HMDA told to lease out ORR to private players

HMDA told to lease out ORR to private players
Highlights

Minister for Municipal Administration and Urban Development K T Rama Rao has directed the Hyderabad Metropolitan Development Authority (HMDA) to lease out the maintenance of Outer Ring Road (ORR) to a private agency. The ORR stretches for 158 km. 

Hyderabad: Minister for Municipal Administration and Urban Development K T Rama Rao has directed the Hyderabad Metropolitan Development Authority (HMDA) to lease out the maintenance of Outer Ring Road (ORR) to a private agency. The ORR stretches for 158 km.

The private agency, which will take the ORR maintenance system on lease, will be tasked with operating the toll management system and providing facilities. The HMDA will call tenders after the State government gives official nod for it.

According to an HMDA official, the private agency, which will undertake the ORR on lease will be tasked to maintain and operate the roads and collect toll. The HMDA will use the revenue generated from the ORR lease on other infrastructure development projects. It will first conduct a comprehensive study to learn the pros and cons of scheme and will prepare estimates of revenue likely to be generated on ORR and submit it to the government for approval.

The 158-km length of ORR has eight lanes on the Main Carriage Way (MCW), two lanes on service road on either side, 5 metres width of central median and 19 interchanges. The entire road maintenance will be taken care of by the private agency which will be finalised after the tender process.

When asked about the issue, a senior HMDA official said the HMDA would appoint an advisor for a detail study and basing on the study, a final call would be taken to initiate the tender process. The official said that giving ORR on lease would benefit HMDA since it would turn out to be a major source of revenue generation. He said that since most of work has been completed on ORR and the private agencies which take on lease would not have problems like land acquisition and others.

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