GoI has been working on major bridge projects to improve connectivity with Bangladesh, Nepal, and Myanmar

- Atulya Sharma

Partner, Lumiere Law Partners

How do you look at the prevailing scenario in bridges and flyovers segment in the backdrop of the National Infrastructure Pipeline programme? What is your outlook on the future of bridges and flyovers in the country?

Government of India (GoI) has allocated about Rs 111 lakh crore as part of the National Infrastructure Pipeline (NIP) plan to provide world class infrastructure, which aims to capture key greenfield and brownfield projects. Out of this, 18% of the fiscal expenditure under NIP will be on roadways. Ministry of Roads Transport and Highways (MoRTH) and other state highway authorities are working together with private developers under public private partnership (PPP) model towards improving the efficiency of national corridors which includes the construction of bridges, flyovers, railway overbridges (ROB) and elevated corridors. Union Minister Nitin Gadkari is steering Rs 8 lakh crore worth of highway projects, under GoI's flagship initiative Bharatmala Pariyojna, which will include construction and operation of bridges, flyovers and ROBs.

GoI has been working on major bridge projects to improve connectivity with Bangladesh, Nepal, and Myanmar. Also, GoI is aggressively developing vital infrastructure projects to accelerate its border infrastructure projects to build roads and bridges in states like Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim and Tripura in an attempt to develop its infrastructure in northeast region which will be key to India's Look East policy.

What are the major demand drivers of bridges and flyovers in India?

Bridges, flyover, ROBs, etc. will not only reduce traffic congestions and enhance the safety on highways but will also increase the logistic efficiency in the country like convenience, affordability and last-mile connectivity and will ultimately cater the economic improvement of the country. Thus, GOI has allocated significant amount for development of highways including construction of ROBs, bridges and flyovers across all the highway projects. Recently, the construction work for eight National Highway projects in Rajamahendravaram, Andhra Pradesh has commenced. After completion, the projects will provide greenfield road connectivity to Kakinada SEZ, SEZ Port, Fishing Harbour and Kakinada Anchorage Port, which will smoothen the export of rice, seafood, oil meals, iron-ore, biofuel, granite etc.

What are the key challenges and opportunities in bridges & flyovers segment?

The developers frequently face many footraces during the construction of bridges and flyovers such as delay in land acquisition, getting statutory clearances, poor project preparation, regular change in scope of the project, change in laws and policies. These challenges not only delay the project implementation but also lead to project's cost overrun due to which private participation has been declining in the recent years. In the light of the falling private sector participation in this sector, the allocation of funds by the Central Government towards development of roads and bridges sector has increased considerably, and models such as Engineering, Procurement, and Construction (EPC) and Hybrid Annuity Model (HAM) have been preferred in recent times. Additionally, GoI has introduced Pradhan Mantri Gati Shakti plan to address issues like time-taking approval process, multiplicity of regulatory clearances etc.

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