The details of the scheme would be announced after clearing certain technical parameters, he said.
Fernandes was addressing a joint press conference with Chief Minister Oommen Chandy after a review meeting of the ongoing national highway projects in the state.
Shortage and high cost of land were the main problems being faced by Kerala for road developments, he pointed out.
The meeting also approved the work of Kollam, Alappuzha, Kozhikode and Thiruvananthapuram bypass roads.
Chandy said state would bear 50 per cent cost of Kollam, Kozhikode and Alappuzha bypasses.