Gujarat's SHDP-II

The Gujarat government has got in-principle clearance for a 1500 kilometre (km) long second phase of state highway development plan (SHDP).
It has floated tenders worth Rs.412 crore for fulfillment of the terms of reference of World Bank to avail a soft loan from the institution.
Gujarat had received appreciation for effective implementation of the phase one of the project which too was done with the World Bank assistance.
"SHDP phase one was completed in 2007. We applied for the SHDP II in 2009. However it was stuck but is in the final stages of approval now. The project is likely to be taken up under build-own-operate and transfer basis with private parties. Some of the roads will be operated on toll tax basis wherever feasible,” added Vakhariya.
Under the SHDP II project, the state government has planned upgradation of some of the existing state highways to four lanes, two lanes and strengthening some of the roads.
A total of 1576 km long new roads will be constructed under the project. Vahkariya said, “There are various benefits of World Bank assistance like high degree of performance standards, quality checks and availability of funds at a cheaper rate as compared to market borrowings. The World Bank loan come at a rate of 4.5 per cent per annum or less.”