Budget 2024: Government aims for high-quality road network nationwide, fueled by FASTag and satellite tolls

Anurag Jain, Secretary for Road Transport and Highways, envisions continuous road construction over the next 12-13 years to establish a network of high-quality roads nationwide. This strategic development is aimed at boosting industrial growth, enhancing logistic efficiency, and fostering competitiveness.

One of the key innovations driving this transformation is the implementation of FASTag and the exploration of satellite tolling. FASTag has already proven its efficacy, reducing the average time spent at toll plazas from 12 minutes to a mere 47 seconds, Jain said, adding that the potential adoption of satellite tolling promises to eliminate stopping altogether, further amplifying efficiency gains in the transportation sector.

“In the next 12-13 years, we will continuously build roads and reach a level where every part of the country has good quality roads. This will help the industry to grow much faster, logistical efficiency will improve and make the industry competitive. We are also doing things like FASTag, we are talking about satellite tolling. The time taken at a toll plaza on average was about 12 minutes. After FASTag came in the average time has come down to 47 seconds. If you move to satellite tolling, there will be no stopping. So, that will further add to the efficiency. So, the whole transport sector, from an infrastructure point of view, is being looked at comprehensively,” Jain said in an interview with CNBC-TV18.

He highlighted the success story of India's highways over the past decade, citing a significant increase in the pace and quality of road construction. The national highway network has expanded from 91,000 kilometres to an impressive 1,46,000 kilometres. Notably, four-lane plus highways have more than doubled, reaching 46,000 kilometres, while expressways and high-speed corridors have seen a remarkable increase from 400 kilometres to 4,000 kilometres.

Recognising the pivotal role of high-speed corridors in enhancing logistical efficiency, Jain called them true game changers.

In a major boost to this transformative agenda, Finance Minister Nirmala Sitharaman announced an increased allocation of ₹2.78 lakh crore to the Road Transport Ministry in her interim Budget speech. Out of this allocation, ₹1.68 lakh crore is earmarked for the National Highways Authority of India (NHAI) under Bharatmala Pariyojana.

Jain clarified that, based on last year's allocations, the actual capital expenditure on projects would amount to ₹2.72 lakh crore.

Looking ahead, Jain shared ambitious targets for the current year, aiming to achieve approximately 13,000 kilometres of road construction. Over the past few years, India has consistently built an average of 10,000-11,000 kilometres of roads annually. While targets for FY25 are yet to be finalised, Jain hinted that they are likely to remain in the vicinity of 13,000 kilometres.