MP to spend Rs 3,525 cr to repair 2,100 km of roads

The poor condition of its post-monsoon roads has prompted the Madhya Pradesh government to spend Rs 3,525 crore to build and repair at least 70 strips of roads at various places in the central Indian state.

This budgetary provision will enable the state government to join hands with private players to cover a total length of approximately 2,100 kilometers. Constructed a few years ago, almost all important roads, except for the Indore-Bhopal and Bhopal-Ujjain roads, are in very bad shape.

Finance minister Raghavji says the government will put these roads under the viability gap funding scheme. “It will be the private partners who will develop the roads. This will save our funds. They will levy toll. In case of losses, the government will fund the partner,” he told Business Standard.

Three roads will be created on BOT (build, own and operate) basis. They will be in Ashoknagar-Vidisha, Manawar-Kukshi and Sehora-Majhgawan (near Jabalpur). The overall distance will be 113 km and the investment will be Rs 276 crore. Eight other road strips covering a total length of 315 km will be constructed with an investment of Rs 590 crore. Another 58 roads, covering 1,752-km length, will be constructed with an investment of Rs 2,659 crore.

The Cabinet has given its nod to this decision. However, important roads like Bhopal-Betul-Nagpur are awaiting the union government’s clearance for de-notification. “The Centre,” says Raghavji, “is adamant on de-notifying important highways and main arterial lengths that are important for the state economy.”

Transporters and haulers are facing difficulties in maintaining logistical issues. They are using alternate routes constructed for light commercial vehicles. Thus more and more roads across the state are losing shape. “Viability gap funding is the only option with us to improve road conditions across the state,” says Raghavji. The state has proposed Rs 3,051 crore for creation of 1,686 km of roads in Budget 2011-12.