Telangana government had announced grand plans of redesigning and changing nearly the entire road network in the city under the Strategic Road Development Plan (SRDP). However the plan ran in to trouble after GHMC turned down the state government’s proposal saying that it can not afford such high priority project.
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About 20 flyovers and improved junctions were planned under SRDP. The project’s first phase and land acquisition itself will cost 5000 Crore. The government had entrusted the project with GHMC to furnish a financial and operational model of the project under Design, Build, Maintain and Transfer (DBMT) annuity model.
However GHMC turned down the proposal because of poor revenues and the heavy financial burden it would impose on the civic body. GHMC says that Public Private Partnership (PPP) method will not work for this project as the developer cannot recover the amount from the people through tolls and will have to be totally funded by the state government.
