New Delhi: Despite the Union government allocating a record Rs 2.16 trillion for capital expenditure in the first nine months of the fiscal year, highway construction in India has encountered a setback. According to a LiveMint report, data from the Ministry of Road Transport and Highways (MoRTH) reveals that only 45% of the targeted 13,800 km of national highways have been constructed during April-December 2023.
In comparison, India added only 6,216 km of national highways, raising doubts about achieving the ambitious target for the current fiscal year. This trend follows previous years where the government fell short of its road construction goals, completing 10,457 km in 2022 and 10,331 km in 2023 against set targets.
The slowdown has been attributed to delays in awarding road projects, impacting the pace of construction. Despite a significant increase in capital expenditure to Rs 2,15,910 crore, representing 83.49% of the allocated capex for FY2024, challenges persist.
An anonymous source mentioned in the report expressed skepticism about meeting the FY2024 target, citing historical patterns of slowing down in highway awards during the last quarter preceding elections. With the upcoming Lok Sabha elections, concerns arise about the feasibility of constructing over 80 km of highways daily in the final three months.
A report by rating agency ICRA suggests that this slowdown in highway awards, coupled with potential election-related disruptions, could pose challenges to achieving the ambitious construction targets.
The situation raises questions about the government’s ability to address infrastructure needs and highlights the complexities involved in executing large-scale projects within specified timeframes.
