   14287.00           3.21   16706.00           3.75     N.A.         N.A.

Rural Roads       2962.00          0.67    3907.00           0.88    5103.00           1.15    6110.00           1.37

Maintenance        745.56          0.17     868.10           0.20     814.38           0.18     814.38           0.18
only for NHs




   N.A. – Not readily available
            Need for Enhanced Funding
 Total Road Sector Revenue & Expenditure for FY 2002 (Rs. Cr.)

                26300         50000                                                         28900




  23700

                                                          11400         21000

                                            9700



  Union         States        Total        Union         States         Total               Total
Road Sector Revenue                      Road Sector Expenditure                   Revenue Surplus
The above table indicates that there is a revenue surplus of Rs. 28,900 crore between
revenue and expenditure
Source:- Draft World Bank Report on Highway Sector Financing in India, June 2004
Loans from International Lending Institutions
   World Bank
     US $ 0.51 billion before 1992
     US$ 1.97 billion

   ADB
     US$ 0.43 billion before 1992
     US$1.79 billion

   OECF/JBIC
     Yen 20,600 million (~US$0.21 billion)
           Central Road Fund
Constituted in 1929
Proceeds from duty of customs and excise levy on
non-aviation motor spirit @ 2.5 annas per gallon
of taxed motor spirit.
Non lapsable
Revamped in 2000
  Levy of cess at Rs. 1 (~US 2.2 c)/litre on sale of High
  Speed Diesel (HSD) and petrol
  Further increased to Rs. 1.50 (~US 3.3 c) in 2004
  Additional cess of Rs. 0.50 (~US 1.1 c) /litre in 2005–
  entirely for NHs
Given statutory effect by enacting CRF Act in
2000.
          Central Road Fund-Continued-
              Distribution of Central Road Fund

                          in Rs. Crore (US $ b)

Year       National    State      Rural      ROBs /      Total
          Highways     Roads      Roads      RUBs /
                                             Other
                                             safety
                                             works
2006-07     6407.45    1706.07    3725.62      710.86     12550
              (1.44)     (0.38)     (0.84)      (0.16)    (2.82)


2007-08     6541.06    1739.25       3825      724.69     12830
              (1.47)     (0.39)     (0.86)      (0.16)    (2.88)
National Highways Development Project
              (NHDP)
NHDP Phase – I & II –
  Golden Quadrilateral (GQ)– NHs connecting 4
  Metropolitan Cities, i.e. Delhi, Mumbai, Chennai &
  Kolkata (5,846 km length).
  North-South and East-West Corridor—            4-laning
  of about 7,300 km of NHs connecting Srinagar to
  Kanyakumari with Cochin – Salem spur (N-S) and
  connecting Silchar – Porbandar (E-W).
  Development / Upgradation of about 380 km of roads /
  NHs for providing connectivity to 10 major ports with
  NHs on NHDP.
  Upgradation of about 811 km of other important NHs.
         The Way Ahead for NHDP
Sl. NHDP Phases      Name of Project                  Likely cost Rs
No.                                                   crore (US $ billion)
1   NHDP Phase-I & Completion of Balance works             52,434 (11.78)
    II             of GQ and EW-NS corridors
2   NHDP Phase-III   4-laning of 12,109 km of NHs          80,626 (18.12)
3   NHDP Phase-IV    2-laning with paved shoulders         27,800 (6.25)
                     of 20,000 km of NHs
4   NHDP Phase-V     6-laning of 6,500 km        of        41,210 (9.26)
                     selected stretches of NHs
5   NHDP Phase-VI    Development of 1000 km of             16,680 (3.75)
                     Expressways
6   NHDP Phase-VII Construction of ring roads,             16,680 (3.75)
                   flyovers and bypasses on
                   selected stretches of NHs
                     TOTAL                               2,35,430 (52.91)
         NHDP Financing
Budget
  Normal
  Dedicated Fund (Cess on Petrol / Diesel)
Lending from International Institutions
  World Bank
  ADB
  JBIC
     NHDP Financing (Contd.)
Public Private Partnership
  BOT -- Investment by Private Firm and return
  through user fee
  Annuity – Investment by Private Firm and
  return through Annual Payment as per bid
  Special Purpose Vehicles (SPVs) – With
  Equity by NHAI
Market Borrowing
                     NHDP Financing (Contd.)
Phase        Funding Arrangement                      Approved Cost (Rs. in crore)
NHDP - I     Cess and Market borrowings                18,846       (US$ 4.18 b)       30,300 [1999 Prices]
             External Assistance                        7,862       (US$ 1.74 b)
             BOT/SPV                                    3,592       (US$ 0.79 b)               (US$ 6.73b)
NHDP - II    Cess and Market borrowings                23,420       (US$ 5.20 b)
                                                                                                    34,339
             External Assistance                        7,609       (US$ 1.69 b)              [2002 Prices]
             BOT                                        3,310       (US$ 0.73 b)               (US$ 7.63b)
NHDP - III   Cess and Market borrowings                30,497       (US$ 6.78 b)
                                                                                                    80,626
             Share of Private Sector (BOT Projects)    50,129       (US$ 11.14 b)    (US$ 17.92b) [1.1.2006
                                                                                                    Prices]
NHDP - V     Cess and Market borrowings                 5,519       (US$ 1.23 b)
                                                                                                    41,210
             Share of Private Sector (BOT Projects)    35,691       (US$ 7.93 b)               (US$ 9.16b)
NHDP - VI    Cess and Market borrowings                 7,680       (US$ 1.71 b)           16,680 [1.1.2006
                                                                                                    prices]
             Share of Private Sector (BOT Projects)     9,000       (US$ 2.00 b)               (US$ 3.71b)
Total        Cess and Market borrowings                85,962       (US$ 19.10 b)
                                                                                                   203,155
             External Assistance                       15,471       (US$ 3.43 b)              (US$ 45.14b)
             Share of Private Sector (BOT Projects)   101,722       (US$ 22.60 b)
Note:- US$ = Rs.45
Special Accelerated Road Development Programme
     for North-Eastern Region (SARDP-NE)
SARDP-NE        envisages   improvement      of    road
connectivity to remote places and to places of strategic
importance in NE region -
  SARDP-NE Phase-A
    1,110 km of NHs and 200 km of State Roads / Roads of
    Strategic Importance
    Estimated cost = Rs 4,618 Crore (US $ 1.04 billion)
    Target for completion – March, 2009
 SARDP-NE Phase-B
    2,118 km of NHs and 4,188 km of State Roads / Roads of
    Strategic Importance
    DPRs are under preparation
    National Highway Maintenance
  Funds provided for M&R of NHs during 10th
Plan ~ Rs 730crore/year to Rs 870 crore/year as
against the annual requirement of about Rs 2,000
crore
  Fund requirement for M&R for 11th Plan
  -Rs 11,400 crore (@ Rs 2,280 crore/year) for NHs
Improvement of State Roads from the CRF
                            CRF Works
                                      Amount in Rs. crore (US$ billion)

 Proposals sanctioned during 2006-07      Allocation during 2007-08


Nos.      Amount

605                    1541.93 (0.35)                    1565.32 (0.35)

                 Works under EI & ISC schemes
  Proposals approved in - principle       Allocation during 2007-08
            during 2006-07

Nos.      Amount of Central Share
55                      343.19 (0.08)                     173.93 (0.04)
     Improvement of Rural Roads
Roads are also being developed in rural
areas under the Pradahn Mantri Gram Sadak
Yojana (PMGSY).
The objective is to link all villages with a
population of more than 500 persons with
all-weather roads
        Bharat Nirman Yojana
To upgrade rural infrastructure, the Government has
formulated a proposal for providing the road
connections to more than 38,484 villages above
1000 population and all 20,867 habitations above
500 populations in hilly and tribal areas.
1,46,185 km of road length is proposed to be
constructed by 2009.
Beneficiaries - 66,802 unconnected eligible
habitations in the country.
1,94,132 km existing Associated Through Routes
are also to be upgradedto ensure full farm to market
connectivity.
Proposed investment - ~ Rs. 48,000 crore
(~US $ 10.79 b)
The Asian Highways Network in India
 Total length of AH in India – 11,551 km.
   11,525km of National Highways (including 93 km
   overlapping stretch of Bangalore-Krishnagiri section on
   NH-7)
   26 km of State Roads

 Standards of National Highway Portions of AH
 Network in India are generally at least to the
 prescribed minimum standards for AH.

 Actions have been initiated for installation of AH
 route sign boards on AH routes in India.
Asian Highways Network in India & its Present Status
    Sl.    Asian     Total        National Highways length          State
    No.   Highway   Length                                        Highways
            No.                Total      4-           Balance     length
                                          laned/pro
                                          grammed
                                          for 4-lane
   1      AH 1       2776.00    2776.00      2524.00    252.00         0.00

   2      AH 2        383.00     357.00        95.00    262.00        26.00

   3      AH 42       457.00     457.00       198.00    259.00         0.00

   4      AH 43      2383.00    2383.00      2383.00       0.00        0.00

   5      AH 45      1963.00    1963.00      1963.00       0.00        0.00

   6      AH 46      1564.00    1564.00       507.00   1057.00         0.00

   7      AH 47      2025.00    2025.00      1575.00    450.00         0.00

          Total     11551.00   11525.00      9245.00   2280.00        26.00
 AH Network




LEGEND
AH
 AH Network
 with NHDP-I&II




LEGEND
AH
NHDP – I & II
AH Network
with NHDP-III




LEGEND
AH
NHDP – III
 AH Network
 with SARDP-NE




LEGEND
AH
SARDP - NE
     AH Network
     with NHDP
     &SARDP-NE




LEGEND
AH
NHDP – I & II
NHDP – III
SARDP - NE
  AH Network
  with
  NHDP-I, II, III,
  V, VI
  & SARDP




LEGEND
AH
NHDP – I & II
NHDP – III
SARDP – NE
NHDP – V
NHDP – VI

				
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