₹1,111.76 Cr approved for construction of 4-lane NH-163G in Telangana under Hybrid Annuity Mode

The Indian government has approved the construction of two 4-lane access-controlled Greenfield highways sections on NH-163G in the states of Telangana and Andhra Pradesh. The first section will run from Venkatpur village in the Warangal district to Thallasenkesa village in the Mahabubabad district, with a total length of 39.4 km. The second section will run from Thallasenkesa village to V. Vekatayapalem village in Khammam district, with a total length of 30.83 km. Both projects will be developed under the Other Economic Corridor (NH(O)) program in Hybrid Annuity Mode, with a total cost of ₹1,111.76 crore ($148.2 million USD).

Highlights

1. The project will involve the construction of a 4-lane access-controlled Greenfield Highway Section on NH163G (Warangal-Khammam) in Telangana, India.
2. The section will run from Venkatpur village in Warangal District to Thallasenkesa village in Mahabubabad District, with a total length of 39.41 km.
3. The project will be developed under the Other Economic Corridor (NH(O)) program in Hybrid Annuity Mode, with a total cost of ₹1111.76 crore for the Venkatpur to Thallasenkesa section, and ₹1123.32 crore for the Thallasenkesa to V. Vekatayapalem section.
4. The total length of the Thallasenkesa to V. Vekatayapalem section will be 30.83 km.
5. The project aims to improve connectivity and reduce travel time for commuters traveling between Warangal and Khammam.
6. The project is expected to boost economic growth in the region by facilitating the movement of goods and services.
7. The construction will be carried out in accordance with the Hybrid Annuity Mode, which involves a mix of government funding and private investment, and the cost will be divided over the construction period and the operational period.

Objectives

1. Complete the construction of the 4-lane access-controlled Greenfield Highway section on NH163G within the stipulated time frame of the project, ensuring all necessary standards and safety requirements are met.
2. Ensure effective project management throughout the construction process, including regular monitoring and evaluation of progress, as well as addressing any issues or challenges that may arise in a timely and effective manner.
3. Foster positive community engagement and stakeholder communication throughout the construction project, by providing regular updates on the progress of the project, addressing any concerns or questions from local residents or other stakeholders, and ensuring that the project benefits the local community in a sustainable and equitable manner.

The Indian government has approved two new road construction projects worth ₹1,111.76 crores in Telangana. The first project involves the construction of a 4-lane access-controlled Greenfield Highway section on NH163G from Venkatpur village in Warangal District to Thallasenkesa village in Mahabubabad District. The total length of the project is 39.4 km, and it will be developed under the Other Economic Corridor (NH(O)) program in Hybrid Annuity Mode. The project is expected to cost ₹1,114.67 crores.

The second project is for the construction of a 4-lane access-controlled Greenfield Highway section on NH-163G from Thallasenkesa village to V. Vekatayapalem village in Khammam District. The total length of the project is 30.83 km, and it will also be built in Hybrid Annuity Mode under the NH(O) program. The estimated cost of the project is ₹1,123.32 crore.

The NH(O) program aims to develop economic corridors connecting key centers of economic activity, such as industrial and agricultural hubs, ports, and border areas. These projects are expected to boost economic growth in the region by improving connectivity and reducing travel time.

The Hybrid Annuity Mode is a mix of Engineering, Procurement, and Construction (EPC) and Build-Operate-Transfer (BOT) models, where the government and private sector share the project cost and risk. Under this model, the government pays 40% of the project cost during the construction phase and the remaining 60% in installments over a period of 15 years after the completion of the project.

These projects will not only improve connectivity in Telangana but also create job opportunities during the construction phase. Moreover, the improved connectivity will enhance trade and commerce, leading to overall economic growth in the region.