53
1. INTRODUCTION India is a vast country with a land area of 3,287,240 sq Km, a population of 115 crores living in 638,365 villages and 5169  towns and cities, where the primary mode of physical connect ivity is road transport . Road infrastr uctur e anchor s the economy and the soci ety by allowing human movement as well as production and exchange of goods and services. The role and importance of infrastructure for an economy is like that of the foundation to a building and the level of infrastructure availability is one of the key indices of the level of economic development and quality of life of the citizens of a country. Infrastructure in general and road infrastructure in parti cular plays a pivotal role in promoting economic growth and making this growth more inclusive by sharing the benefits of growth with poorer groups and communities, particularly in remote and isolated areas, by facilitating their access to basic ser vices and by hel ping in increasing their income generat ing capacity. At the time of independence, the national government was unanimous in accepting that a much wider base of infrastructure was necessary for economic development of this countr y. The s ucces sive plans were f ormulate d on such lines that the infr astr uctural sectors claimed the lion’s share of the plan outlays and actual expenditures. If the firs t ten five-yea r plans and the annual plans are consi dered toget her, the Total Allocated Spending has been Rs. 33954 Bil lion, of which the infrast ruct ural sector s accounted for Rs. 22452 Billion, i.e. more than 66% o f the t otal allocation. Since 1991- 92, a number of wide-ranging reforms have been carried out in the infrastructure sector covering roads and highways development, civil aviation, telecommunications . It has been because of such paramount importance being attached to the development of the infrastructure in our economic planning that long strides have been made in the physical availability of such facilities in India. This dissertation seeks to examine the importance of the development of roads in relation to the growth and development of the Indian economy. The importance of the road sector, the classification of roads, the statutes and institutional structure, the allocation to the road sector under the various Five-Year plans, the problems faced by the road sector, the recent developments and the future scope and importance of the road sector is discussed herein. 1

road term paper

Embed Size (px)

Citation preview

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 1/53

1. INTRODUCTION

India is a vast country with a land area of 3,287,240 sq Km, a population of 115 croresliving in 638,365 villages and 5169 towns and cities, where the primary mode of physical

connectivity is road transport. Road infrastructure anchors the economy and the societyby allowing human movement as well as production and exchange of goods and services.The role and importance of infrastructure for an economy is like that of the foundation toa building and the level of infrastructure availability is one of the key indices of the levelof economic development and quality of life of the citizens of a country. Infrastructure ingeneral and road infrastructure in particular plays a pivotal role in promoting economicgrowth and making this growth more inclusive by sharing the benefits of growth withpoorer groups and communities, particularly in remote and isolated areas, by facilitatingtheir access to basic services and by helping in increasing their income generatingcapacity.

At the time of independence, the national government was unanimous in accepting that amuch wider base of infrastructure was necessary for economic development of thiscountry. The successive plans were formulated on such lines that the infrastructuralsectors claimed the lion’s share of the plan outlays and actual expenditures. If thefirst ten five-year plans and the annual plans are considered together, the TotalAllocated Spending has been Rs. 33954 Billion, of which the infrastructural sectorsaccounted for Rs. 22452 Billion, i.e. more than 66% of the total allocation. Since 1991-92, a number of wide-ranging reforms have been carried out in the infrastructure sector covering roads and highways development, civil aviation, telecommunications. It has beenbecause of such paramount importance being attached to the development of theinfrastructure in our economic planning that long strides have been made in the

physical availability of such facilities in India.

This dissertation seeks to examine the importance of the development of roads in relationto the growth and development of the Indian economy. The importance of the road sector,the classification of roads, the statutes and institutional structure, the allocation to theroad sector under the various Five-Year plans, the problems faced by the road sector, therecent developments and the future scope and importance of the road sector is discussedherein.

1

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 2/53

2. LITERATURE REVIEW

IMPORTANCE OF THE ROAD SECTOR 

As per  www.pwc.com/in/en/publications/infrastructure-in-india .jhtml (1), the Indianeconomy is booming, with rates of Gross Domestic Product (GDP) growth exceeding 8%every year since 2003/04. This ongoing growth is due to rapidly developing services andmanufacturing sectors, increasing consumer demand (largely driven by increasedspending by India’s middle class) and government commitments to rejuvenate theagricultural sector and improve the economic conditions of India’s rural population. Inthe fiscal year ending March 2008, India’s GDP grew by more than 9%. This robust rateof expansion was initially forecast to continue in the 2008-2009 fiscal year, but the onsetof global recession and its cascading effect slowed down the growth rate to 6.5% to 7%,but that appears to be a short-run phenomenon. According to www.morth.nic.in/ (2), evenin the face of such a recession, the Government has singled out infrastructure investment

as particularly vital to facilitate a turnaround and accelerate the growth process. Indeed,even with a somewhat slower rate of growth, the Indian economy is still expandingsignificantly, and substantial investment in the infrastructure sector continues to hold thekey to sustaining India’s economic progress. The country’s capacity to absorb and benefitfrom new technology and industries depends on the availability, quality and efficiency of basic forms of infrastructure.

The Tenth Five Year Planhttp://planningcommission.nic.in/plans/planrel/fiveyr/10th/volume2/v2_ch8_3.pdf   (3)

brings out the importance of roads as follows, “Roads are the key to the development of 

an economy. A good road network constitutes the basic infrastructure that propels thedevelopment process through connectivity and opening up the backward regions to tradeand investment. Roads also play a key role in inter-modal transport development,establishing links with airports, railway stations and ports. In addition, they have animportant role in promoting national integration, which is particularly important in alarge country like India”.As per present estimates, the road network carries nearly 65% of freight and 85% of passenger traffic.

As per Indian Economy (Dutt and Sundaram) the Seventh Plan (4), the importance of roads is as follows: “Since the country’s economy is still largely agrarian in character and

the settlement pattern is rural-oriented, roads constitute a critical element of thetransportation infrastructure. Road construction and maintenance generate sizeableemployment opportunities, a factor that has assumed considerable importance withdemographic expansion and the growth of the labour force. Better roads also achieve fueleconomy and improve the overall productivity of the road transport sector.”

Roads are a necessary complement to railways. India is a country of villages and onlyroads can connect villages, Railways can connect towns. Road transport is quick,

2

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 3/53

convenient and flexible for short distance travel as well as movement of goods. Roadstransport is of particular advantage to the farmers since good roads help farmers to movetheir produce, particularly the perishable products quickly to mandis and towns as well asthe nearest railway station to market their products. During the monsoon season, it maybe impossible for the villagers to move out of their village unless there are good roads.

Roads are also highly significant for the defence of the country in order to move troopsquickly from one place to another in times of emergency.

While speaking about the advantages of roads, the Manasi Committee emphasized,“Speed is of vital importance in a developing economy and this is where roads will play afar greater role than at any time in the past and will have to be developed on a large scale.Road development is all the more important because of the difficulty of railways to meetthe growing transport needs of a developing economy.”

CLASSIFICATION OF ROADS

According to http://en.wikipedia.org/wiki/Indian_Road_Network   (5), India has a largeroad network of over 3.314 million kilometers of roadways, making it the second largest road network  in the world. For the purpose of management and administration, roads inIndia are divided into the following five categories:

• National Highways (NH)  : These are main highways running through the length andbreadth of the country connecting major ports, state capitals, large industrial andtourist centres, etc. National Highways in India are designated as NH followed by thehighway number. The National Highway system is the primary road grid and is thedirect responsibility of the Central Governemnt. The National Highways are intended

to facilitate medium and long distance inter-city passenger and freight traffic acrossthe country.

The traffic on National Highways has been growing due to the recent economicgrowth in India and the Government of India is taking steps to improve managementtechniques to provide hindrance-free traffic movement by way of widening roads,grade separation, construction of bypasses, bridges, rail-road crossings, and utilizingthe latest technologies.

Even though the National Highways represent only 2% of the total network  length,they handle about 40% of the total road traffic. As per the Urban Land Institute's

Infrastructure 2008: A competitive advantage report, "more than 90% of India's40,625 miles (65,000 km) of national highways are single or two-lane roads.

The National Highways are further classified based on the width of carriageway of the Highway. Generally, in case of a single lane, the lane width is of 3.75 meters,while in case of multi-lane National Highways, each of the lanes have a width of 3.5meters. As of February 2008, out of the total length, 14% have four or more lanes and

3

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 4/53

about 59% have 2-lanes or are double-laned, while the rest (27%) of the NationalHighway network has single or intermediate lane.

• Expressways  : The Expressways of India make up approximately 200 km of the Indian National Highway System. Usually no two-wheelers, three-wheelers or tractor 

vehicles are allowed on these roads. Speed of upto 120 km/h can be maintained onthese roads due to separate merging lanes and the lack of speed breakersso as toensure smooth travel. Most of the existing expressways in India are toll roads.However, the National Highway System also consists of approximately 10,000 km of four-laned highways that do not feature full control of access. Currently, a massive project is underway to expand the highway network and the Government of India plans to add an additional 15600 km of expressways to the network by the year 2022.

• State Highways (SH)  : State Highways refers to the numbered highways which are laidand maintained by the State Government. The are not related to National Highways

and are not involved with the NHAI or the Central Government in any way. The StateHighways usually are roads which link important cities, towns, district headquarterswithin the state and connecting them with National Highways or Highways of theneighbouring states. These highways provide connections to industries / places fromkey areas in the state making them more accessible. The State Highways carry thetraffic along major centers within the State.

• District Roads  : District roads are classified into two categories- major district roadsand other district roads. Major District Roads provide the secondary function of linkage between main roads and rural roads.

• Rural Roads  : The last link in the chain is rural roads. The rural roads form asubstantial portion of the vast Indian road network. Rural connectivity is a keycomponent of rural development and contributes significantly to generating higher agricultural incomes and productive employment opportunities besides promotingaccess to economic and social services. Studies show that rural roads have asignificant impact on poverty reduction. Since the agricultural produce and thefinished products of small-scale industries in rural areas are to be moved from theproducing centres to the marketing centres, road connectivity is essential for ruralpopulation.

For the development of rural roads, Pradhan Mantri Gram Sadak Yojana (PMGSY)(or "Prime Minister Rural Roads Scheme"), was launched in December 2000 by theGovernment of India to provide connectivity to unconnected rural habitations as partof a poverty eradication measure. For its implementation, the Government of India issetting uniform technical and management standards and facilitating policydevelopment and planning at State level in order to ensure sustainable management of the rural roads network. The scheme is to be implemented in phases wherein the

4

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 5/53

number of roads under each phase would be governed by the population of habitations (hamlets). For example, the initial phase would attempt to cover allinhabitations with a population of 1000. As per  

http://planningcommission.nic.in/plans/planrel/fiveyr/10th/volume2/v2_ch8_3.pdf , (6)

following the 73rd Constitution Amendment Act, rural roads have been placed in the

Eleventh Schedule and their upkeep has become the responsibility of the PanchayatiRaj institutions (PRIs).

It is expected that about 3,75,000 km of new road construction and 3,72,000 km of upgradation/renewal would be undertaken as part of the scheme. The constructioncost is fully borne by the Government of India as a Centrally sponsored Scheme,while the State Governments are responsible for providing maintenance funds. As of May 24, 2007, more than 122,000 km of roads have been completed under PMGSYand work is in progress in projects covering another 1,00,000 km.

STATUTES AND INSTITUTIONAL STRUCTURE

According to infrastructure.gov.in/highways.htm (7), the functions relating todevelopment, maintenance and management of National Highways are carried out by theCentral Govt. under the provisions of National Highways Act, 1956. The Act has beenamended in June, 1995 to permit private sector participation.The policy of privatization of National Highways will be implemented by the NationalHighways Authority of India (NHAI). The NHAI was established under the NationalHighways Authority of India Act, 1988 but was operationalised on February 1995. The

Authority is an Autonomous Body with executive responsibility for the development,maintenance and operation of those National Highways and associated facilities vested init by the Ministry of Surface Transport. It is intended to take over the management of theentire National Highways on agency basis in a phased manner. The Authority has beenentrusted with the execution of the highway projects under ADB-III as well as OEC-III.In addition, NHAI will also be implementing other externally aided projects like WorldBank-III and maintenance thereof. NHAI will also be responsible for implementation of the policy of privatization in highway sector.

National Highways Development project

As per en.wikipedia.org/.../National_Highways_Development_ProjectIn (8), in order toimprove the road network on a country wide level, the National Highway DevelopmentProject was set up by the PMO. The project aims to develop the Golden Quadrilateral andthe North south as well as the East West corridor as these are the high volume sectorscarrying the substantial portion of the road traffic in India.

5

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 6/53

Central Road Fund

According tohttp://www.morth.nic.in/writereaddata/sublink2images/AnnaulReport200809_Eng6969980905.pdf  (9)  The Central Government has created a dedicated fund called Central RoadFund (CRF) from collection of Cess on Petrol and High Speed Diesel (HSD) Oil.

Presently, Rs.2/- per litre is collected as cess on petrol and HSD Oil. The fund isdistributed for development and maintenance of National Highways, state roads, ruralroads, and for railway over bridges/under bridges and other safety features as provided inCentral Road Fund Act, 2000.

State Road Funds

As per  http://web.worldbank.org/WBSITE/EXTERNAL/COUNTRIES/SOUTHASIAEXT/EXTSARREGTOPTRANSPORT/0,,contentMDK:20688592~menuPK:867153~pagePK:34004173~piPK:34003707~theSitePK:579598,00.html (10) there has also been experimentationwith dedicated road funds at the state level. Assam, Kerela, Maharashtra, and Uttar 

Pradesh have established road funds while many other states governments are movingtowards setting up such funds. These state road funds are financed by multiple resources:budgetary support from central government and state government, direct road user charges from cess on fuel, motor vehicle taxes, fees and tolls, indirect road user charge/tax such as hotel tax and levy on agriculture products, and other resource such asfines, loans. Similar to CRF, these road funds are used both for development andmaintenance of road network, except the one in Uttar Pradesh, which is dedicated for road maintenance. In addition, some states also established road funds for thedevelopment and maintenance of district and rural roads. Madhya Pradesh has theFarmer’s Road Fund, and Karnataka established the Chief Minister’s Grameen RasteAbhivrudhi Nidhi (CMGRAN).

ALLOCATION TO ROADS OVER THE FIVE YEAR PLANS

According to http://www.planningcommission.gov.in/plans/planrel/fiveyr/welcome.html (11), the allocation to road development over the various five-year plans is as follows:

First five-year Plan  : Rs. 146 crores

Second Five Year Plan  : Rs. 262 crores

Third Five Year Plan  : Rs. 871 crores

Fourth Five Year Plan  : Rs. 418 crores

Fifth Five Year Plan  : Rs. 445 crores Sixth Five Year Plan  : Rs. 3438 crores

Seventh Five Year Plan  : Rs. 5200 crores

Eighth Five Year Plan  : Rs. 13210 crores

Ninth Five Year Plan  : Rs. 48570 crores

Tenth Five Year Plan  : Rs. 59490  crores

Eleventh Five Year Plan  : Rs. 72530 crores

6

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 7/53

PROBLEMS OF THE ROAD SECTOR 

The condition of Roads and how users use them is a critical indicator of a nation'sRuling/ Administrative system and it’s level of economic development.  However, despite

their importance to the national economy, the road network in India is grossly inadequatein various respects. The main reason for these shortcomings is the inadequacy of fundsfor maintenance and improving the quality of the road network. The road sector is facingconsiderable funds constraint, especially in view of massive expansion, maintenance andupgradation requirements. According to Indian Economy (Dutt and Sundaram) (12), roaddevelopment in India was neglected in the past for various reasons. In the past, theCentral and State Governments did not appreciate the importance of developing the roadsystem. Secondly, there was shortage of finance for road construction and maintenance.This was particularly so in the case of municipalities and district boards. Moreover, therewas shortage of road building materials such as road rollers, cement,etc. Due to decadesof bureaucratic and procedural difficulties, the road network has suffered long delays and

time and cost overruns. Recently however, political leaders in India are making efforts toprioritize the modernization and expansion of the road network. Though much has beenachieved, a lot more has to be done to improve the road system in Inia. There are stillother environmental, logistical, and local issues contributing to delay in development of the road infrastructure.

The road grid as a whole suffers from serious capacity constraints, delay,congestion, fuel wastage and higher vehicle operating costs. In the tenth five year plan, each year there was a shortfall in the funds required for the maintenance of roads ranging from 63% to 67%. The existing network is inadequate and is unableto handle high traffic density at many places and has poor riding quality. Thegrowth of the road network is not in step with traffic growth. Freight traffic has

grown 120 times and passenger traffic has grown 100 times whereas road lengthup only 8 times in past 50 years.

About 40% of villages in India lack road connectivity and about 65% of Indianvillages do not have access to all-weather roads.

In India, expenditure in terms of road revenue generated is about 35%, while isUSA, Japan, and Germany it is 96%, 128%, 82% respectively.

Only fifty percent of the road length in the country is properly surfaced.

Many of the highways require major augmentation of capacity as well asstructural upgradation. 15% of the national highways and 75 per cent of the statehighways are still single lane roads. According to a Government estimate, 20% of national highways have to be converted to double lanes, 50% of two-lane roads

have to be strengthened, 30% of two-lane roads have to be four-laned. Almost45% of the National Highway network is under severe strain due to high volumeof traffic. The cost of removing all deficiencies in National Highways is estimatedat Rs. 164135 crores.

As per  http://www.business-standard.com/india/news/150-national-highway-projects face-cost-overruns-nath/69249/on (13), the government has announced that150 National Highway development projects are facing time and cost overrunsprimarily due to delay in land acquisition. According to

7

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 8/53

http://www.businessstandard.com/india/news/target7000 kmroads-not-to-be-achieved-this-year-nath/14/15/68553/on  (14), the government's annual target of constructing 7,000 km of roads will not be achieved this year. As per http://www.indianexpress.com/news/world-bank-withdraws-funding-to-road-project-over-laxity/425423/0 (15), after writing to the government on several

occasions over laxity in implementing World Bank-funded road projects, theWorld Bank is learnt to have withdrawn its funding for the Muzaffarpur-Lucknowproject. As per http://www.financialexpress.com/news/40-of-indian-road-projects-hit-cost-overrun-bump-wb/525362/0 (16), about 40% of all road constructioncontracts in India experience cost overruns of anywhere between 25% and 50%.The sector is plagued by Corruption, poor governance and implementation, a lack of skilled human resources and non-adherence to dispute resolution mechanisms.This is why Indian road projects are always running behind schedule, according toa World Bank report on the sector. The study noted that another recurringproblem in road construction contracts is delays in pre-construction activities area recurring problem across all road construction contracts. “On an average for 

national highway projects, it takes 50% more time than scheduled to hand over encumbrance-free land to the contractors…This is critical to effective projectexecution, as evidenced in other countries. The result is time and cost overrunsand related disputes that invariably end up in litigation,” it said. To meet the hugedeficit in the road sector, the World Bank has also highlighted the need toincrease the skilled human resources, construction equipment and material.

The road sector faces the problem of lack of funds for maintenance. According towww.financialexpress.com/.../national-highways-on-a-bumpy-ride.../199209/ - (17)

A comparison of the year-wise fund provided for maintenance and repair of NHsfrom 2002-03 to 2006-07 showed that the flow of funds were as low as Rs 730crore to Rs 870 crore per annum as against the annual requirement of about Rs

2,280 crore. The estimated fund requirement for maintenance of state roads isabout Rs 6,000 crore per year. According to the 12th Finance Commission, “Anannual central grant of Rs 3,750 crore will be provided during 2006-10 for all thestates in addition to the normal expenditure, which the states are expected to incur on maintenance of roads and bridges.” The gap between the requirements as per the norms and allocation has been widening over the years adding to the misery of the sector. Maintenance being a non-plan activity there is also a tendency by thegovernment to apply ad-hoc cuts in the face of resource constraints and divertmoney to other sectors.

There are multiple agencies for implementing road sector projects in variousStates, both for State Highways and Major District Roads and PMGSY. This

needs to be streamlined for improving efficiency and the work should be carriedout by one/two agencies only.

8

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 9/53

RECENT DEVELOPMENTS

• According to www.nhai.org/  (18), the important developments in recent times with

regard to highways are:o The golden quadrilateral connecting Mumbai, Delhi, Kolkata, and

Chennaio The North-South corridor linking Srinagar to Kanyakumari, and East-

West corridor linking Silchar to Porbandar o National expressways

o Four-laning and two-laning of important sections of highways, etc.

o Port connectivity and other projects-comprising 1,157 kms.

• As per  www.pppinindia.com/  (19), Public Private Partnership model is beingadopted in the development of national highways. To bridge the resource gap and

to instill competitive efficiency, efforts are being made to associate the privatesector with road projects. The invitation of private capital and management hasbrought about speed and efficiency in highway projects and added a never-beforeboost to the highway development projects across the country.

• According to The Times of India (20), the government will spend Rs.1 lakh crore(Rs.1,000 billion/$21 billion) this fiscal and an equal amount in subsequent yearswith a target of building 20 km of road every day, as per an announcement byMinister for Road, Transport and Highways, Mr. Kamal Nath.

• As per http://business.rediff.com/report/2009/sep/17/india-to-get-dollar-3-bn-from-world-bank-for-roads.htm (21), the World Bank has agreed to provide a $3billion loan for developing national highways. The World Bank assistance will beutilised for converting 6,372 km of one-lane highways to two-lane, out of the totalof 19,702 km of single lane highways in the country.

9

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 10/53

3. RESEARCH METHODOLOGY

3.1 INTRODUCTION TO RESEARCH METHODOLOGY

This dissertation seeks to research and examine the importance of the development of roads in relation to the growth and development of the Indian economy. The problemsrelating to the development of roads in India have also been examined. This research hasbeen undertaken with the usage of secondary data.

3.2 QUANTITATIVE AND QUALITATIVE DATA GATHERING

This dissertation has been prepared with the help of data and statistics from the followingsources:

• www.planningcommission.gov.in

• www.morth.nic.in

• www.finmin.nic.in 

• Infrastructure, Centre for Monitoring Indian Economy, June 2008

• www.infrastructure.gov.inThe expanded data sources are attached in the Bibliography.

This dissertation has adopted the following statistical tools and methods:o Correlation has been used to examine the degree of association between the allocation

to the road sector and the actual growth of the same.o Various graphs such as bar graphs, column graphs, trend lines, and pie charts have

been used to provide a systematic pictorial representation of the data and statistics of the range of years observed i.e.1975-2006.

10

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 11/53

3.3 DATA ANALYSIS

From Table 1 it can be seen that the Correlation coefficient between budgetary allocationand the growth in roads is 0.096804. This implies that there is an insignificant correlationbetween budgetary allocation and the growth in roads.

From Table 2 it can be seen that approximately 9-15% of funds for the maintenance andrepairs of National Highways have gone unutilized for the years under observation.1278.69 crores of funds for both the development as well the maintenance of NationalHighways have gone unutilized.

From figure 1 it can be seen that total road growth has seen fluctuations in the last sevenyears. There was an increase in road growth in the early part of the decade, followed by arapid slump, which was again ensued by fast paced growth. However, in recent years,although there has been continued growth of roads the rate of growth has decreased.

From figure 2 it can be seen that surfaced roads growth has seen fluctuations in the lastseven years. There was an increase in surfaced roads growth in the early part of thedecade, followed by a rapid slump, which was again ensued by fast paced growth.However, in recent years, although there has been continued growth of surfaced roads therate of growth has decreased.

From figure 3 it can be seen that the proportion of surfaced road length to total roadlength has been in the 50-60% range.

From figure 4 it can be seen that highway growth has seen fluctuations in the last sevenyears. There was an increase in highway growth in the early part of the decade, followed

by a rapid slump, which was again ensued by fast paced growth. However, in recentyears, although there has been continued growth of highways the rate of growth hasdecreased.

From figure 5 it can be seen that the proportion of surfaced highways length to totalnational highway length has been in the 60-70% range.

From figure 6 it can be seen that national highway growth has been on the rise in the lastseven years. There was a rapid increase in national highway growth in the year 2003-04.However, in the recent years, the rate of growth of national highways has decreased.

From figure 7 it can be seen that the proportion of surfaced national highways length tototal highway length has been very close to 100%.

From figure 8 it can be seen that state highway growth has seen fluctuations in the lastseven years. In each year, the increase in state highway road length has been offset by adecrease in the same in the following year. However, there has been a rapid rise in statehighway road length in the last year of observation.

11

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 12/53

From figure 9 it can be seen that the proportion of surfaced state highways length to totalstate highway length has been in the 80-90% range.

From figure 10 it can be seen that the proportion of surfaced community developmentroads to the total length of community development roads is very low, ranging between

15-25%.

From figure 11 it can be seen that the proportion of surfaced village panchayat roads tothe total length of village panchayat roads is very low, ranging between 10-15%.

From figure 12 it can be seen that the proportion of surfaced panchayat roads to the totallength of panchayat roads is very low, at aroung 30%

From figure 13 it can be seen that the length of surfaced PWD roads to the total length of Pwd roads is above 90%.

From figure 14 it can be seen that the length of surfaced Zilla Parishad Roads to the totallength of Zilla Parishad roads is between 50-55%

From figure 15 it can be seen that there has been an overall increase in the growth of urban roads. However, the rate of growth of the same has been fluctuating over the years.

From figure 16 it can be seen that the proportion of surfaced urban roads to total urbanroads is between 60-80%.

From figure 17 it can be seen that the proportion of surfaced Municipal roads to totalmunicipal roads is between 75-85%.

From figure 18 it can be seen that the proportion of unsurfaced roads to total road lengthranges between 40-50%.

From figure 19 it can be seen that the percentage change in unsurfaced roads has beenranging between approximately -5 to 15%.

From figure 20 it can be seen that the percentage change in surfaced roads has beenranging between approximately -4 to 10%.

From figure 21 it can be seen that the percentage change in all roads has been rangingbetween approximately -4 to 12%.

From figure 22 it can be seen that surfaced roads density has seen a total increase of about 300% over the years under observation.

From figure 23 it can be seen that unsurfaced roads density has seen a total increase of about 100% over the years under observation.

12

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 13/53

From figure 24 it can be seen that total roads density has seen a total increase of about250% over the years under observation.

From figure 25 it can be seen that National Highway Length was ranging between 20000and 40000 kilometers for the first 25 years of the observation but has taken a quantum

leap in the last decade and has almost touched 60000 kilometers in the last year of theobservation i.e. 2005-06.

From figure 26 it can be seen that National Highway growth was very slow until the year 2003 where it took a huge leap.

From figure 27 it can be seen that State Highway Length was ranging between 50000 and100000 kilometers for the first 20 years of the observation but started growing rapidly inthe post liberalization era i.e. post 1991-92.

From figure 28 it can be seen that State Highway Growth movements has been very slow

barring the years 1992-93.

From figure 29 it can be seen that the proportion of surfaced district roads to total districtroads has risen from around 50% to around 70% during the years of observation.

From figure 30 it can be seen that the growth of PWD roads has been very slow barringthe years 1999 to 2002.

From figure 31 it can be seen that the growth of Zilla Parishad Roads has been very slowbarring the years 1980-82 and 1992-94.

From figure 32 it can be seen that the growth of District roads has been relatively slowbarring the years 1997 to 2000.

From figure 33 it can be seen that the growth of Urban Roads has been very rapid in theyears 1995-2006 where almost 100000 kilometers of road length have been added.

From figure 34 it can be seen that urban roads growth was declining in the initial years of observation but continued to grow subsequently and showed rapid spurts in growth in theyears 1986, 1992-94 and 2002-02.

From figure 35 it can be seen that the length of Village Panchayat Roads has almostdoubled between the years 1990 and 2006 as compared to the length existing in the lateeighties.

From figure 36 it can be seen that there has been a drop in the length of CommunityDevelopment Roads from the year 1998 as compared to the preceding years whichshowed sustained growth. However, the growth of community development roads haspicked up in the last six years of the observation, though not matching the pre 1998 level.

13

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 14/53

From figure 37 it can be seen that there has been a relatively steady growth of Block Roads, with a boost in the same post 1990-91.

From figure 38 it can be seen that there has been wide fluctuations in the growth of Village Panchayat Roads over the years, where a few years of increase have been

followed by years of slower or even negative growth followed by an increase in growthagain.

From figure 39 it can be seen that the growth of Community Development Roads hasbeen relatively slow and even became negative in the late nineties but has picked up post2003-04.

From figure 40 it can be seen that there has been slow growth in Block Roads barring theearly eighties and late nineties.

From figure 41 it can be seen that around a little above half of India’s villages are

connected by roads.

From figure 42 it can be seen that the allocation to the NHAI is the maximum at almost50%, followed by rural roads and subsequently to the states.

From figure 43 it can be seen that density distribution of national highways is highestamong North-Eastern States.

14

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 15/53

4. HYPOTHESIS

“The impediments to road development in India are poor allocation andpoorer implementation”.

15

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 16/53

5. RESULTS

5.1 FINDINGS:The growth of roads is very insignificantly correlated to the allocation given for the roadsector. The glaring gap between allocation to roads and actual growth of the same canhence be attributed to poor allocation and poorer implementation. Despite the fact thatNHAI is a new generation organization of the Government of India fully equipped to takeup ultra-modern and large value projects in the road sector, shortfalls in targetachievement in implementation of National Highway projects is a repetitive feature eachyear. Shortage of funds has always been a serious bottleneck for the development of theroad sector. Moreover, even the allocated funds could not be utilized by them fully year after year. Hence, one can easily understand the efficiency level of implementingagencies of road projects at the state and district/panchayat levels. As in most major sectors, the problem in our country is not one of planning but of implementation; not oneof inappropriate Government programmes for its citizens, but one of delivery of governance.

o Most road development projects in India are lagging behind due to time

and cost overruns.o There has been an overall increasing trend in the growth of the road sector 

in India. However, the proportion of surfaced roads to the total road lengthcontinues to remain at an inadequate level.

o National highway growth has been fast paced.  However, the growth of 

state highways has not been able to match up with the growth of nationalhighways, both in terms of consistency and extent of surfacing.

o The development of rural roads, i.e. block/ community and panchayat

level roads is abysmally poor. As compared to developed nations, thepercentage of villages connected with all-weather roads in India is alsovery low. However, development of urban roads has shown a consistentlyupward trend over the years and the extent or level of development of suchroads is much better in comparison to the development of rural roads.

o The grants for the development of rural roads are thoroughly inadequate

• The growth of roads in India is not adequate to support and sustain GDP growthrate of 8-9% over the medium term.

16

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 17/53

5.2 EXPERIENCE AND INDIVIDUAL COPING STRATEGY

At a personal level, this research has been an eye-opener in understanding theimportance of the road sector in India. This research has also enabled me to becomemore proficient in the usage of Microsoft Excel.

5.3 RECOMMENDATIONS

• It is important to ensure that the allocation of funds for the growth of roads isadequate to meet the increasing demands on India’s infrastructure sector, tosupport the momentum in economic growth, especially industrial growth and toensure that every part of India has all-weather connectivity with the major highway systems.

• It is important for the Government of India to work more towards ruralconnectivity and improve the quality of rural roads by ensuring that all villagesare connected to the mainstream via all-weather roads.

• More focus should be laid on surfacing of unsurfaced roads, widening andstrengthening of existing roads to improve connectivity of rural and semi-urbanareas to urban centres and industrial clusters.

• More grants should be released to the states so as to ensure that the expansion of the road networks of the states and rural areas is commensurate with that of thenational road network. The Government of India should ensure that there abalance and parity between the growth of the national road network and that of the state road network as well as the rural road network.

• Last but not the least, the implementation mechanisms for road development mustbe strengthened and expedited. Strict monitoring and accountability on the projectimplementing agencies should be enforced.

17

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 18/53

6. CONCLUSION

6.1 FUTURE SCOPE

The future scope of this research is immensely wide in expanse. The research can betaken to another level by examining the exact inadequacies in the implementationmechanism for the development of the road sector. The research can also be expanded soas to study the contribution of the road sector to the GDP and arrive at a definitecorrelation between GDP growth and growth of the road sector. Research can also beundertaken with particular emphasis on problems relating to rural road sector and feasiblesolutions thereto. The impact of introduction of Public Private Partnership model on roadbuilding in India being commendable so far, the scope and desirability of replicatingsimilar models for development of state highways can also be examined in greater depth

and detail. Besides, a study of the impact of “golden quadrilateral” project on theeconomy at large and the adjoining areas in particular should be subject a matter of greatinterest and importance to general public as well as policy makers.

6.2 LIMITATIONS

The following limitations were faced while undertaking the research:

• Data was available on the contribution of the infrastructure sector to the GDP.However, there was lack of data on the contribution of the road sector to the GDPand hence that area could not be satisfactorily explored.

• Quantitative data was unavailable with regard to the inadequacies of theimplementation mechanism and hence this major area could not be studied andanalyzed in-depth.

18

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 19/53

7. EXECUTIVE SUMMARY

The role and importance of infrastructure for an economy is like that of the foundation toa building. The level of infrastructure availability is one of the key indices of the level of economic development and quality of life of the citizens of a country. Infrastructure playsan important role in promoting rapid economic growth and making this growth moreinclusive, by sharing the benefits of growth with poorer groups and communities,particularly in remote and isolated areas. Infrastructure facilitates the poor’s access tobasic services and helps increase their income generating capacity.

Roads are the key to the development of an economy. A good road network constitutesthe basic infrastructure that propels the development process through connectivity andopening up the backward regions to trade and investment. Roads also play a key role ininter-modal transport development, establishing links with airports, railway stations andports. In addition, they have an important role in promoting national integration, which isparticularly important in a large country like India. Since the country’s economy is still

largely agrarian in character and the settlement pattern is rural-oriented, roads constitute acritical element of the transportation infrastructure. Road construction and maintenancegenerate sizeable employment opportunities, a factor that has assumed considerableimportance with demographic expansion and the growth of the labour force. Better roadsalso achieve fuel economy and improve the overall productivity of the road transportsector. However, despite their importance to the national economy, the road network inIndia is grossly inadequate in various respects. The main reason for these shortcomings isthe inadequacy of funds for maintenance and improving the quality of the road network.The road sector is facing considerable funds constraint, especially in view of massiveexpansion, maintenance and upgradation requirements.

The importance of the development of roads in relation to the growth and development of the Indian economy has been examined. The problems relating to the development of roads in India have also been examined.

Road Development in India is more a problem of poor implementation than of allocation.

The implementation mechanisms for road development must be strengthened andexpedited so as to ensure that the growth of the road network of India can match up to thenecessary level.

The future scope of this research is immensely wide in expanse.

19

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 20/53

ANNEXURE

Table 1

Years

Budgetaryallocation to

roads(incrores)

Growthin

roads(inkms) Correlation coefficient between budgetaryallocation and growth in roads

2000-01 19373.51 96273 0.096804

2001-02 19351.68 -70432

2002-03 22054.79 68294

2003-04 22537.74 19428

2004-05 23932.84 30589

2005-06 38539.16 36677

Source: Indian Public Finance Statistics 2008-2009, Ministry of FinanceDepartment of Economic Affairs, Economic Division(22)

http://www.morth.nic.in/index3.asp?sublink2id=348&langid=2(23)

Author’s calculation (for the correlation)

Correlation(r) = NΣXY - (ΣX)(ΣY) / Sqrt([NΣX2 - (ΣX)2][NΣY2 - (ΣY)2])where

N = Number of values or elementsX = First ScoreY = Second ScoreΣXY = Sum of the product of first and Second ScoresΣX = Sum of First ScoresΣY = Sum of Second ScoresΣX2 = Sum of square First ScoresΣY2 = Sum of square Second Scores

Source: N.G. Das (24)

Table 2

Year  For Development of NHs For Maintenance and Repairs of NHs

  Totalamountallocated

Totalamountutilized

Percentageof utili-zation

Totalamountallocated

Totalamountutilized

Percentageof utili-zation

2004-05 5777.50 5124.04 88.69 745.56 678.95 91.07

2005-06 9001.75 8846.81 98.28 868.10 838.34 96.57

2006-07 10700.34 10609.48 99.15 814.38 784.56 96.342007-08 11195.11 11134.24 `99.46 1001.68 981.36 97.97

2008-09 12460.21 12433.68 99.79 974.32 828.80 85.06

Source: http://pib.nic.in/release/release.asp?relid=49942 (25)

20

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 21/53

Table 3

Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

All Roads 2302515 2398788 2328356 2396650 2416078 2446667 2483344

SurfacedRoads 1263364 1363127 1308420 1355380 1390598 1414547 1420489

Source: http://www.morth.nic.in/index3.asp?sublink2id=348&langid=2(26)

Trend in roads growth(all roads)

2200000

2250000

2300000

2350000

2400000

2450000

2500000

1999-

00

2000-

01

2001-

02

2002-

03

2003-

04

2004-

05

2005-

06

Years

Road Length(in kms)

All Roads

Figure 1

Source: Author’s calculation

21

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 22/53

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 23/53

Trend in growth of highways

1700000

1750000

1800000

1850000

1900000

1950000

2000000

1999-

00

2000-

01

2001-

02

2002-

03

2003-

04

2004-

05

2005-

06

Years

Road Length(in kms)

Highways

Figure 4

Source: Author’s calculation

Road Length(Highways)

0

500000

1000000

1500000

2000000

2500000

1999

-00

2000-01

2001

-02

2002-03

2003-04

2004-05

2005

-06

Years

Road

 Length(in kms)

Highways

Surfaced Highways

Figure 5

Source: Author’s calculation

Table 5Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

National highways 34508 34849 38517 49585 52010 57737 58112

Surfaced NationalHighways 34291 34637 38654 49368 51952 57679 58006

Source:http://www.morth.nic.in/writereaddata/sublinkimages/DFR_Expressway9202196751.pdf (28)

23

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 24/53

Trend in growth of National Highways

0

10000

20000

30000

40000

50000

6000070000

1999

-00

2000

-01

2001

-02

2002

-03

2003

-04

2004

-05

2005

-06

Years

Road Length(in kms)

National highways

Figure 6

Source: Author’s calculation

Road length(National Highways)

0

10000

20000

30000

40000

50000

60000

70000

1999-

00

2000-

01

2001-

02

2002-

03

2003-

04

2004-

05

2005-

06

Years

Road L

ength(in kms)

National highways

Surfaced National

Highways

Figure 7

Source: Author’s calculation

Table 6Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

State Highways 135187 137119 136489 137950 132797 132100 137711

Surfaced StateHighways 132862 134802 134304 135679 130592 129862 135546

Source: http://www.morth.nic.in/statemain.asp?linkid=162&langid=2 (29)

24

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 25/53

Trend in Growth of State Highways

128000

130000

132000

134000

136000

138000

140000

19

99-

00

20

00-

01

20

01-

02

20

02-

03

20

03-

04

20

04-

05

20

05-

06

Years

Road Length(in km

s)

State Highways

Figure 8

Source: Author’s calculation

Road Length(State Highways)

124000

126000

128000

130000

132000

134000

136000

138000

140000

1999-

00

2000-

01

2001-

02

2002-

03

2003-

04

2004-

05

2005-

06

Years

Road Len

gth(in kms)

State Highways

Surfaced StateHighways

Figure 9

Source: Author’s calculation

Table 7Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-0

Community Development/Panchayat SamitiRoads 115235 97794 99432 146258 146695 147413 148104

Surfaced CD/Panchayat samiti roads 28008 29982 31884 55296 35572 36691 37273

Source: http://pmgsy.nic.in/pmgsy.asp (30)

25

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 26/53

Road Length(Community Roads)

0

20000

40000

60000

80000

100000

120000

140000

160000

1999

-00

2000

-01

2001-02

2002-03

2003

-04

2004

-05

2005-06

Years

Road Length(in kms)

Community

Development/Panchayat

Samiti RoadsSurfaced CD/Panchayat

samiti roads

Figure 10Source: Author’s calculation

Table 8Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

Village Panchayat Roads 406575 444737 445353 425486 408524 406150 412595

Surfaced Village PanchayatRoads 58929 84463 84374 69485 53705 55675 57388

Source: http://pmgsy.nic.in/pmgsy.asp (31)

Road Length(Village Panchayat Roads)

0

100000

200000

300000

400000

500000

1999-

00

2000-

01

2001-

02

2002-

03

2003-

04

2004-

05

2005-

06Years

Road Length(in kms)

Village Panchayat

Roads

Surfaced Village

Panchayat Roads

Figure 11

Source: Author’s calculation

26

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 27/53

Table 9Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-

Panchayat Raj Roads 957526 987103 996359 1028410 1038356 1041167 10601

Surfaced Panchayat RajRoads 325319 358422 364217 375776 326176 368152 3784

Source: http://pmgsy.nic.in/pmgsy.asp (32)

Road Length(Panchayat Roads)

0

200000

400000

600000

800000

1000000

1200000

1999

-00

2000

-01

2001-02

2002

-03

2003

-04

2004-05

2005-06

Years

Road Length(in kms)

Panchayat Raj Roads

Surfaced Panchayat Raj

Roads

Figure 12

Source: Author’s calculation

Table 10

Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06PWD Roads 886396 930232 826515 859851 915487 925838 921284

Surfaced PWDRoads 736830 779951 714803 748288 784056 798057 796910

Source: http://www.morth.nic.in/index1.asp?linkid=224&langid=2 (33)

27

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 28/53

Road Length(PWD Roads)

0

200000

400000

600000

800000

1000000

1999-00

2000

-01

2001

-02

2002

-03

2003-04

2004

-05

2005-06

Years

Road Length

(in kms)

PWD RoadsSurfaced PWD Roads

Figure 13

Source: Author’s calculation

Table 111999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-0

Zilla Parishad Roads 435716 444572 451574 456666 483137 487604 499462

Surfaced Zilla ParishadRoads 238382 243977 247959 250995 272899 275786 283832

Source: http://www.morth.nic.in/index1.asp?linkid=224&langid=2 (34)

Road Length(Zilla Parishad Roads)

0

100000

200000

300000

400000

500000

600000

1999-0

0

2000-0

1

2001-0

2

2002-0

3

2003-0

4

2004-0

5

2005-0

6

Years

Road Length(in kms)

Zilla Parishad Roads

Surfaced Zilla Parishad

Roads

Figure 14

Source: Author’s calculation

28

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 29/53

Table 12Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

Urban Roads 212920 231573 236055 237866 248408 252001 250122

Surfaced urbanroads 156124 175798 178877 180558 188325 191797 190102

Source: http://www.morth.nic.in/index1.asp?linkid=224&langid=2 (35)

Trend in growth of Urban Roads

190000

200000

210000

220000

230000

240000

250000

260000

1999-

00

2000-

01

2001-

02

2002-

03

2003-

04

2004-

05

2005-

06

Years

Road Length(in kms)

Urban Roads

Figure 15

Source: Author’s calculation

Road Length(Urban Roads)

0

50000

100000

150000

200000

250000

300000

199

9-00

200

0-01

200

1-02

200

2-03

200

3-04

200

4-05

200

5-06

Years

Road Length(in kms)

Urban Roads

Surfaced urban roads

Figure 16

Source: Author’s calculation

29

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 30/53

Table 131999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

Municipal Roads 190240 208541 212635 214475 224983 228607 226706

Surfaced MunicipalRoads 135451 154711 157458 159169 166936 170437 168719

Source: http://www.morth.nic.in/index1.asp?linkid=224&langid=2 (36)

Road Length(Municipal Roads)

0

50000

100000

150000

200000

250000

1999-0

0

2000-0

1

2001-0

2

2002-0

3

2003-0

4

2004-0

5

2005-0

6

Years

Road Length(in kms)

Municipal Roads

Surfaced Municipal

Roads

Figure 17

Source: Author’s calculation

Table 14

YearsSurfacedRoads

UnsurfacedRoads

AllRoads

%changesurfaced

roads

%changeunsurfaced

roads%changeall roads

1975-76 397940 519940 917880

1976-77 435974 576425 1021399 9.56 10.86 10.3

1977-78 474467 653476 1127943 8.83 13.37 11.41

1978-79 498837 672481 1171318 5.14 2.91 3.85

1979-80 522635 692627 1215262 4.77 3 3.75

1980-81 547414 657437 1204851 4.74 -5.08 -0.86

1981-82 571675 736123 1307798 4.43 11.97 8.54

1982-83 595964 776176 1372140 4.25 5.44 4.92

1983-84 623402 821884 1445286 4.6 5.89 5.33

1984-85 644216 847657 1491873 3.34 3.14 3.221985-86 683676 801745 1485121 6.13 -5.42 -0.43

1986-87 731959 813932 1545891 7.06 1.52 4.07

1987-88 726159 852947 1579106 -0.79 4.79 2.15

1988-89 747003 873501 1620504 2.87 2.41 2.62

1989-90 787935 899013 1686948 5.48 2.92 4.1

1990-91 824916 901188 1726104 4.69 0.24 2.32

1991-92 857890 922687 1780577 4 2.39 3.16

1992-93 888380 955040 1843420 3.55 3.51 3.53

30

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 31/53

1993-94 957631 962254 1919885 7.8 0.76 4.15

1994-95 1016386 967481 1983867 6.14 0.54 3.33

1995-96 1025215 976729 2001944 0.87 0.96 0.91

1996-97 1048682 972759 2021441 2.29 -0.41 0.97

1997-98 1117623 932594 2050217 6.57 -4.13 1.42

1998-99 1143085 935425 2078510 2.28 0.3 1.38

1999-00 1169854 939106 2108960 2.34 0.39 1.462000-01 1263364 1039151 2302515 7.99 10.65 9.18

2001-02 1363127 1035661 2398788 7.9 -0.34 4.18

2002-03 1308420 1019936 2328356 -4.01 -1.52 -2.94

2003-04 1355380 1041270 2396650 3.59 2.09 2.93

2004-05 1390598 1025480 2416078 2.6 -1.52 0.81

2005-06 1414547 1032120 2446667 1.72 0.65 1.27

2006-07 1420489 1062855 2483344 0.42 2.98 1.5

Source:http://www.morth.nic.in/writereaddata/sublinkimages/overview_NH3244795788.htm (37)

Graph 18:

Road Length Growth

0

500000

1000000

1500000

2000000

2500000

3000000

19

75-

19

81-

19

87-

19

93-

19

99-

20

05-

Years

Road Length(i 

Unsurfaced Roads

Surfaced Roads

Figure 18

Source: Author’s calculation

31

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 32/53

%change unsurfaced roads

-10

-5

0

5

10

15

1975-76

1979-80

1983-84

1987

-88

1991-92

1995-96

1999-00

2003-04

Years

Percentage chang

%change unsurfaced

roads

Figure 19

Source: Author’s calculation

% change surfaced roads

-6

-4

-20

2

4

6

8

10

12

1975-76

1980-81

1985-86

1990-91

1995-96

2000-01

2005-06

Years

Percen

tage change 

len

gth(all roads

% change

surfaced roads

Figure 20

Source: Author’s calculation

32

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 33/53

%change all roads

-4

-2

0

2

4

6

8

10

12

14

1975-76

1978-79

1981-82

1984-85

1987-88

1990-91

1993-94

1996-97

1999-00

2002-03

2005-06

Years

Percentage change

%change all roads

Figure 21

Source: Author’s calculation

Table 15

Years

SurfacedRoadsDensity

UnsurfacedRoadsDensity

AllRoadsDensity

1975-76 121.06 158.17 279.22

1976-77 132.63 175.35 307.98

1977-78 144.34 198.79 343.13

1978-79 151.75 204.57 356.32

1979-80 158.99 210.7 369.69

1980-81 166.53 200 366.521981-82 173.91 223.93 397.84

1982-83 181.3 236.12 417.41

1983-84 189.64 250.02 439.66

1984-85 195.97 257.86 453.83

1985-86 207.98 243.89 451.87

1986-87 222.67 247.6 470.27

1987-88 220.9 259.47 480.37

1988-89 227.24 265.72 492.96

1989-90 239.69 273.48 513.18

1990-91 250.94 274.15 525.09

1991-92 260.97 280.69 541.66

1992-93 270.25 290.53 560.781993-94 291.32 292.72 584.04

1994-95 309.19 294.31 603.5

1995-96 311.88 297.13 609

1996-97 319.01 295.92 614.93

1997-98 339.99 283.7 623.69

1998-99 347.73 284.56 632.29

1999-00 355.88 285.68 641.56

33

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 34/53

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 35/53

Figure 24

Figure 24

Source: Author’s calculation

Table 16

Years

NationalHighway

s

StateHighway

s

%changein

Nationalhighways

%changein state

highways

1976-77 23838 56765

1977-78 27846 84909 16.81 49.58

1978-79 29092 86215 4.47 1.54

1979-80 29095 87571 0.01 1.57

1980-81 29156 88514 0.21 1.08

1981-82 29149 92198 -0.08 0.79

1982-83 29311 93225 0.56 1.11

1983-84 29382 93208 0.24 -0.02

1984-85 29467 95150 0.29 2.08

1985-86 31671 94359 7.48 -0.83

1986-87 31777 95654 0.33 1.37

1987-88 31767 96969 -0.03 1.37

1988-89 31817 97041 0.16 0.07

1989-90 31852 99262 0.11 2.29

1990-91 32088 100461 0.74 1.21

1991-92 32305 100970 0.68 0.51

1992-93 32446 115989 0.44 14.871993-94 32886 123131 1.36 6.16

1994-95 33479 124266 1.8 0.92

1995-96 33650 127311 0.51 2.45

1996-97 33666 128622 0.05 1.03

1997-98 33916 129876 0.74 0.97

1998-99 34249 132401 0.98 1.94

1999-00 34262 134085 0.04 1.27

2000-01 34508 135187 0.72 0.82

35

All Roads Density

0

200

400

1975-76

1980-81

1985-86

1990-91

1995-96

2000-01

2005-06

Years

Road Density(Km per 

'000 sq km of 

geographical area)

All Roads

Density

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 36/53

2001-02 34849 137119 0.99 1.43

2002-03 38517 136489 10.53 -0.46

2003-04 49585 137950 28.74 1.07

2004-05 52010 132797 4.89 -3.74

2005-06 57737 132100 11.01 -0.52

2006-07 58112 137711 0.65 4.25

Source:http://www.morth.nic.in/writereaddata/sublinkimages/overview_NH3244795788.htm (39)

National Highways

0 20000 40000 60000 80000

1976-77

1981-82

1986-87

1991-92

1996-97

2001-02

2006-07

Year

Road Length(in kms)

National Highways

Figure 25

Source: Author’s calculation

Figure 26

Source: Author’s calculation

36

% change in in growth of National highways

1982-83

1985-86

1988-89

1991-92

1994-95

1997-98

2000-01

2003-04

2006-07

Years

Percentage change

% change in National

highways

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 37/53

State Highways

0 50000 100000 150000

1976-77

1981-82

1986-87

1991-92

1996-97

2001-02

2006-07

Years

Road Length(in kms)

State Highways

Figure 27

Source: Author’s calculation

Figure 28

Source: Author’s calculation

37

%change in growth of State highways

1982-83

1985-86

1988-89

1991-92

1994-95

1997-98

2000-01

2003-04

2006-07

Years

Percentage change

%change in state

highways

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 38/53

Table 17

Years

Totaldistrictroads

Surfaceddistrictroads

%changein other PWDroads

%changein zilla

parishadroads

%changein totaldistrictroads

1975-76 438080 2350421976-77 462581 23507 -2.38 19.9 5.32

1977-78 486767 251809 5.08 4.89 5

1978-79 516106 269705 7.09 4.54 6.03

1979-80 534422 284115 3.42 3.73 3.55

1980-81 599415 303891 8.26 -0.45 4.68

1981-82 611139 319694 5.89 14.46 9.25

1982-83 636010 338574 5.09 2.6 4.07

1983-84 656455 359829 4.37 1.51 3.21

1984-85 679516 379823 4.49 2.04 3.51

1985-86 695363 390646 2.1 2.69 2.33

1986-87 716852 414194 3.55 2.38 3.09

1987-88 739904 432649 4.19 1.7 3.221988-89 751093 451333 1.77 1.11 1.51

1989-90 779587 481115 5.74 0.66 3.79

1990-91 797793 506311 2.26 2.47 2.34

1991-92 823745 530427 4.87 0.52 3.25

1992-93 784408 544520 -7.85 0.63 -4.78

1993-94 873613 569371 0.92 28.21 11.37

1994-95 908545 604552 1.83 6.74 4

1995-96 908164 602260 2.4 -3 -0.04

1996-97 919892 618139 2.28 0.03 1.29

1997-98 979394 629165 1.96 2.14 2.01

1998-99 942199 652139 1.18 4.31 7.13

1999-00 1152417 808059 40.24 1.08 22.332000-01 1202836 854489 5.8 2.03 4.38

2001-02 1103083 790104 -14.08 1.57 -8.29

2002-03 1128982 814236 3.19 1.13 2.35

2003-04 1213817 874411 8.68 5.8 7.51

2004-05 1223605 886302 0.73 0.92 0.81

2005-06 1224887 887190 -1.44 2.43 0.1

Source:http://www.morth.nic.in/writereaddata/sublinkimages/overview_NH3244795788.htm (40)

38

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 39/53

District Roads(total)

0

200000

400000

600000

800000

1000000

1200000

1400000

1975

-76

1978-79

1981

-82

1984

-85

1987

-88

1990-91

1993-94

1996-97

1999-00

2002-03

2005-06

Years

Road Leng

th(in kms)

Total district roads

Surfaced district roads

Figure 29

Source: Author’s calculation

% change in District Roads (other PWD roads)

-20

-10

0

10

20

30

40

50

1975-76

1978

-79

1981-82

1984-85

1987-88

1990

-91

1993-94

1996-97

1999

-00

2002-03

2005

-06

Years

Percentage change

% change in other PWD

roads

Figure 30

Source: Author’s calculation

39

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 40/53

% change in district roads(zilla parishad roads)

-5

0

5

10

15

20

25

30

1975-76

1978-79

1981-82

1984-85

1987-88

1990-91

1993-94

1996-97

1999-00

2002-03

2005-06

Years

Percentage chnge

% change in zillaparishad roads

Figure 31

Source: Author’s calculation

% change in total district roads

-10

-5

0

5

10

15

20

25

1975-76

1978-79

1981-82

1984-85

1987-88

1990-91

1993-94

1996-97

1999-00

2002-03

2005-06

Years

P

ercentage change

% change in total

district roads

Figure 32

Source: Author’s calculation

40

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 41/53

Table 18

Years

Urban

Roads

%changein urban

roads1975-76 72123

1976-77 80127 11.1

1977-78 87220 8.85

1978-79 91307 4.69

1979-80 97473 6.75

1980-81 100005 2.6

1981-82 105023 5.02

1982-83 107862 2.7

1983-84 112379 4.19

1984-85 114221 1.64

1985-86 123320 7.97

1986-87 126095 2.251987-88 129801 2.94

1988-89 132416 2.01

1989-90 135299 2.18

1990-91 138647 2.47

1991-92 141618 2.14

1992-93 143537 1.36

1993-94 157193 9.51

1994-95 181171 15.25

1995-96 186779 3.11

1996-97 189352 1.37

1997-98 195150 3.06

1998-99 202013 3.521999-00 204577 1.27

2000-01 212920 4.08

2001-02 231573 8.76

2002-03 236055 1.94

2003-04 237866 0.77

2004-05 248408 4.43

2005-06 252001 1.45

Source:http://www.morth.nic.in/writereaddata/sublinkimages/overview_NH3244795788.htm (41)

41

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 42/53

Urban Roads

0 50000 10000

0

15000

0

20000

0

25000

0

30000

0

1975-76

1980-81

1985-86

1990-91

1995-96

2000-01

2005-06

Yea

r

Road Length(in kms)

Urban Roads

Figure 33

Source: Author’s calculation

% change in urban roads

02468

1012141618

1975-7

6

1978-7

9

1981-8

2

1984-8

5

1987-8

8

1990-9

1

1993-9

4

1996-9

7

1999-0

0

2002-0

3

2005-0

6

Years

Percentage change

% change in urban

roads

Figure 34

Source: Author’s calculation

42

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 43/53

Table 19

Years

VillagePanchayat

Roads

Communitydevelopment/panchayat

samiti roadsBlockRoads

% changein village

panchayatroads

% change inCD/panchayatsamiti roads

%changein blockroads

1975-76 107215 86068 193283

1976-77 108856 106414 215270 1.53 23.64 11.381977-78 154933 128311 283244 42.33 20.58 31.58

1978-79 155674 134442 290116 0.48 4.78 2.43

1979-80 159845 144518 304363 2.68 7.49 4.91

1980-81 156534 150749 307283 -2.07 4.31 0.96

1981-82 150173 156925 307098 -4.06 4.1 -0.06

1982-83 178903 158800 337703 19.13 1.19 9.97

1983-84 202835 180814 383649 13.38 13.86 13.61

1984-85 203761 172216 375977 0.46 -4.76 -2

1985-86 179848 175549 335397 -11.74 1.94 -5.47

1986-87 187109 184896 372005 4.04 5.32 4.67

1987-88 189644 201018 390662 1.35 8.72 5.02

1988-89 194748 211129 405877 2.69 5.03 3.891989-90 228361 208936 437297 17.26 -1.04 7.74

1990-91 236720 214066 450786 3.66 2.46 3.08

1991-92 258768 216156 474924 9.31 0.98 5.35

1992-93 285749 224981 510730 10.43 4.08 7.54

1993-94 281135 241320 522455 -1.61 7.26 2.3

1994-95 306582 223759 530341 9.05 -7.28 1.51

1995-96 313374 222909 536283 2.22 -0.38 1.12

1996-97 315592 221832 537424 0.71 -0.48 0.21

1997-98 446192 152327 598519 41.38 -31.33 11.37

1998-99 452632 153215 605847 1.44 0.58 1.22

1999-00 454138 114324 568462 0.33 -25.38 -6.17

2000-01 406575 115235 521810 -10.47 0.8 -8.212001-02 444737 97794 542531 9.39 -15.14 3.97

2002-03 445353 99432 544785 0.14 1.67 0.42

2003-04 425486 146258 571744 -4.46 47.09 4.95

2004-05 408524 146695 555219 -3.99 0.3 -2.89

2005-06 406150 147413 553563 -0.58 0.49 -0.3

2006-07 412595 148104 560699 1.59 0.47 1.29

Source: www.pmgsy.nic.in (42)

43

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 44/53

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 45/53

Block Roads(total)

0 200000 400000 600000 800000

1975-76

1980-81

1985-86

1990-91

1995-96

2000-01

2005-06

Years

Road Length(in kms)

Block Roads

Figure 37

Source: Author’s calculation

% change in village panchayat roads

-20

-10

0

10

20

30

40

50

1975-76

1978-79

1981-82

1984-85

1987-88

1990-91

1993-94

1996-97

1999-00

2002-03

2005-06

Years

Percentage change

% change in villagepanchayat roads

Figure 38

Source: Author’s calculation

45

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 46/53

% change in CD/panchayat samiti roads

-40

-30

-20

-10

0

10

20

30

40

5060

1975

-76

1979-80

1983-84

1987

-88

1991-92

1995-96

1999

-00

2003-04

Years

Percentage change

% change in

CD/panchayat samiti

roads

Figure 39

Source: Author’s calculation

% change in block roads

-15

-10

-5

0

5

10

15

20

25

30

35

1975-76

1978-79

1981-82

1984-85

1987-88

1990-91

1993-94

1996-97

1999-00

2002-03

2005-06

Years

Percentage change

% change in blockroads

Figure 40

Source: Author’s calculation

46

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 47/53

Table 20connectedvillages %

unconnectedvillages %

India 56.55 44.35

Source: www.pmgsy.nic.in (43)

India(villages connected by roads)

connected villages %

unconnected villages %

Figure 41

Source: Author’s calculation

Table 21

Central road fund 2009-10

(i) Grants to States Rs.1988.55 crores

(ii) Grants to States for Inter-State and Economical Important Roads Rs.213.97 crores

(iii) Grants to UT Governments Rs.81.51 crores

(iv) Grants to UTs for Inter-State and Economical Important Roads Rs.16.03 crores

(v) Investment in NHAI Rs.8578.45 crores

(vi) Railways Rs.958.36 crores

(vii) Rural roads Rs.4843.13 crores

Total Rs.16680.00 crores

Source:http://www.morth.nic.in/writereaddata/sublink2images/AnnaulReport200809_Eng69699

80905.pdf  

(44)

47

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 48/53

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 49/53

Goa 269 3.814 70.5 13.47 20

Gujarat 3245 196.02 16.6 506.71 6.4

Haryana 1512 44.212 34.2 211.44 7.2

HimachalPradesh

1409 55.673 25.3 60.77 23.2

Jammu &Kashmir 

1245 222.24 5.6 101.43 12.3

Jharkhand 1805 79.714 22.6 269.45 6.7

Karnataka 4396 191.79 22.9 528.5 8.3

Kerala 1457 38.863 37.5 318.41 4.6

Lakswadeep Is. 0 0.032 0 0.61 0

Madhya Pradesh 4670 308.25 15.1 603.48 7.7

Maharashtra 4176 307.69 13.6 968.78 4.3

Manipur 959 22.327 43 22.93 41.8

Meghalaya 810 22.429 36.1 23.18 34.9

Mizoram 927 21.081 44 8.88 104.4Nagaland 494 16.579 29.8 19.9 24.8

Orissa 3704 155.71 23.8 368.04 10.1

Pudducherry 53 0.495 107.1 9.74 5.4

Punjab 1557 50.362 30.9 243.58 6.4

Rajasthan 5585 342.24 16.3 565.07 9.9

Sikkim 62 7.096 8.7 5.4 11.5

Tamil Nadu 4832 130.06 37.2 624.05 7.7

Tripura 400 10.486 38.1 31.99 12.5

Uttarakhand 2042 55.845 36.6 84.89 24.1

Uttar Pradesh 6774 238.57 28.4 1662 4.1

West Bengal 2578 88.752 29 801.76 3.2

TOTAL 70548 3291.1 21.4 10287 6.9

Source: http://www.morth.nic.in/writereaddata/sublink2images/Density2419570544.htm (45)

49

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 50/53

Density Distribution of National HighwaysAndman & Nicobar 

Islands

Andhra Pradesh

Arunachal Pradesh

Assam

Bihar 

Chandigarh

Chhatisgarh

Dadar & Nagar Haveli

Daman & Diu

Delhi

Goa

Gujarat

Haryana

Himachal Pradesh

Jammu & Kashmir 

Jharkhand

Karnataka

Kerala

Lakswadeep Is.

Madhya Pradesh

Maharashtra

Manipur 

Meghalaya

Mizoram

Nagaland

Orissa

Pudducherry

Punjab

Rajasthan

Sikkim

Tamil Nadu

Tripura

Uttarakhand

Uttar Pradesh

West Bengal

Figure 43

Source: Author’s calculation

50

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 51/53

BIBLIOGRAPHY

1. www.pwc.com/in/en/publications/infrastructure-in-india.jhtml, Page 2

2. www.morth.nic.in/AnnualReport, Page 2

3. http://planningcommission.nic.in/plans/planrel/fiveyr/10th/volume2/v2_ch8_3.pdf Page 2

4. Ruddar Datt, KPM Sundharam, Indian Economy, Fifty-seventh EditionPage 2

5. http://en.wikipedia.org/wiki/Indian_Road_Network, Page 3

6. http://planningcommission.nic.in/plans/planrel/fiveyr/10th/volume2/v2_ch8_3.pdf ,Page 6

7. infrastructure.gov.in/highways.htm, Page 5

8. en.wikipedia.org/.../National_Highways_Development_ProjectIn, Page 5

9. http://www.morth.nic.in/writereaddata/sublink2images/AnnaulReport200809_Eng6969980905.pdf , Page 6

10. http://web.worldbank.org/WBSITE/EXTERNAL/COUNTRIES/SOUTHASIAEXT/EXTSARREGTOPTRANSPORT/0,,contentMDK:20688592~menuPK:867153~pagePK:34004173~piPK:34003707~theSitePK:579598,00.html, Page 6

11. http://www.planningcommission.gov.in/plans/planrel/fiveyr/welcome.html, Page6

12. Ruddar Datt, KPM Sundharam, Indian Economy, Fifty-seventh EditionPage 7

 13. http://www.business-standard.com/india/news/150-national-highway-projects 

face-cost-overruns-nath/69249/on , Page 7

14. http://www.businessstandard.com/india/news/target7000kmroads-not-to-be- achieved-this-year-nath/14/15/68553/, Page 8

15. http://www.indianexpress.com/news/world-bank-withdraws-funding-to-road-project-over-laxity/425423/0, Page 8

16. http://www.financialexpress.com/news/40-of-indian-road-projects-hit-cost-overrun-bump-wb/525362/0, Page 8

51

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 52/53

17. www.financialexpress.com/.../national-highways-on-a-bumpy-ride.../199209/ -,Page 8

18. www.pppindia.com/ , Page 9

19. www.nhai.org/ , Page 9

20. The Times Of India, 15th July, 2009, Page 9

21. http://business.rediff.com/report/2009/sep/17/india-to-get-dollar-3-bn-from-world-bank-for-roads.htm, Page 9

22. Indian Public Finance Statistics 2008-2009, Ministry of Finance, Department of Economic Affairs, Economic Division, Page 20

23. http://www.morth.nic.in/index3.asp?sublink2id=348&langid=2 , Page 20

24. Das,N.G., Statistical Methods In Commerce, Accountancy & Economics(Parts Iand II)

Page 20

25. http://pib.nic.in/release/release.asp?relid=49942 , Page 20

26. http://www.morth.nic.in/index3.asp?sublink2id=348&langid=2, Page 21

27.http://www.morth.nic.in/writereaddata/sublinkimages/DFR_Expressway9202196751.pdf , Page 22

28.http://www.morth.nic.in/writereaddata/sublinkimages/DFR_Expressway9202196751.pdf , Page 23

29.http://www.morth.nic.in/writereaddata/sublinkimages/DFR_Expressway9202196751.pdf , Page 24

30. http://pmgsy.nic.in/pmgsy.asp, Page 25

31. http://pmgsy.nic.in/pmgsy.asp, Page 26

32. http://pmgsy.nic.in/pmgsy.asp, Page 27

33.http://www.morth.nic.in/writereaddata/sublinkimages/DFR_Expressway9202196751.pdf , Page 27

34.http://www.morth.nic.in/index1.asp?linkid=224&langid=2, Page 28

35.http://www.morth.nic.in/index1.asp?linkid=224&langid=2, Page 29

52

8/7/2019 road term paper

http://slidepdf.com/reader/full/road-term-paper 53/53