The National Highways Authority of India (NHAI) today said it will appoint a consultant soon to look at options for raising about Rs 1.20 lakh crore for road construction in the next few years.
NHAI needs a total of Rs 3.38 lakh crore for building 37,000-km of highways across the country in the next 4-5 years under public-private-partnership model. Of this, private participants are expected to bring in Rs 2.11 lakh crore.
"We are appointing a financial consultant which will work out a credit plan for NHAI and a system for raising the credit and the finances according to the work plan... The consultant will be appointed in 2-3 weeks," NHAI Member Finance A Didar Singh told PTI.
The consultant will also suggest if the Authority needs to take Rs 6,000 crore from Life Insurance Corporation of India, a sum already committed by the PSU to NHAI for road construction projects.
"We already have a commitment from LIC for Rs 6,000 crore. We have not taken it because we do not require it this year. All our credit requirement will start from next year... the financial consultant will look at those," Singh said.
The Ministry of Transport has drawn up a 'work plan' to award about 11,800 km of highways development projects in the current fiscal that may entail a total investment of Rs 1 lakh crore. Similarly, in the next fiscal it plans to construct another 11,800-km of of highways.