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Topic : Road Map For Indian Road Construction
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A new route to world class Indian roads

Created by : Pragya Kothari, Construction-Heavy, DLF  | 09 22 2009 09:45:21 +0000
Industry : ConstructionFunctional Area : Strategy Alignment(Strategy & Execution)
Keywords : construction roads highways highway construction national highways indian roads expressways
Activity:  978 views;  last activity : 04 16 2012 03:37:53 +0000

There is a new approach that one will be seeing interms of Roads getting developed in the country mainly the Highways. The minister in this regard Kamal nath is taking new route to finance these roads, where kamal Nath has begun the structuring of the Ganga Expressway project awarded to a private promoter, where the funding of the 1,047 km expressway is to be met through the exploitation of development rights,and the government pays nothing.

Take this as an example,such a financing model is quite appealing in  a way because the government ceases to be a financier allocating funds, as these will be brought in entirely by the road developer; the common man need no longer pay toll taxes, as the developer could afford to waive them off; the government earns money through a revenue share.

The Rs. 40,000-crore Ganga Expressway project was awarded by the UP government to Jaiprakash Associates (JP) on a BOT basis. To finance the cost of construction, JP has also been given development rights along this route.

JP plans developing five-six economic zones of around 4,000 acres each. Taxes and charges (commercial advertising, parking fees, etc), as well as associated businesses (real estate development, hotels and power generation) will pay for the entire project.

To know more Click here.

What do you think people will this new approach work?

  
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I think this model will work than the earlier PPP model where public has to pay toll fees, and now a days there are too many places where toll fees is being collected and this is causing inconvinience to the public, to travel on our own roads why are we paying fees apart from the tax what we give already, and this new approach sounds good and if implemented properly this model can be executed elsewhere also. And also these kinds of projects gets nods from the investors, where there is different streams of revenue generation.
By Pragya Kothari, Construction-Heavy, DLF  09 22 2009 09:45:21 +0000
 
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I strongly oppose this. This is a kind of trapping the land of innocent farmers. The exgratia that govt announces will rarely reach the farmers. these so called business tycoons earn crores of rupees year by year without giving a rupee contribution to the actual owners of the land.

Politicians are taking bribe from developers to acquire the land on the name of development. If you name eating poisson a development its obsurd. This is the same situation where natural resources are destroyed and environment is poluted just to feed thse developers. Actual profit is not even there for govt. nor for farmers.

This is main cause of increase of costs of all vegetables and other farming related exports. Remaining land  farmers are using it for mass production where in less area they get heavy crop by using poisonous fertilisers ( Chemoicals)

Even today the land acquired for Rashtrapathi bhavan is under dispute and 33 members who own that land are still fighting for their right in courts. This act has to be ammended ASAP to save natural resources.

Save us....

 
By keshav m, Project Architect, adonis designs  09 23 2009 09:36:57 +0000
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I totally agree with you pragyaji but such schemes will take time.But the initative by Mr. Kamal nath is good.lets see how far it will go.
By Rashmi koul, Assistant Project Controller, MWH  | 09 24 2009 08:43:42 +0000
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one has to give to get some thing which means an organization has to spend money on infrastrucutre to get toll money. its ok in front of public eye that normal citizen get death in a road accident on every day basis like its happening in gurgaon highway but every body in government machinery is fully active to file a case against 3 boys who thorw stones on Mr. Rahul Gandhi's train coach. I fail to understan how a police person can recognise them when an entire vilage is set up in Ghaziabad under ther noseand they called it illegal construction. Somw time govt rules failes to excite or gives normal citizen a proper reply and they remain shut because they know no one will care them.
By Alok Sharma, Retail , Leading Consultancy Firm  | 09 23 2009 19:23:12 +0000
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It is a very positive step towards globalization, but the private players have to be accountable to someone. During the Vajpayee regime NHAI was rightfully established with full autonomy & as a monitory agency. I'm sure government will understand the importance of such agency's for India's growth.

Apart from the benefits for the private players, it should be made mandatory for them to be associated with a few NGO's so that the exploitation of the displaced can be avoided. Also they should build some Govt. Schools, Colleges, Hospitals & the displaced should have free access to these facilities. By doing this the Govt. will show their vision towards a prosperous India & it will imbibe a sense of responsibility to the private players.
By Miki Singh, Regional Business Manager - Projects  | 09 23 2009 15:17:27 +0000
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This is just starting , lots more is expected in our HIGHWAYS. Government is also planning to raise $ 5 billion investment from foreign companies. 

Hopefully we shall get the best INFRASTRUCTURE.
By C Nijagunaradhya, Asst. Manager, Aarvee associates  | 09 23 2009 13:45:01 +0000
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You have to weigh developmental efforts with fringe benifits to the people of the area.For the developer,rehabilitation of the people must be top agenda.To maintain echo balance land scaping with huge plants should be planned.The land owners should be reasonably paid.They should be provided employement,education,health. The sports facilities should be developed.i mean this 1047 km route should become harbinger for the progress. i support this unique idea as it will set the tune for new India.
By Mohammad Bakhsh, Consultant(Civil), Rail Vikas Nigam Limited  | 09 23 2009 10:16:38 +0000
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its  true


By srinivas kotteti, MANAGER (PRODUCT SUPPORT)  | 09 22 2009 14:59:01 +0000
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Thats true


By vinit trivedi, Assistant manager, PMC projects  | 09 22 2009 13:01:54 +0000
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The venture capitalists will certainly like to put their money where it growes and is safe.Theis is good begining towards decentralising the concentrated power.
By Mohammad Bakhsh, Consultant(Civil), Rail Vikas Nigam Limited  | 09 22 2009 12:34:52 +0000
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i think this is a 5 star plan. obviously this will work. but the government has to analyse the "cost of adjacent land" to "cost of road" very very consciously. and government engineers should be conscious about the quality of construction
By Kunal Das, Sub Assistant Engineer, Public Works Directorate, Govt. of West Bengal  | 09 22 2009 11:20:35 +0000
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Such proposals may initially stand good but later maintenance of the road will be neglected since the concessionaire is  benefitted abnormally in this method in the first stage only. I am of the openion that the BOT system is well suited to our requirements in which the commuter will pay toll which is a small amount while the resposibility of maintenance of the road lies with the  concessionaire. Otherwise the commuters are at liberty to object toll collection.

Further what Mr. Charles says is also correct - "The developer of course need to make profit but not at the cost of destroying nature"
By Mahender Vaddepally, Civil Engineer-Highway Roadway, Andhra Pradesh Public Works (Roads & Buildings) Department  | 09 23 2009 17:06:22 +0000
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I welcome this approach of the government.

I have to assume that the cost involved will be realised by the developer by adjacent development.

But as an NAturalist and environmentally inclined I have to raise my doubts on whether the adjacent lands --4000 acres!!! are dry land or worth farming?

How many aceres will face deforestation?

How the development will affect nature .will they contribute to calamities ?

Development is needed ,but with additional time and money along with heart and soul to keep our environment for next generations will be real growth.A growth for the next generation.

The developer of course need to make profit but not at the cost of destroying nature

My opinion may always seem pessimistic to growth ,if you think on long term growth I feel I am justified
By Charles davison, Project Manager, Douglas OHI LLC  | 09 22 2009 18:40:01 +0000
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