The government would rely on laying 3000-4000km Highway projects that have complete financial support as a measure  to counter the slowing down of theese projects due to bad market sentiment.

The National Highways Authority of India has already identified the locations where highways are required and would probably spend anywhere between Rs 15,000 and Rs 20,000 Crores for the achievement of the same.

The highways sectors which are in a bad state of affairs today would be revived and would also be a great step forward for the government opined the Industries. NHAI would invest about Rs 7000 crore for various projects during the first year 2012-2013. First roads that are economically unviable on the toll mode would be attended to in this first phase.

Contractors engaged in the work would be payed at regualr intervals accordingly to the progress made thereby eliminating the need for any financial support and contracts from banks and other institutions. Also the much required funds for developers would be generated and can be used as equity for Public private partnership (PPP) road projects.

"To negate the probablity of time overrunning or in inflated prices these projects would be taken up immediately (turnkey project). Once the Cabinet approves the Engineer Procure and Construction document, the projects would be given to the best contractors", said CP Joshi, Highways minister.

AW- Anil