New policies in works for faster decision-making: Gadkari on Invit push

Kahi problemach nahi (there's no problem). The NHAI is economically sound, and it has an AAA rating, Union Road Transport and Highways Minister Nitin Gadkari said

As the government looks beyond the toll-operate-transfer (TOT) model and towards infrastructure investment trusts (Invits) for asset monetisation, new policies are being framed to enable faster and more transparent decision-making, says Union Road Transport and Highways Minister Nitin Gadkari. Edited excerpts of his interview with Prachi Pisal in Nagpur on the sidelines of the Advantage Vidarbha 2026 summit.

 

With an allocation of around ₹3.09 trillion, what will be your key priorities in FY27? 

Infrastructure is key to economic growth. The first priority, therefore, is to step up spending and build more roads, expressways and tunnels to strengthen the country’s infrastructure. There is also significant potential to do so. With automobile usage rising, the need for more roads is growing, and the projects are economically viable.

 

You have called lowering logistics costs your key priority. What progress have you made so far? 

For a fast-growing economy, logistics costs are critical. Not long ago, India’s logistics cost was around 16 per cent. Recent research by the Indian Institute of Management, Bangalore, and the Indian Institute of Technology, Chennai, indicates that better roads have helped bring it down by 5-6 percentage points. That is a major success. 

My ambition is to reduce costs further by promoting alternative fuels and biofuels — compressed natural gas (CNG), liquefied natural gas (LNG), electric and hydrogen — as well as flex-fuel engines. China’s logistics cost is around 8 per cent, while European countries are at about 12 per cent. Our aim should be to at least match China. That would make India more competitive in global markets, especially from an export perspective. 

This matters even more given the Prime Minister’s goal of making India the world’s third-largest economy and reaching a $5 trillion economy target. Lower logistics costs can materially support growth. That is why strong infrastructure is essential for long-term planning and development. 

Access-controlled expressways — such as direct connectivity from Mumbai to Delhi, Delhi to Dehradun, and a national corridor linking Kashmir to Kanyakumari — should be key targets.

 

We have seen some slowdown in project awards in the last couple of years. How are you planning to improve the pace? 

The problem is that our approval limit is only ₹1,000 crore. But 70-80 per cent of projects today are in the range of ₹3,000 crore to ₹4,000 crore. That means most projects have to go to the Cabinet. Before a proposal reaches the Cabinet, it has to go through a defined process, with multiple procedures and clearances across departments. Even so, we continue to award projects.

 

One of your ambitions is to construct 100 km of roads per day. What has been the progress on that? 

We are still in the process. We are trying. Our mission is to build 100 km per day.

 

You told this newspaper earlier that you were trying to move beyond the TOT bundles. What has been the progress on that? 

We have already begun. Several build-operate-transfer (BOT) projects are in the planning stage, and we are also taking up projects under the hybrid annuity model (HAM). Alongside, we are rolling out the Invit model on an ongoing basis.

Based on inputs from stakeholders, we are framing new policies to make the process more transparent and decision-making easier, while also reducing the scope for legal disputes.

 

The National Highways Authority of India (NHAI) is coming up with a new public Invit, Raajmarg Infra Investment Trust (RIIT). Any update? 

There has been a good response to that.

 

What’s your view on the NHAI's debt levels? 

Kahi problemach nahi (there’s no problem). The NHAI is economically sound, and it has an AAA rating.

 

What progress have you made on installing EV infrastructure on highways? 

It is already there on national highways; we are now planning to make roadside amenities for EV infrastructure.

 

What are your top near-term priorities for India's infrastructure? 

The transport sector accounts for about 40 per cent of air pollution, so reducing it is a major task. In addition to lowering logistics costs, we need to reduce pollution and fossil-fuel imports, which amount to ₹22 trillion and are a major economic burden. Our mission is to promote cost-effective, cleaner, and indigenous import substitutes.