Extension of Bharatmala Pariyojana Phase-I Deadline

Context:

The government has extended the deadline for the completion of the flagship highway development project, Bharatmala Pariyojana Phase-I, to 2027-28. This decision comes in the wake of a significant increase in the estimated cost of the project by over 100%, indicating a slowdown in implementation and financial constraints.

Relevance:

GS II: Government Policies and Interventions

Dimensions of the Article:

1. Bharatmala Pariyojana Overview
2. Enhancing Project Efficiency: The Way Forward

Bharatmala Pariyojana Overview

Introduction:

• Bharatmala Pariyojana is a comprehensive program initiated by the Ministry of Road Transport and Highways.

Phases and Timeline:

• The first phase of Bharatmala was introduced in 2017 with an initial completion target of 2022.

Salient Features:

• Enhanced Effectiveness:
  • Focuses on maximizing the efficiency of existing infrastructure.
• Multi-Modal Integration:
  • Aims to seamlessly integrate different modes of transportation.
• Bridging Infrastructure Gaps:
  • Addresses gaps in infrastructure for smooth movement.
• National and Economic Corridors:
  • Integrates both national and economic corridors for comprehensive development.

Key Program Features:

• Economic Corridors Integration:
  • Enhances connectivity between economically vital production and consumption centers.
• Inter-Corridor and Feeder Routes:
  • Ensures connectivity for the first mile and last mile.
• National Corridor Efficiency Improvement:
  • Focuses on lane expansion and decongestion of existing national corridors.
• Border and International Connectivity Roads:
  • Improves border road infrastructure for maneuverability and boosts trade with neighboring countries.
• Coastal and Port Connectivity Roads:
  • Strengthens connectivity to coastal areas, fostering both tourism and industrial development.
• Green-Field Expressways:
  • Introduces expressways to address traffic congestion and enhance efficiency.

Project Status:

• As of November 2023, 42% of the project, equivalent to 15,045 km, has been completed.

Challenges:

• Cost Factors:
  • Challenges include the cost of raw materials and increased land acquisition expenses.
• High-Speed Corridor Construction:
  • Challenges associated with constructing high-speed corridors.
• Goods and Services Tax (GST) Impact:
  • Increased GST rates pose a challenge to the project’s progress.

Enhancing Project Efficiency: The Way Forward

Strategic Procurement:

• Examine Procurement Methods:
  • Assess strategic procurement methods for acquiring raw materials at competitive prices.
• Negotiations with Suppliers:
  • Actively participate in negotiations with suppliers to secure favorable rates, especially during market fluctuations.

Land Acquisition Practices:

• Efficient and Transparent Practices:
  • Implement efficient and transparent land acquisition practices to mitigate compensation disputes.
• Exploration of Alternatives:
  • Explore alternatives such as land pooling and community engagement to streamline the land acquisition process.

High-Speed Corridors:

• Thorough Feasibility Studies:
  • Conduct comprehensive feasibility studies before incorporating high-speed corridors to ensure their viability.
• Optimized Corridor Designs:
  • Optimize corridor designs to strike a balance between functionality and cost-effectiveness.

GST Policies:

• Advocacy for Stability:
  • Advocate for stable and predictable GST policies to reduce uncertainties in the project.
• Engagement with Authorities:
  • Engage with government authorities to provide industry insights on the potential impact of tax rate changes.

-Source: The Hindu