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Reviving BOT model

Facts for Prelims (FFP)


Source: Live Mint

Context: The Minister of Road Transport and Highways in India, has suggested the revival of the Build Operate Transfer (BOT) model for road construction projects.

  • This proposal is in response to a lack of private investments in the sector, which has strained the government’s finances.
  • In recent years, the government has primarily funded highway construction through the hybrid annuity model (HAM) and engineering, procurement, and construction (EPC) model, resulting in a significant increase in budgetary support to the National Highways Authority of India (NHAI).