14 per cent hike in allocation for road transport and highways

New Delhi, Mar 16 (ANI): The allocation for the Ministry of Road Transport and Highways has been enhanced to Rs. 25,360 crore, in 2012-13, which is a 14 per cent hike from the previous allocation.

This was announced by Finance Minister Pranab Mukherjee while presenting the General Budget 2012-13 here today.

Mukherjee also proposed to allow External Commercial Borrowings (ECB) for capital expenditure on the maintenance and operation of tolled roads and highways, as long as it is part of the original project. This is with a view to encourage PPPs in the road sector, he mentioned.

Mukherjee has set the target of 8,800 km for the highways to be constructed under the NHDP during 2012-13.

He stated that the Ministry of Road Transport and Highways is geared to achieve the target of awarding projects for 7,300 km under NHDP during 2011-12. This would be 44 per cent higher than the figure of 5,082 km awarded during 2010-11.

Mukherjee further informed that out of the 44 projects awarded during 2011-12, 24 projects have fetched a premium. (ANI)