During the past year, National Highway Authority (NHA) was successful to attract private sector investments with projects worth over Rs. 144 billion exceeding the average annual Foreign Direct Investment (FDI) in Pakistan.
The expected returns from these projects would be over Rs. 391 billion.
It is further informed that the modern concept of infrastructure development, Public-Private Partnership (PPP) is not the popular mode of road construction and also known as the Build-Operate-Transfer (BOT) model where the private sector develops a project and run a facility for an agreed period of time ranging from 20 to 30 years.
Here the private party is responsible for the design, construction, operation, and maintenance of the project, and in return, the party is entitled to receive toll/other revenue for a certain period.
In this regard, Islamabad-Lahore Motorway was one of the major PPP projects, handed over to a concessionaire for a 20 years period in 2014, and scope of the project overlay and modernization of 357 km M-2.
It is further said that NHA also planned to build Sialkot-Kharian and Kharian-Rawalpindi Motorways on a BOT basis. Likewise, Balkasar-Mianwali road and Mianwali-Muzaffargarh Road would be carried on under the PPP model.
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