NHAI Identifies 33 Highway Stretches For Monetisation In FY25

The National Highways Authority of India (NHAI) has set its sights on monetising 33 highway stretches covering a total distance of 2,741 kilometres during the current financial year. These initiatives, facilitated through toll operate transfer (TOT) and infrastructure investment trust (InvIT) modes, mark NHAI's continued efforts to leverage its assets for financial gains and infrastructural development.

The identified stretches span across various regions, including Uttar Pradesh, Rajasthan, Odisha, Tamil Nadu, and Bihar. Notable among them are routes like Lucknow-Aligarh, Kanpur-Ayodhya-Gorakhpur, and Bareilly-Sitapur in Uttar Pradesh, Gurugram-Kotputli-Jaipur bypass and Jaipur-Kishangarh in Rajasthan, and Panikoili-Rimuli in Odisha. These stretches are poised for monetisation, contributing to NHAI's strategic goals of enhancing connectivity and promoting economic growth.

NHAI emphasises that the asset monetisation will be executed through ToT/InvIT modes, with flexibility for the agency to review and adjust the list and modes of monetisation as needed. This approach underscores NHAI's commitment to adaptability and efficiency in its asset management strategies.

In the fiscal year 2023-24, NHAI achieved significant success in asset monetisation, surpassing its target by raising Rs 40,314 crore through various monetisation avenues. This achievement not only highlights NHAI's financial prowess but also underscores the growing investor interest in India's infrastructure sector.

Furthermore, NHAI's cumulative asset monetisation has now crossed the remarkable milestone of Rs 1 trillion, showcasing the substantial value and potential of India's highway assets. The Ministry of Road, Transport and Highways (MoRTH) has been instrumental in driving this momentum, with notable achievements including raising Rs 32,855 crore in 2022-23 through diverse asset monetisation mechanisms.

MoRTH's multifaceted approach to asset monetisation encompasses the toll-operate-transfer (TOT) model, Infrastructure Investment Trust (InvIT), and project-based financing, providing a spectrum of investment opportunities for stakeholders. InvIT, in particular, emerges as a promising instrument, resembling mutual funds and offering investors the prospect of long-term cash flows from highway assets.

As NHAI charts its course for monetising these identified highway stretches, the initiative not only serves as a significant revenue generation avenue but also contributes to the nation's infrastructure development goals. NHAI's proactive measures in asset monetisation reinforce India's commitment to fostering robust, sustainable, and investor-friendly infrastructure ecosystems.