The Parliamentary Panel looking into affairs of delayed highway projects have asked centre to finish already delayed projects before taking new ventures, the costs of delayed projects were estimated at Rs. 3.15 lakh crore.
The parliamentary panel noted that MoRTH (Ministry of Road Transport and Highways) have 888 delayed projects, spanning length of 27,500 Km across India.
The 31-member Parliamentary Panel to look into affairs of delayed infrastructure, tourism and culture was headed by TG Venkatesh, he said “The committee is anguished to note that 888 road projects under the Ministry are delayed at present, which amount to ₹3,15,373.3 crore involving a length of 27,665.3 km,” PTI reported.
The report expressed concerns over some important infrastructure projects being delayed, such as four-laning project in Gaya-Hisua-Rajgir-Nalanda-Bihar Sharif section and the Patna-Gaya-Dobhi road project connecting Mahabodhi Temple in Bodh Gaya.
The NHAI’s financing model by borrowing from markets has brought itself under debt servicing liability of Rs. 97,000 crore in coming years, NHAI has increasingly relied on borrowings, 1800 per cent up from 2015-15, as budget allocation have been unable to keep up with NHAI finance requirements, the report has criticized massive borrowings from markets.
It was also noted project delaying rate is highest in state of Maharashtra. The panel head said the delayed projects means higher fuel consumption and increase in overall project costs, noting “The committee desires the Ministry to focus and prioritise completion of ongoing delayed projects instead of announcing and awarding new road projects in the country”.
The panel has suggested robust coordination with states to resolve delay issues.
The committee also expressed, if the current trend of delaying persists, it would impossible for MoRTH to meet desired completion of Vharatmala Pariyojana Phase – 1, which is due to be completed by 2025-26, which was already supposed to be completed by 2021-22, but have seen delays of four years now.
The new delays by MoRTH include, awarding of 2,517 Km of highways against target of 6,469 Km for current fiscal, while completing only 2,273 Km against desired target of 4,571 Km to be achieved under phase-1 of Bharatmala Pariyojna.