1.

INTRODUCTION

India is a vast country with a land area of 3,287,240 sq Km, a population of 115 crores
living in 638,365 villages and 5169 towns and cities, where the primary mode of physical
connectivity is road transport. Road infrastructure anchors the economy and the society
by allowing human movement as well as production and exchange of goods and services.
The role and importance of infrastructure for an economy is like that of the foundation to
a building and the level of infrastructure availability is one of the key indices of the level
of economic development and quality of life of the citizens of a country. Infrastructure in
general and road infrastructure in particular plays a pivotal role in promoting economic
growth and making this growth more inclusive by sharing the benefits of growth with
poorer groups and communities, particularly in remote and isolated areas, by facilitating
their access to basic services and by helping in increasing their income generating
capacity.

At the time of independence, the national government was unanimous in accepting that a
much wider base of infrastructure was necessary for economic development of this
country. The successive plans were formulated on such lines that the infrastructural
sectors claimed the lion’s share of the plan outlays and actual expenditures. If the
first ten five-year plans and the annual plans are considered together, the Total
Allocated Spending has been Rs. 33954 Billion, of which the infrastructural sectors
accounted for Rs. 22452 Billion, i.e. more than 66% of the total allocation. Since 1991-
92, a number of wide-ranging reforms have been carried out in the infrastructure sector
covering roads and highways development, civil aviation, telecommunications. It has been
because of such paramount importance being attached to the development of the
infrastructure in our economic planning that long strides have been made in the
physical availability of such facilities in India.

This dissertation seeks to examine the importance of the development of roads in relation
to the growth and development of the Indian economy. The importance of the road sector,
the classification of roads, the statutes and institutional structure, the allocation to the
road sector under the various Five-Year plans, the problems faced by the road sector, the
recent developments and the future scope and importance of the road sector is discussed
herein.

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 2. LITERATURE REVIEW

IMPORTANCE OF THE ROAD SECTOR

As per www.pwc.com/in/en/publications/infrastructure-in-india.jhtml (1), the Indian

economy is booming, with rates of Gross Domestic Product (GDP) growth exceeding 8%
every year since 2003/04. This ongoing growth is due to rapidly developing services and
manufacturing sectors, increasing consumer demand (largely driven by increased
spending by India’s middle class) and government commitments to rejuvenate the
agricultural sector and improve the economic conditions of India’s rural population. In
the fiscal year ending March 2008, India’s GDP grew by more than 9%. This robust rate
of expansion was initially forecast to continue in the 2008-2009 fiscal year, but the onset
of global recession and its cascading effect slowed down the growth rate to 6.5% to 7%,
but that appears to be a short-run phenomenon. According to www.morth.nic.in/ (2), even
in the face of such a recession, the Government has singled out infrastructure investment
as particularly vital to facilitate a turnaround and accelerate the growth process. Indeed,
even with a somewhat slower rate of growth, the Indian economy is still expanding
significantly, and substantial investment in the infrastructure sector continues to hold the
key to sustaining India’s economic progress. The country’s capacity to absorb and benefit
from new technology and industries depends on the availability, quality and efficiency of
basic forms of infrastructure.

The Tenth Five Year Plan

(3)
http://planningcommission.nic.in/plans/planrel/fiveyr/10th/volume2/v2_ch8_3.pdf
brings out the importance of roads as follows, “Roads are the key to the development of
an economy. A good road network constitutes the basic infrastructure that propels the
development process through connectivity and opening up the backward regions to trade
and investment. Roads also play a key role in inter-modal transport development,
establishing links with airports, railway stations and ports. In addition, they have an
important role in promoting national integration, which is particularly important in a
large country like India”.
As per present estimates, the road network carries nearly 65% of freight and 85% of
passenger traffic.

As per Indian Economy (Dutt and Sundaram) the Seventh Plan (4), the importance of
roads is as follows: “Since the country’s economy is still largely agrarian in character and
the settlement pattern is rural-oriented, roads constitute a critical element of the
transportation infrastructure. Road construction and maintenance generate sizeable
employment opportunities, a factor that has assumed considerable importance with
demographic expansion and the growth of the labour force. Better roads also achieve fuel
economy and improve the overall productivity of the road transport sector.”

Roads are a necessary complement to railways. India is a country of villages and only
roads can connect villages, Railways can connect towns. Road transport is quick,

2
convenient and flexible for short distance travel as well as movement of goods. Roads
transport is of particular advantage to the farmers since good roads help farmers to move
their produce, particularly the perishable products quickly to mandis and towns as well as
the nearest railway station to market their products. During the monsoon season, it may
be impossible for the villagers to move out of their village unless there are good roads.
Roads are also highly significant for the defence of the country in order to move troops
quickly from one place to another in times of emergency.

While speaking about the advantages of roads, the Manasi Committee emphasized,
“Speed is of vital importance in a developing economy and this is where roads will play a
far greater role than at any time in the past and will have to be developed on a large scale.
Road development is all the more important because of the difficulty of railways to meet
the growing transport needs of a developing economy.”

CLASSIFICATION OF ROADS

According to http://en.wikipedia.org/wiki/Indian_Road_Network (5), India has a large

road network of over 3.314 million kilometers of roadways, making it the second largest
road network in the world. For the purpose of management and administration, roads in
India are divided into the following five categories:
• National Highways (NH): These are main highways running through the length and
breadth of the country connecting major ports, state capitals, large industrial and
tourist centres, etc. National Highways in India are designated as NH followed by the
highway number. The National Highway system is the primary road grid and is the
direct responsibility of the Central Governemnt. The National Highways are intended
to facilitate medium and long distance inter-city passenger and freight traffic across
the country.

The traffic on National Highways has been growing due to the recent economic
growth in India and the Government of India is taking steps to improve management
techniques to provide hindrance-free traffic movement by way of widening roads,
grade separation, construction of bypasses, bridges, rail-road crossings, and utilizing
the latest technologies.

Even though the National Highways represent only 2% of the total network length,
they handle about 40% of the total road traffic. As per the Urban Land Institute's
Infrastructure 2008: A competitive advantage report, "more than 90% of India's
40,625 miles (65,000 km) of national highways are single or two-lane roads.

The National Highways are further classified based on the width of carriageway of
the Highway. Generally, in case of a single lane, the lane width is of 3.75 meters,
while in case of multi-lane National Highways, each of the lanes have a width of 3.5
meters. As of February 2008, out of the total length, 14% have four or more lanes and

3
 about 59% have 2-lanes or are double-laned, while the rest (27%) of the National
Highway network has single or intermediate lane.

• Expressways: The Expressways of India make up approximately 200 km of the Indian

National Highway System. Usually no two-wheelers, three-wheelers or tractor
vehicles are allowed on these roads. Speed of upto 120 km/h can be maintained on
these roads due to separate merging lanes and the lack of speed breakersso as to
ensure smooth travel. Most of the existing expressways in India are toll roads.
However, the National Highway System also consists of approximately 10,000 km of
four-laned highways that do not feature full control of access. Currently, a massive
project is underway to expand the highway network and the Government of India
plans to add an additional 15600 km of expressways to the network by the year 2022.

• State Highways (SH): State Highways refers to the numbered highways which are laid
and maintained by the State Government. The are not related to National Highways
and are not involved with the NHAI or the Central Government in any way. The State
Highways usually are roads which link important cities, towns, district headquarters
within the state and connecting them with National Highways or Highways of the
neighbouring states. These highways provide connections to industries / places from
key areas in the state making them more accessible. The State Highways carry the
traffic along major centers within the State.

• District Roads: District roads are classified into two categories- major district roads
and other district roads. Major District Roads provide the secondary function of
linkage between main roads and rural roads.

• Rural Roads: The last link in the chain is rural roads. The rural roads form a
substantial portion of the vast Indian road network. Rural connectivity is a key
component of rural development and contributes significantly to generating higher
agricultural incomes and productive employment opportunities besides promoting
access to economic and social services. Studies show that rural roads have a
significant impact on poverty reduction. Since the agricultural produce and the
finished products of small-scale industries in rural areas are to be moved from the
producing centres to the marketing centres, road connectivity is essential for rural
population.

For the development of rural roads, Pradhan Mantri Gram Sadak Yojana (PMGSY)
(or "Prime Minister Rural Roads Scheme"), was launched in December 2000 by the
Government of India to provide connectivity to unconnected rural habitations as part
of a poverty eradication measure. For its implementation, the Government of India is
setting uniform technical and management standards and facilitating policy
development and planning at State level in order to ensure sustainable management of
the rural roads network. The scheme is to be implemented in phases wherein the

4
 number of roads under each phase would be governed by the population of
habitations (hamlets). For example, the initial phase would attempt to cover all
inhabitations with a population of 1000. As per
http://planningcommission.nic.in/plans/planrel/fiveyr/10th/volume2/v2_ch8_3.pdf, (6)
following the 73rd Constitution Amendment Act, rural roads have been placed in the
Eleventh Schedule and their upkeep has become the responsibility of the Panchayati
Raj institutions (PRIs).

It is expected that about 3,75,000 km of new road construction and 3,72,000 km of

upgradation/renewal would be undertaken as part of the scheme. The construction
cost is fully borne by the Government of India as a Centrally sponsored Scheme,
while the State Governments are responsible for providing maintenance funds. As of
May 24, 2007, more than 122,000 km of roads have been completed under PMGSY
and work is in progress in projects covering another 1,00,000 km.

STATUTES AND INSTITUTIONAL STRUCTURE

According to infrastructure.gov.in/highways.htm (7), the functions relating to

development, maintenance and management of National Highways are carried out by the
Central Govt. under the provisions of National Highways Act, 1956. The Act has been
amended in June, 1995 to permit private sector participation.
The policy of privatization of National Highways will be implemented by the National
Highways Authority of India (NHAI). The NHAI was established under the National
Highways Authority of India Act, 1988 but was operationalised on February 1995. The
Authority is an Autonomous Body with executive responsibility for the development,
maintenance and operation of those National Highways and associated facilities vested in
it by the Ministry of Surface Transport. It is intended to take over the management of the
entire National Highways on agency basis in a phased manner. The Authority has been
entrusted with the execution of the highway projects under ADB-III as well as OEC-III.
In addition, NHAI will also be implementing other externally aided projects like World
Bank-III and maintenance thereof. NHAI will also be responsible for implementation of
the policy of privatization in highway sector.

National Highways Development project

As per en.wikipedia.org/.../National_Highways_Development_ProjectIn (8), in order to
improve the road network on a country wide level, the National Highway Development
Project was set up by the PMO. The project aims to develop the Golden Quadrilateral and
the North south as well as the East West corridor as these are the high volume sectors
carrying the substantial portion of the road traffic in India.

5
Central Road Fund
According to
http://www.morth.nic.in/writereaddata/sublink2images/AnnaulReport200809_Eng69699
80905.pdf (9) The Central Government has created a dedicated fund called Central Road
Fund (CRF) from collection of Cess on Petrol and High Speed Diesel (HSD) Oil.
Presently, Rs.2/- per litre is collected as cess on petrol and HSD Oil. The fund is
distributed for development and maintenance of National Highways, state roads, rural
roads, and for railway over bridges/under bridges and other safety features as provided in
Central Road Fund Act, 2000.

State Road Funds

As per
http://web.worldbank.org/WBSITE/EXTERNAL/COUNTRIES/SOUTHASIAEXT/EXT
SARREGTOPTRANSPORT/0,,contentMDK:20688592~menuPK:867153~pagePK:3400
4173~piPK:34003707~theSitePK:579598,00.html (10) there has also been experimentation
with dedicated road funds at the state level. Assam, Kerela, Maharashtra, and Uttar
Pradesh have established road funds while many other states governments are moving
towards setting up such funds. These state road funds are financed by multiple resources:
budgetary support from central government and state government, direct road user
charges from cess on fuel, motor vehicle taxes, fees and tolls, indirect road user
charge/tax such as hotel tax and levy on agriculture products, and other resource such as
fines, loans. Similar to CRF, these road funds are used both for development and
maintenance of road network, except the one in Uttar Pradesh, which is dedicated for
road maintenance. In addition, some states also established road funds for the
development and maintenance of district and rural roads. Madhya Pradesh has the
Farmer’s Road Fund, and Karnataka established the Chief Minister’s Grameen Raste
Abhivrudhi Nidhi (CMGRAN).

ALLOCATION TO ROADS OVER THE FIVE YEAR PLANS

According to http://www.planningcommission.gov.in/plans/planrel/fiveyr/welcome.html
(11)
, the allocation to road development over the various five-year plans is as follows:

 First five-year Plan: Rs. 146 crores

 Second Five Year Plan: Rs. 262 crores
 Third Five Year Plan: Rs. 871 crores
 Fourth Five Year Plan: Rs. 418 crores
 Fifth Five Year Plan: Rs. 445 crores
 Sixth Five Year Plan: Rs. 3438 crores
 Seventh Five Year Plan: Rs. 5200 crores
 Eighth Five Year Plan: Rs. 13210 crores
 Ninth Five Year Plan: Rs. 48570 crores
 Tenth Five Year Plan: Rs. 59490 crores
 Eleventh Five Year Plan: Rs. 72530 crores

6
PROBLEMS OF THE ROAD SECTOR

The condition of Roads and how users use them is a critical indicator of a nation's
Ruling/ Administrative system and it’s level of economic development. However, despite
their importance to the national economy, the road network in India is grossly inadequate
in various respects. The main reason for these shortcomings is the inadequacy of funds
for maintenance and improving the quality of the road network. The road sector is facing
considerable funds constraint, especially in view of massive expansion, maintenance and
upgradation requirements. According to Indian Economy (Dutt and Sundaram) (12), road
development in India was neglected in the past for various reasons. In the past, the
Central and State Governments did not appreciate the importance of developing the road
system. Secondly, there was shortage of finance for road construction and maintenance.
This was particularly so in the case of municipalities and district boards. Moreover, there
was shortage of road building materials such as road rollers, cement,etc. Due to decades
of bureaucratic and procedural difficulties, the road network has suffered long delays and
time and cost overruns. Recently however, political leaders in India are making efforts to
prioritize the modernization and expansion of the road network. Though much has been
achieved, a lot more has to be done to improve the road system in Inia. There are still
other environmental, logistical, and local issues contributing to delay in development of
the road infrastructure.
 The road grid as a whole suffers from serious capacity constraints, delay,
congestion, fuel wastage and higher vehicle operating costs. In the tenth five year
plan, each year there was a shortfall in the funds required for the maintenance of
roads ranging from 63% to 67%. The existing network is inadequate and is unable
to handle high traffic density at many places and has poor riding quality. The
growth of the road network is not in step with traffic growth. Freight traffic has
grown 120 times and passenger traffic has grown 100 times whereas road length
up only 8 times in past 50 years.
 About 40% of villages in India lack road connectivity and about 65% of Indian
villages do not have access to all-weather roads.
 In India, expenditure in terms of road revenue generated is about 35%, while is
USA, Japan, and Germany it is 96%, 128%, 82% respectively.
 Only fifty percent of the road length in the country is properly surfaced.
 Many of the highways require major augmentation of capacity as well as
structural upgradation. 15% of the national highways and 75 per cent of the state
highways are still single lane roads. According to a Government estimate, 20% of
national highways have to be converted to double lanes, 50% of two-lane roads
have to be strengthened, 30% of two-lane roads have to be four-laned. Almost
45% of the National Highway network is under severe strain due to high volume
of traffic. The cost of removing all deficiencies in National Highways is estimated
at Rs. 164135 crores.
 As per http://www.business-standard.com/india/news/150-national-highway-
projects face-cost-overruns-nath/69249/on (13), the government has announced that
150 National Highway development projects are facing time and cost overruns
primarily due to delay in land acquisition. According to

7
 http://www.businessstandard.com/india/news/target7000 kmroads-not-to-be-
(14)
achieved-this-year-nath/14/15/68553/on , the government's annual target of
constructing 7,000 km of roads will not be achieved this year. As per
http://www.indianexpress.com/news/world-bank-withdraws-funding-to-road-
project-over-laxity/425423/0 (15), after writing to the government on several
occasions over laxity in implementing World Bank-funded road projects, the
World Bank is learnt to have withdrawn its funding for the Muzaffarpur-Lucknow
project. As per http://www.financialexpress.com/news/40-of-indian-road-projects-
hit-cost-overrun-bump-wb/525362/0 (16), about 40% of all road construction
contracts in India experience cost overruns of anywhere between 25% and 50%.
The sector is plagued by Corruption, poor governance and implementation, a lack
of skilled human resources and non-adherence to dispute resolution mechanisms.
This is why Indian road projects are always running behind schedule, according to
a World Bank report on the sector. The study noted that another recurring
problem in road construction contracts is delays in pre-construction activities are
a recurring problem across all road construction contracts. “On an average for
national highway projects, it takes 50% more time than scheduled to hand over
encumbrance-free land to the contractors…This is critical to effective project
execution, as evidenced in other countries. The result is time and cost overruns
and related disputes that invariably end up in litigation,” it said. To meet the huge
deficit in the road sector, the World Bank has also highlighted the need to
increase the skilled human resources, construction equipment and material.
 The road sector faces the problem of lack of funds for maintenance. According to
www.financialexpress.com/.../national-highways-on-a-bumpy-ride.../199209/ - (17)
A comparison of the year-wise fund provided for maintenance and repair of NHs
from 2002-03 to 2006-07 showed that the flow of funds were as low as Rs 730
crore to Rs 870 crore per annum as against the annual requirement of about Rs
2,280 crore. The estimated fund requirement for maintenance of state roads is
about Rs 6,000 crore per year. According to the 12th Finance Commission, “An
annual central grant of Rs 3,750 crore will be provided during 2006-10 for all the
states in addition to the normal expenditure, which the states are expected to incur
on maintenance of roads and bridges.” The gap between the requirements as per
the norms and allocation has been widening over the years adding to the misery of
the sector. Maintenance being a non-plan activity there is also a tendency by the
government to apply ad-hoc cuts in the face of resource constraints and divert
money to other sectors.
 There are multiple agencies for implementing road sector projects in various
States, both for State Highways and Major District Roads and PMGSY. This
needs to be streamlined for improving efficiency and the work should be carried
out by one/two agencies only.

8
RECENT DEVELOPMENTS

• According to www.nhai.org/ (18), the important developments in recent times with

regard to highways are:
o The golden quadrilateral connecting Mumbai, Delhi, Kolkata, and
Chennai
o The North-South corridor linking Srinagar to Kanyakumari, and East-
West corridor linking Silchar to Porbandar
o National expressways
o Four-laning and two-laning of important sections of highways, etc.
o Port connectivity and other projects-comprising 1,157 kms.

• As per www.pppinindia.com/ (19), Public Private Partnership model is being

adopted in the development of national highways. To bridge the resource gap and
to instill competitive efficiency, efforts are being made to associate the private
sector with road projects. The invitation of private capital and management has
brought about speed and efficiency in highway projects and added a never-before
boost to the highway development projects across the country.

• According to The Times of India(20), the government will spend Rs.1 lakh crore
(Rs.1,000 billion/$21 billion) this fiscal and an equal amount in subsequent years
with a target of building 20 km of road every day, as per an announcement by
Minister for Road, Transport and Highways, Mr. Kamal Nath.

• As per http://business.rediff.com/report/2009/sep/17/india-to-get-dollar-3-bn-
from-world-bank-for-roads.htm (21), the World Bank has agreed to provide a $3
billion loan for developing national highways. The World Bank assistance will be
utilised for converting 6,372 km of one-lane highways to two-lane, out of the total
of 19,702 km of single lane highways in the country.

9
 3. RESEARCH METHODOLOGY

3.1 INTRODUCTION TO RESEARCH METHODOLOGY

This dissertation seeks to research and examine the importance of the development of
roads in relation to the growth and development of the Indian economy. The problems
relating to the development of roads in India have also been examined. This research has
been undertaken with the usage of secondary data.

3.2 QUANTITATIVE AND QUALITATIVE DATA GATHERING

This dissertation has been prepared with the help of data and statistics from the following
sources:

• www.planningcommission.gov.in
• www.morth.nic.in
• www.finmin.nic.in
• Infrastructure, Centre for Monitoring Indian Economy, June 2008
• www.infrastructure.gov.in
The expanded data sources are attached in the Bibliography.

This dissertation has adopted the following statistical tools and methods:
o Correlation has been used to examine the degree of association between the allocation
to the road sector and the actual growth of the same.
o Various graphs such as bar graphs, column graphs, trend lines, and pie charts have
been used to provide a systematic pictorial representation of the data and statistics of
the range of years observed i.e.1975-2006.

10
 3.3 DATA ANALYSIS

From Table 1 it can be seen that the Correlation coefficient between budgetary allocation
and the growth in roads is 0.096804. This implies that there is an insignificant correlation
between budgetary allocation and the growth in roads.

From Table 2 it can be seen that approximately 9-15% of funds for the maintenance and
repairs of National Highways have gone unutilized for the years under observation.
1278.69 crores of funds for both the development as well the maintenance of National
Highways have gone unutilized.

From figure 1 it can be seen that total road growth has seen fluctuations in the last seven
years. There was an increase in road growth in the early part of the decade, followed by a
rapid slump, which was again ensued by fast paced growth. However, in recent years,
although there has been continued growth of roads the rate of growth has decreased.

From figure 2 it can be seen that surfaced roads growth has seen fluctuations in the last
seven years. There was an increase in surfaced roads growth in the early part of the
decade, followed by a rapid slump, which was again ensued by fast paced growth.
However, in recent years, although there has been continued growth of surfaced roads the
rate of growth has decreased.

From figure 3 it can be seen that the proportion of surfaced road length to total road
length has been in the 50-60% range.

From figure 4 it can be seen that highway growth has seen fluctuations in the last seven
years. There was an increase in highway growth in the early part of the decade, followed
by a rapid slump, which was again ensued by fast paced growth. However, in recent
years, although there has been continued growth of highways the rate of growth has
decreased.

From figure 5 it can be seen that the proportion of surfaced highways length to total
national highway length has been in the 60-70% range.

From figure 6 it can be seen that national highway growth has been on the rise in the last
seven years. There was a rapid increase in national highway growth in the year 2003-04.
However, in the recent years, the rate of growth of national highways has decreased.

From figure 7 it can be seen that the proportion of surfaced national highways length to
total highway length has been very close to 100%.

From figure 8 it can be seen that state highway growth has seen fluctuations in the last
seven years. In each year, the increase in state highway road length has been offset by a
decrease in the same in the following year. However, there has been a rapid rise in state
highway road length in the last year of observation.

11
From figure 9 it can be seen that the proportion of surfaced state highways length to total
state highway length has been in the 80-90% range.

From figure 10 it can be seen that the proportion of surfaced community development
roads to the total length of community development roads is very low, ranging between
15-25%.

From figure 11 it can be seen that the proportion of surfaced village panchayat roads to
the total length of village panchayat roads is very low, ranging between 10-15%.

From figure 12 it can be seen that the proportion of surfaced panchayat roads to the total
length of panchayat roads is very low, at aroung 30%

From figure 13 it can be seen that the length of surfaced PWD roads to the total length of
Pwd roads is above 90%.

From figure 14 it can be seen that the length of surfaced Zilla Parishad Roads to the total
length of Zilla Parishad roads is between 50-55%

From figure 15 it can be seen that there has been an overall increase in the growth of
urban roads. However, the rate of growth of the same has been fluctuating over the years.

From figure 16 it can be seen that the proportion of surfaced urban roads to total urban
roads is between 60-80%.

From figure 17 it can be seen that the proportion of surfaced Municipal roads to total
municipal roads is between 75-85%.

From figure 18 it can be seen that the proportion of unsurfaced roads to total road length
ranges between 40-50%.

From figure 19 it can be seen that the percentage change in unsurfaced roads has been
ranging between approximately -5 to 15%.

From figure 20 it can be seen that the percentage change in surfaced roads has been
ranging between approximately -4 to 10%.

From figure 21 it can be seen that the percentage change in all roads has been ranging
between approximately -4 to 12%.

From figure 22 it can be seen that surfaced roads density has seen a total increase of
about 300% over the years under observation.

From figure 23 it can be seen that unsurfaced roads density has seen a total increase of
about 100% over the years under observation.

12
From figure 24 it can be seen that total roads density has seen a total increase of about
250% over the years under observation.

From figure 25 it can be seen that National Highway Length was ranging between 20000
and 40000 kilometers for the first 25 years of the observation but has taken a quantum
leap in the last decade and has almost touched 60000 kilometers in the last year of the
observation i.e. 2005-06.

From figure 26 it can be seen that National Highway growth was very slow until the year
2003 where it took a huge leap.

From figure 27 it can be seen that State Highway Length was ranging between 50000 and
100000 kilometers for the first 20 years of the observation but started growing rapidly in
the post liberalization era i.e. post 1991-92.

From figure 28 it can be seen that State Highway Growth movements has been very slow
barring the years 1992-93.

From figure 29 it can be seen that the proportion of surfaced district roads to total district
roads has risen from around 50% to around 70% during the years of observation.

From figure 30 it can be seen that the growth of PWD roads has been very slow barring
the years 1999 to 2002.

From figure 31 it can be seen that the growth of Zilla Parishad Roads has been very slow
barring the years 1980-82 and 1992-94.

From figure 32 it can be seen that the growth of District roads has been relatively slow
barring the years 1997 to 2000.

From figure 33 it can be seen that the growth of Urban Roads has been very rapid in the
years 1995-2006 where almost 100000 kilometers of road length have been added.

From figure 34 it can be seen that urban roads growth was declining in the initial years of
observation but continued to grow subsequently and showed rapid spurts in growth in the
years 1986, 1992-94 and 2002-02.

From figure 35 it can be seen that the length of Village Panchayat Roads has almost
doubled between the years 1990 and 2006 as compared to the length existing in the late
eighties.

From figure 36 it can be seen that there has been a drop in the length of Community
Development Roads from the year 1998 as compared to the preceding years which
showed sustained growth. However, the growth of community development roads has
picked up in the last six years of the observation, though not matching the pre 1998 level.

13
From figure 37 it can be seen that there has been a relatively steady growth of Block
Roads, with a boost in the same post 1990-91.

From figure 38 it can be seen that there has been wide fluctuations in the growth of
Village Panchayat Roads over the years, where a few years of increase have been
followed by years of slower or even negative growth followed by an increase in growth
again.

From figure 39 it can be seen that the growth of Community Development Roads has
been relatively slow and even became negative in the late nineties but has picked up post
2003-04.

From figure 40 it can be seen that there has been slow growth in Block Roads barring the
early eighties and late nineties.

From figure 41 it can be seen that around a little above half of India’s villages are
connected by roads.

From figure 42 it can be seen that the allocation to the NHAI is the maximum at almost
50%, followed by rural roads and subsequently to the states.

From figure 43 it can be seen that density distribution of national highways is highest
among North-Eastern States.

14
 4. HYPOTHESIS

“The impediments to road development in India are poor allocation and

poorer implementation”.

15
 5. RESULTS

5.1 FINDINGS:
The growth of roads is very insignificantly correlated to the allocation given for the road
sector. The glaring gap between allocation to roads and actual growth of the same can
hence be attributed to poor allocation and poorer implementation. Despite the fact that
NHAI is a new generation organization of the Government of India fully equipped to take
up ultra-modern and large value projects in the road sector, shortfalls in target
achievement in implementation of National Highway projects is a repetitive feature each
year. Shortage of funds has always been a serious bottleneck for the development of the
road sector. Moreover, even the allocated funds could not be utilized by them fully year
after year. Hence, one can easily understand the efficiency level of implementing
agencies of road projects at the state and district/panchayat levels. As in most major
sectors, the problem in our country is not one of planning but of implementation; not one
of inappropriate Government programmes for its citizens, but one of delivery of
governance.

o Most road development projects in India are lagging behind due to time
and cost overruns.
o There has been an overall increasing trend in the growth of the road sector
in India. However, the proportion of surfaced roads to the total road length
continues to remain at an inadequate level.
o National highway growth has been fast paced. However, the growth of
state highways has not been able to match up with the growth of national
highways, both in terms of consistency and extent of surfacing.
o The development of rural roads, i.e. block/ community and panchayat
level roads is abysmally poor. As compared to developed nations, the
percentage of villages connected with all-weather roads in India is also
very low. However, development of urban roads has shown a consistently
upward trend over the years and the extent or level of development of such
roads is much better in comparison to the development of rural roads.
o The grants for the development of rural roads are thoroughly inadequate

• The growth of roads in India is not adequate to support and sustain GDP growth
rate of 8-9% over the medium term.

16
5.2 EXPERIENCE AND INDIVIDUAL COPING STRATEGY

At a personal level, this research has been an eye-opener in understanding the

importance of the road sector in India. This research has also enabled me to become
more proficient in the usage of Microsoft Excel.

5.3 RECOMMENDATIONS

• It is important to ensure that the allocation of funds for the growth of roads is
adequate to meet the increasing demands on India’s infrastructure sector, to
support the momentum in economic growth, especially industrial growth and to
ensure that every part of India has all-weather connectivity with the major
highway systems.
• It is important for the Government of India to work more towards rural
connectivity and improve the quality of rural roads by ensuring that all villages
are connected to the mainstream via all-weather roads.
• More focus should be laid on surfacing of unsurfaced roads, widening and
strengthening of existing roads to improve connectivity of rural and semi-urban
areas to urban centres and industrial clusters.
• More grants should be released to the states so as to ensure that the expansion of
the road networks of the states and rural areas is commensurate with that of the
national road network. The Government of India should ensure that there a
balance and parity between the growth of the national road network and that of
the state road network as well as the rural road network.
• Last but not the least, the implementation mechanisms for road development must
be strengthened and expedited. Strict monitoring and accountability on the project
implementing agencies should be enforced.

17
 6. CONCLUSION

6.1 FUTURE SCOPE

The future scope of this research is immensely wide in expanse. The research can be
taken to another level by examining the exact inadequacies in the implementation
mechanism for the development of the road sector. The research can also be expanded so
as to study the contribution of the road sector to the GDP and arrive at a definite
correlation between GDP growth and growth of the road sector. Research can also be
undertaken with particular emphasis on problems relating to rural road sector and feasible
solutions thereto. The impact of introduction of Public Private Partnership model on road
building in India being commendable so far, the scope and desirability of replicating
similar models for development of state highways can also be examined in greater depth
and detail. Besides, a study of the impact of “golden quadrilateral” project on the
economy at large and the adjoining areas in particular should be subject a matter of great
interest and importance to general public as well as policy makers.

6.2 LIMITATIONS

The following limitations were faced while undertaking the research:

• Data was available on the contribution of the infrastructure sector to the GDP.
However, there was lack of data on the contribution of the road sector to the GDP
and hence that area could not be satisfactorily explored.

• Quantitative data was unavailable with regard to the inadequacies of the

implementation mechanism and hence this major area could not be studied and
analyzed in-depth.

18
 7. EXECUTIVE SUMMARY

The role and importance of infrastructure for an economy is like that of the foundation to
a building. The level of infrastructure availability is one of the key indices of the level of
economic development and quality of life of the citizens of a country. Infrastructure plays
an important role in promoting rapid economic growth and making this growth more
inclusive, by sharing the benefits of growth with poorer groups and communities,
particularly in remote and isolated areas. Infrastructure facilitates the poor’s access to
basic services and helps increase their income generating capacity.

Roads are the key to the development of an economy. A good road network constitutes
the basic infrastructure that propels the development process through connectivity and
opening up the backward regions to trade and investment. Roads also play a key role in
inter-modal transport development, establishing links with airports, railway stations and
ports. In addition, they have an important role in promoting national integration, which is
particularly important in a large country like India. Since the country’s economy is still
largely agrarian in character and the settlement pattern is rural-oriented, roads constitute a
critical element of the transportation infrastructure. Road construction and maintenance
generate sizeable employment opportunities, a factor that has assumed considerable
importance with demographic expansion and the growth of the labour force. Better roads
also achieve fuel economy and improve the overall productivity of the road transport
sector. However, despite their importance to the national economy, the road network in
India is grossly inadequate in various respects. The main reason for these shortcomings is
the inadequacy of funds for maintenance and improving the quality of the road network.
The road sector is facing considerable funds constraint, especially in view of massive
expansion, maintenance and upgradation requirements.

The importance of the development of roads in relation to the growth and development of
the Indian economy has been examined. The problems relating to the development of
roads in India have also been examined.

Road Development in India is more a problem of poor implementation than of allocation.

The implementation mechanisms for road development must be strengthened and

expedited so as to ensure that the growth of the road network of India can match up to the
necessary level.

The future scope of this research is immensely wide in expanse.

19
 ANNEXURE
Table 1
Budgetary Growth
allocation to in
roads(in roads(in Correlation coefficient between budgetary
Years crores) kms) allocation and growth in roads
2000-01 19373.51 96273 0.096804
2001-02 19351.68 -70432
2002-03 22054.79 68294
2003-04 22537.74 19428
2004-05 23932.84 30589
2005-06 38539.16 36677
Source: Indian Public Finance Statistics 2008-2009, Ministry of Finance
Department of Economic Affairs, Economic Division(22)
http://www.morth.nic.in/index3.asp?sublink2id=348&langid=2(23)
Author’s calculation (for the correlation)

Correlation(r) = NΣXY - (ΣX)(ΣY) / Sqrt([NΣX2 - (ΣX)2][NΣY2 - (ΣY)2])

where
N = Number of values or elements
X = First Score
Y = Second Score
ΣXY = Sum of the product of first and Second Scores
ΣX = Sum of First Scores
ΣY = Sum of Second Scores
ΣX2 = Sum of square First Scores
ΣY2 = Sum of square Second Scores

Source: N.G. Das (24)

Table 2

Year For Development of NHs For Maintenance and Repairs of

NHs
Total Total Percentage Total Total Percentage
amount amount of utili- amount amount of utili-
allocated utilized zation allocated utilized zation
2004-05 5777.50 5124.04 88.69 745.56 678.95 91.07
2005-06 9001.75 8846.81 98.28 868.10 838.34 96.57
2006-07 10700.34 10609.48 99.15 814.38 784.56 96.34
2007-08 11195.11 11134.24 `99.46 1001.68 981.36 97.97
2008-09 12460.21 12433.68 99.79 974.32 828.80 85.06
Source: http://pib.nic.in/release/release.asp?relid=49942 (25)

20
Table 3

Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

All Roads 2302515 2398788 2328356 2396650 2416078 2446667 2483344
Surfaced
Roads 1263364 1363127 1308420 1355380 1390598 1414547 1420489

Source: http://www.morth.nic.in/index3.asp?sublink2id=348&langid=2(26)

Trend in roads growth(all roads)

2500000
Road Length(in kms)

2450000
2400000
2350000 All Roads
2300000
2250000
2200000
1999- 2000- 2001- 2002- 2003- 2004- 2005-
00 01 02 03 04 05 06
Years

Figure 1
Source: Author’s calculation

21
 Trend in road Growth(Surfaced Roads)

1450000

Road Length(in kms)

1400000
1350000
1300000 Surfaced Roads
1250000
1200000
1150000

20 1

20 0 3

20 4

6
20 0

20 2

20 5
-0

-0

-0
-0

-0

-0
-
99

00

01

02

03

04

05
19

Years

Figure 2

Source: Author’s calculation

Road Length(Total)

3000000
Road Length(in kms)

2500000
2000000
All Roads
1500000
Surfaced Roads
1000000
500000
0
1999- 2000- 2001- 2002- 2003- 2004- 2005-
00 01 02 03 04 05 06
Years

Figure 3
Source: Author’s calculation

Table 4
Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
Highways 1843922 1917355 1822874 1888261 1953843 1967005 1981409
Surfaced
Highways 1062149 1138373 1079020 1124064 1146232 1166209 1175353
Source:
http://www.morth.nic.in/writereaddata/sublinkimages/DFR_Expressway9202196751.pdf
(27)

22
 Trend in growth of highways

2000000

Road Length(in kms)

1950000
1900000
1850000 Highways
1800000
1750000
1700000
1999- 2000- 2001- 2002- 2003- 2004- 2005-
00 01 02 03 04 05 06
Years

Figure 4

Source: Author’s calculation

Road Length(Highways)

2500000
Road Length(in kms)

2000000

1500000 Highways
1000000 Surfaced Highways

500000
0
20 1
20 0

20 2

20 3

20 4

20 5

6
-0

-0

-0

-0

-0

-0

-0
99

00

01

02

03

04

05
19

Years

Figure 5
Source: Author’s calculation

Table 5
Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
National highways 34508 34849 38517 49585 52010 57737 58112
Surfaced National
Highways 34291 34637 38654 49368 51952 57679 58006
Source:
http://www.morth.nic.in/writereaddata/sublinkimages/DFR_Expressway9202196751.pdf
(28)

23
 Trend in growth of National Highways

70000

Road Length(in kms)

60000
50000
40000
National highw ays
30000
20000
10000
0
20 0

20 1

20 2

20 3

20 4

20 5

6
-0

-0

-0

-0

-0

-0

-0
00

01

03

04
99

02

05
19

Years

Figure 6
Source: Author’s calculation

Road length(National Highways)

70000
Road Length(in kms)

60000
50000 National highways
40000
30000 Surfaced National
20000 Highways
10000
0
1999- 2000- 2001- 2002- 2003- 2004- 2005-
00 01 02 03 04 05 06
Years

Figure 7
Source: Author’s calculation

Table 6
Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
State Highways 135187 137119 136489 137950 132797 132100 137711
Surfaced State
Highways 132862 134802 134304 135679 130592 129862 135546

Source: http://www.morth.nic.in/statemain.asp?linkid=162&langid=2 (29)

24
 Trend in Growth of State Highways

140000
Road Length(in kms) 138000
136000
134000 State Highways
132000
130000
128000
19 20 20 20 20 20 20
99- 00- 01- 02- 03- 04- 05-
00 01 02 03 04 05 06
Years

Figure 8
Source: Author’s calculation

Road Length(State Highways)

140000
Road Length(in kms)

138000
136000
State Highways
134000
132000
Surfaced State
130000
Highways
128000
126000
124000
1999- 2000- 2001- 2002- 2003- 2004- 2005-
00 01 02 03 04 05 06
Years

Figure 9
Source: Author’s calculation

Table 7
Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
Community Development/Panchayat Samiti
Roads 115235 97794 99432 146258 146695 147413 148104
Surfaced CD/Panchayat samiti roads 28008 29982 31884 55296 35572 36691 37273
Source: http://pmgsy.nic.in/pmgsy.asp (30)

25
 Road Length(Community Roads)

160000

Road Length(in kms)

140000
Community
120000
Development/Panchayat
100000 Samiti Roads
80000
60000 Surfaced CD/Panchayat
40000 samiti roads
20000
0

20 2

20 3
20 0

20 1

20 4

20 5

6
-0

-0

-0
-0

-0

-0

-0
99

00

01

02

03

04

05
19

Years

Figure 10
Source: Author’s calculation

Table 8
Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
Village Panchayat Roads 406575 444737 445353 425486 408524 406150 412595
Surfaced Village Panchayat
Roads 58929 84463 84374 69485 53705 55675 57388
(31)
Source: http://pmgsy.nic.in/pmgsy.asp

Road Length(Village Panchayat Roads)

500000
Road Length(in kms)

400000
Village Panchayat
300000 Roads
200000 Surfaced Village
Panchayat Roads
100000

0
1999- 2000- 2001- 2002- 2003- 2004- 2005-
00 01 02 03 04 05 06
Years

Figure 11
Source: Author’s calculation

26
 Table 9
Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
Panchayat Raj Roads 957526 987103 996359 1028410 1038356 1041167 1060161
Surfaced Panchayat Raj
Roads 325319 358422 364217 375776 326176 368152 378443
Source: http://pmgsy.nic.in/pmgsy.asp (32)

Road Length(Panchayat Roads)

1200000
Road Length(in kms)

1000000
800000 Panchayat Raj Roads
600000
Surfaced Panchayat Raj
400000 Roads
200000
0
20 1

20 4

6
20 0

20 2

20 3

20 5
-0

-0

-0
-0

-0

-0

-0
99

00

01

02

03

04

05
19

Years

Figure 12
Source: Author’s calculation

Table 10
Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
PWD Roads 886396 930232 826515 859851 915487 925838 921284
Surfaced PWD
Roads 736830 779951 714803 748288 784056 798057 796910
Source: http://www.morth.nic.in/index1.asp?linkid=224&langid=2 (33)

27
 Road Length(PWD Roads)

1000000
Road Length(in kms)
800000

600000 PWD Roads

400000 Surfaced PWD Roads

200000

20 2
20 0 0

20 1

20 0 3

20 4

20 0 5

6
-0

-0
-0

-0
-

-
99

00

01

02

03

04

05
19

Years

Figure 13

Source: Author’s calculation

Table 11
1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
Zilla Parishad Roads 435716 444572 451574 456666 483137 487604 499462
Surfaced Zilla Parishad
Roads 238382 243977 247959 250995 272899 275786 283832
Source: http://www.morth.nic.in/index1.asp?linkid=224&langid=2 (34)

Road Length(Zilla Parishad Roads)

600000
Road Length(in kms)

500000
400000 Zilla Parishad Roads
300000
Surfaced Zilla Parishad
200000 Roads
100000
0
20 0

20 5
20 0 1

20 2

20 3

20 0 4

6
-0

-0

-0
-0

-0
-

-
99

00

01

02

03

04

05
19

Years

Figure 14
Source: Author’s calculation

28
 Table 12
Years 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
Urban Roads 212920 231573 236055 237866 248408 252001 250122
Surfaced urban
roads 156124 175798 178877 180558 188325 191797 190102
(35)
Source: http://www.morth.nic.in/index1.asp?linkid=224&langid=2

Trend in growth of Urban Roads

260000
Road Length(in kms)

250000
240000
230000
Urban Roads
220000
210000
200000
190000
1999- 2000- 2001- 2002- 2003- 2004- 2005-
00 01 02 03 04 05 06
Years

Figure 15
Source: Author’s calculation

Road Length(Urban Roads)

300000
Road Length(in kms)

250000
200000
Urban Roads
150000
Surfaced urban roads
100000
50000
0
20 1

20 2

20 3
20 0

20 4

20 5

6
-0

-0

-0

-0
-0

-0

-0
99

00

01

02

03

04

05
19

Years

Figure 16
Source: Author’s calculation

29
 Table 13
1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
Municipal Roads 190240 208541 212635 214475 224983 228607 226706
Surfaced Municipal
Roads 135451 154711 157458 159169 166936 170437 168719
(36)
Source: http://www.morth.nic.in/index1.asp?linkid=224&langid=2
Road Length(Municipal Roads)

250000
Road Length(in kms)

200000
Municipal Roads
150000
100000 Surfaced Municipal
Roads
50000
0
20 0

20 1

20 4
20 2

20 3

20 5

6
-0

-0

-0
-0

-0

-0

-0
99

00

01

02

03

04

05
19

Years

Figure 17

Source: Author’s calculation

Table 14
%change %change
Surfaced Unsurfaced All surfaced unsurfaced %change
Years Roads Roads Roads roads roads all roads
1975-76 397940 519940 917880
1976-77 435974 576425 1021399 9.56 10.86 10.3
1977-78 474467 653476 1127943 8.83 13.37 11.41
1978-79 498837 672481 1171318 5.14 2.91 3.85
1979-80 522635 692627 1215262 4.77 3 3.75
1980-81 547414 657437 1204851 4.74 -5.08 -0.86
1981-82 571675 736123 1307798 4.43 11.97 8.54
1982-83 595964 776176 1372140 4.25 5.44 4.92
1983-84 623402 821884 1445286 4.6 5.89 5.33
1984-85 644216 847657 1491873 3.34 3.14 3.22
1985-86 683676 801745 1485121 6.13 -5.42 -0.43
1986-87 731959 813932 1545891 7.06 1.52 4.07
1987-88 726159 852947 1579106 -0.79 4.79 2.15
1988-89 747003 873501 1620504 2.87 2.41 2.62
1989-90 787935 899013 1686948 5.48 2.92 4.1
1990-91 824916 901188 1726104 4.69 0.24 2.32
1991-92 857890 922687 1780577 4 2.39 3.16
1992-93 888380 955040 1843420 3.55 3.51 3.53

30
 1993-94 957631 962254 1919885 7.8 0.76 4.15
1994-95 1016386 967481 1983867 6.14 0.54 3.33
1995-96 1025215 976729 2001944 0.87 0.96 0.91
1996-97 1048682 972759 2021441 2.29 -0.41 0.97
1997-98 1117623 932594 2050217 6.57 -4.13 1.42
1998-99 1143085 935425 2078510 2.28 0.3 1.38
1999-00 1169854 939106 2108960 2.34 0.39 1.46
2000-01 1263364 1039151 2302515 7.99 10.65 9.18
2001-02 1363127 1035661 2398788 7.9 -0.34 4.18
2002-03 1308420 1019936 2328356 -4.01 -1.52 -2.94
2003-04 1355380 1041270 2396650 3.59 2.09 2.93
2004-05 1390598 1025480 2416078 2.6 -1.52 0.81
2005-06 1414547 1032120 2446667 1.72 0.65 1.27
2006-07 1420489 1062855 2483344 0.42 2.98 1.5
Source:
http://www.morth.nic.in/writereaddata/sublinkimages/overview_NH3244795788.htm (37)
Graph 18:
Road Length(in kms)

RoadLengthGrowth

3000000
2500000
2000000
UnsurfacedRoads
1500000
SurfacedRoads
1000000
500000
0
6

6
-7

-8

-8

-9

-0

-0
5

5
8

9
7

0
9

0
1

Years

Figure 18
Source: Author’s calculation

31
 %change unsurfaced roads

15

Percentage change 10

5
%change unsurfaced
roads
0
19 8 0

4
19 7 6

19 8 8

19 9 2

4
-8

-0
-9

-0
-

-
-5
75

79

83

87

91

95

99

03
19

19

19

20
-10
Years

Figure 19
Source: Author’s calculation
Percentage change in road

%change surfaced roads

12
length(all roads)

10
8
6
4 %change
2 surfaced roads
2005-06
1975-76

1980-81

1985-86

1990-91

1995-96

2000-01

0
-2
-4
-6
Years

Figure 20
Source: Author’s calculation

32
 %change all roads

14
12

Percentage change
10
8
6
%change all roads
4
2
0
1975-76

1981-82

1990-91
1993-94
1996-97
1978-79

1984-85
1987-88

1999-00
2002-03
2005-06
-2
-4
Years

Figure 21
Source: Author’s calculation

Table 15

Surfaced Unsurfaced All

Roads Roads Roads
Years Density Density Density
1975-76 121.06 158.17 279.22
1976-77 132.63 175.35 307.98
1977-78 144.34 198.79 343.13
1978-79 151.75 204.57 356.32
1979-80 158.99 210.7 369.69
1980-81 166.53 200 366.52
1981-82 173.91 223.93 397.84
1982-83 181.3 236.12 417.41
1983-84 189.64 250.02 439.66
1984-85 195.97 257.86 453.83
1985-86 207.98 243.89 451.87
1986-87 222.67 247.6 470.27
1987-88 220.9 259.47 480.37
1988-89 227.24 265.72 492.96
1989-90 239.69 273.48 513.18
1990-91 250.94 274.15 525.09
1991-92 260.97 280.69 541.66
1992-93 270.25 290.53 560.78
1993-94 291.32 292.72 584.04
1994-95 309.19 294.31 603.5
1995-96 311.88 297.13 609
1996-97 319.01 295.92 614.93
1997-98 339.99 283.7 623.69
1998-99 347.73 284.56 632.29
1999-00 355.88 285.68 641.56

33
 2000-01 384.32 316.11 700.44
2001-02 414.67 315.05 729.72
2002-03 398.03 310.27 708.3
2003-04 412.31 316.76 729.07
2004-05 423.03 311.96 734.98
2005-06 Surfaced Roads
430.31 313.98Density
744.29
2006-07 432.12 323.33 755.44
km of geographical area)
Density(Km per '000 sq

500
Source: Centre for Monitoring Indian Economy, Report on Infrastructure (38)
Surfaced Roads

400
300 Surfaced Roads
200 Density
100
0
1975-76

1993-94

2005-06
1981-82
1987-88

1999-00

Years

Graph 23:
Unsurfaced Roads Density
Density(Km per '000 sq

350
km of geographical
Unsurfaced Roads

300 Figure 22
Source: 250
Author’s calculation
200 Unsurfaced
area)

150 Roads Density

100
50
0
1975-76

1987-88

2005-06
1981-82

1993-94
1999-00

Years

Figure 23
Source: Author’s calculation

34
 All Roads Density

Road Density(Km per

geographical area)
800

'000 sq km of
600
All Roads
400
Density
200
0

1990-91
1975-76
1980-81
1985-86

1995-96
2000-01
2005-06
Years

Figure 24

Figure 24
Source: Author’s calculation

Table 16
%change
National State in %change
Highway Highway National in state
Years s s highways highways
1976-77 23838 56765
1977-78 27846 84909 16.81 49.58
1978-79 29092 86215 4.47 1.54
1979-80 29095 87571 0.01 1.57
1980-81 29156 88514 0.21 1.08
1981-82 29149 92198 -0.08 0.79
1982-83 29311 93225 0.56 1.11
1983-84 29382 93208 0.24 -0.02
1984-85 29467 95150 0.29 2.08
1985-86 31671 94359 7.48 -0.83
1986-87 31777 95654 0.33 1.37
1987-88 31767 96969 -0.03 1.37
1988-89 31817 97041 0.16 0.07
1989-90 31852 99262 0.11 2.29
1990-91 32088 100461 0.74 1.21
1991-92 32305 100970 0.68 0.51
1992-93 32446 115989 0.44 14.87
1993-94 32886 123131 1.36 6.16
1994-95 33479 124266 1.8 0.92
1995-96 33650 127311 0.51 2.45
1996-97 33666 128622 0.05 1.03
1997-98 33916 129876 0.74 0.97
1998-99 34249 132401 0.98 1.94
1999-00 34262 134085 0.04 1.27
2000-01 34508 135187 0.72 0.82

35
 2001-02 34849 137119 0.99 1.43
2002-03 38517 136489 10.53 -0.46
2003-04 49585 137950 28.74 1.07
2004-05 52010 132797 4.89 -3.74
2005-06 57737 132100 11.01 -0.52
2006-07 58112 137711 0.65 4.25
Source:
http://www.morth.nic.in/writereaddata/sublinkimages/overview_NH3244795788.htm (39)

National Highways

2006-07
2001-02

1996-97
Years

1991-92 National Highways

1986-87

1981-82
1976-77
0 20000 40000 60000 80000
Road Length(in kms)

Figure 25
%Source:
change Author’s
in in growth of National highways
calculation
35
Percentage change

30
25
20
% change in National
15
highways
10
5
0
-5
1976-77

2000-01

2006-07
1979-80
1982-83
1985-86
1988-89
1991-92
1994-95
1997-98

2003-04

Years

Figure 26
Source: Author’s calculation

36
 State Highways

2006-07
2001-02

1996-97
Years

1991-92 State Highways

1986-87

1981-82
1976-77
0 50000 100000 150000
Road Length(in kms)

Figure 27
Source:
%changeAuthor’s calculation
in growth of State highways

60
Percentage change

50
40
30 %change in state
20 highways
10
0
1976-77

1985-86
1988-89

1991-92

1997-98

2003-04
1979-80

1982-83

1994-95

2000-01

2006-07

-10

Years

Figure 28
Source: Author’s calculation

37
 Table 17
% % %
change change change
Total Surfaced in other in zilla in total
district district PWD parishad district
Years roads roads roads roads roads
1975-76 438080 235042
1976-77 462581 23507 -2.38 19.9 5.32
1977-78 486767 251809 5.08 4.89 5
1978-79 516106 269705 7.09 4.54 6.03
1979-80 534422 284115 3.42 3.73 3.55
1980-81 599415 303891 8.26 -0.45 4.68
1981-82 611139 319694 5.89 14.46 9.25
1982-83 636010 338574 5.09 2.6 4.07
1983-84 656455 359829 4.37 1.51 3.21
1984-85 679516 379823 4.49 2.04 3.51
1985-86 695363 390646 2.1 2.69 2.33
1986-87 716852 414194 3.55 2.38 3.09
1987-88 739904 432649 4.19 1.7 3.22
1988-89 751093 451333 1.77 1.11 1.51
1989-90 779587 481115 5.74 0.66 3.79
1990-91 797793 506311 2.26 2.47 2.34
1991-92 823745 530427 4.87 0.52 3.25
1992-93 784408 544520 -7.85 0.63 -4.78
1993-94 873613 569371 0.92 28.21 11.37
1994-95 908545 604552 1.83 6.74 4
1995-96 908164 602260 2.4 -3 -0.04
1996-97 919892 618139 2.28 0.03 1.29
1997-98 979394 629165 1.96 2.14 2.01
1998-99 942199 652139 1.18 4.31 7.13
1999-00 1152417 808059 40.24 1.08 22.33
2000-01 1202836 854489 5.8 2.03 4.38
2001-02 1103083 790104 -14.08 1.57 -8.29
2002-03 1128982 814236 3.19 1.13 2.35
2003-04 1213817 874411 8.68 5.8 7.51
2004-05 1223605 886302 0.73 0.92 0.81
2005-06 1224887 887190 -1.44 2.43 0.1
Source:
http://www.morth.nic.in/writereaddata/sublinkimages/overview_NH3244795788.htm (40)

38
 District Roads(total)

1400000

Road Length(in kms)

1200000
1000000
800000 Total district roads
600000 Surfaced district roads
400000
200000
0
19 7 6

20 0 0
19 7 9

19 -8 2

19 8 5

19 8 8

19 -9 1

19 9 4

19 -9 7

20 0 3

6
-0
-

-
75

78

81

84

87

90

93

96

99

02

05
19

Years

Figure 29
Source: Author’s calculation

% change in District Roads (other PWD roads)

50
40
Percentage change

30
20 % change in other PWD
10 roads

0
-10
19 7 6

19 -8 8

19 -9 1

19 -9 7
20 -0 0

20 0 3
19 -7 9
19 -8 2

19 -8 5

19 -9 4

6
-0
-

-
75

78
81
84

87
90

93

96
99
02

05

-20
19

Years

Figure 30
Source: Author’s calculation

39
 % change in district roads(zilla parishad roads)

30
25

Percentage chnge
20
15 % change in zilla
10 parishad roads
5
0
1975-76
1978-79

1999-00
2002-03
2005-06
1981-82
1984-85
1987-88
1990-91
1993-94
1996-97
-5

Years

Figure 31
Source: Author’s calculation

% change in total district roads

25
20
Percentage change

15
10 % change in total
5 district roads

0
1984-85

1990-91

2002-03
1975-76
1978-79
1981-82

1987-88

1993-94
1996-97
1999-00

2005-06

-5
-10
Years

Figure 32
Source: Author’s calculation

40
Table 18

%
change
Urban in urban
Years Roads roads
1975-76 72123
1976-77 80127 11.1
1977-78 87220 8.85
1978-79 91307 4.69
1979-80 97473 6.75
1980-81 100005 2.6
1981-82 105023 5.02
1982-83 107862 2.7
1983-84 112379 4.19
1984-85 114221 1.64
1985-86 123320 7.97
1986-87 126095 2.25
1987-88 129801 2.94
1988-89 132416 2.01
1989-90 135299 2.18
1990-91 138647 2.47
1991-92 141618 2.14
1992-93 143537 1.36
1993-94 157193 9.51
1994-95 181171 15.25
1995-96 186779 3.11
1996-97 189352 1.37
1997-98 195150 3.06
1998-99 202013 3.52
1999-00 204577 1.27
2000-01 212920 4.08
2001-02 231573 8.76
2002-03 236055 1.94
2003-04 237866 0.77
2004-05 248408 4.43
2005-06 252001 1.45
Source:
http://www.morth.nic.in/writereaddata/sublinkimages/overview_NH3244795788.htm (41)

41
 Urban Roads

2005-06
2000-01

1995-96
Years

1990-91 Urban Roads

1985-86

1980-81
1975-76
0 50000 10000 15000 20000 25000 30000
0 0 kms) 0
Road Length(in 0 0

Figure 33
Source: Author’s calculation

% change in urban roads

18
16
Percentage change

14
12
10 % change in urban
8 roads
6
4
2
0
1975-76

1987-88

1993-94

2005-06
1978-79
1981-82
1984-85

1990-91

1996-97
1999-00
2002-03

Years

Figure 34
Source: Author’s calculation

42
 Table 19
% change %
Village Community in village % change in change
Panchayat development/panchayat Block panchayat CD/panchayat in block
Years Roads samiti roads Roads roads samiti roads roads
1975-76 107215 86068 193283
1976-77 108856 106414 215270 1.53 23.64 11.38
1977-78 154933 128311 283244 42.33 20.58 31.58
1978-79 155674 134442 290116 0.48 4.78 2.43
1979-80 159845 144518 304363 2.68 7.49 4.91
1980-81 156534 150749 307283 -2.07 4.31 0.96
1981-82 150173 156925 307098 -4.06 4.1 -0.06
1982-83 178903 158800 337703 19.13 1.19 9.97
1983-84 202835 180814 383649 13.38 13.86 13.61
1984-85 203761 172216 375977 0.46 -4.76 -2
1985-86 179848 175549 335397 -11.74 1.94 -5.47
1986-87 187109 184896 372005 4.04 5.32 4.67
1987-88 189644 201018 390662 1.35 8.72 5.02
1988-89 194748 211129 405877 2.69 5.03 3.89
1989-90 228361 208936 437297 17.26 -1.04 7.74
1990-91 236720 214066 450786 3.66 2.46 3.08
1991-92 258768 216156 474924 9.31 0.98 5.35
1992-93 285749 224981 510730 10.43 4.08 7.54
1993-94 281135 241320 522455 -1.61 7.26 2.3
1994-95 306582 223759 530341 9.05 -7.28 1.51
1995-96 313374 222909 536283 2.22 -0.38 1.12
1996-97 315592 221832 537424 0.71 -0.48 0.21
1997-98 446192 152327 598519 41.38 -31.33 11.37
1998-99 452632 153215 605847 1.44 0.58 1.22
1999-00 454138 114324 568462 0.33 -25.38 -6.17
2000-01 406575 115235 521810 -10.47 0.8 -8.21
2001-02 444737 97794 542531 9.39 -15.14 3.97
2002-03 445353 99432 544785 0.14 1.67 0.42
2003-04 425486 146258 571744 -4.46 47.09 4.95
2004-05 408524 146695 555219 -3.99 0.3 -2.89
2005-06 406150 147413 553563 -0.58 0.49 -0.3
2006-07 412595 148104 560699 1.59 0.47 1.29
Source: www.pmgsy.nic.in (42)

43
 Block Roads(Village Panchayat Roads)

2003-04
1996-97
Years
1989-90 Village Panchayat Roads

1982-83

1975-76
0 200000 400000 600000

Road Length(in kms)

Figure 35
Source: Author’s calculation

Block Roads(Community development/panchayat

samiti roads)

2005-06
1999-00
1993-94 Community
Years

development/panchayat
1987-88 samiti roads
1981-82
1975-76
0 100000 200000 300000
Road Length(in kms)

Figure 36
Source: Author’s calculation

44
 Block Roads(total)

2005-06
2000-01
1995-96
Years

1990-91 Block Roads

1985-86
1980-81
1975-76
0 200000 400000 600000 800000
Road Length(in kms)

Figure 37
Source: Author’s calculation

% change in village panchayat roads

50
40
Percentage change

30
20 % change in village
10 panchayat roads

0
1978-79
1981-82

1990-91
1993-94
1996-97

2002-03
2005-06
1975-76

1984-85
1987-88

1999-00

-10
-20
Years

Figure 38
Source: Author’s calculation

45
 % change in CD/panchayat samiti roads

60
50
40
Percentage change

30
20 % change in
10 CD/panchayat samiti
0 roads
-10
19 7 6

19 8 0

19 8 8
19 8 4

19 9 2

19 9 6

20 0 0

4
-0
-20
-

-
75

79

83

87

91

95

99

03
19

-30
-40
Years

Figure 39
Source: Author’s calculation

% change in block roads

35
30
25
Percentage change

20
15
% change in block
10
roads
5
0
-5
1978-79

1987-88

1993-94

2002-03
1975-76

1981-82
1984-85

1990-91

1996-97
1999-00

2005-06

-10
-15
Years

Figure 40
Source: Author’s calculation

46
Table 20
connected unconnected
villages % villages %
India 56.55 44.35
Source: www.pmgsy.nic.in (43)

India(villages connected by roads)

connected villages %
unconnected villages %

Figure 41
Source: Author’s calculation

Table 21
Central road fund 2009-10
(i) Grants to States Rs.1988.55 crores
(ii) Grants to States for Inter-State and Economical Important Roads Rs.213.97 crores

(iii) Grants to UT Governments Rs.81.51 crores

(iv) Grants to UTs for Inter-State and Economical Important Roads Rs.16.03 crores

(v) Investment in NHAI Rs.8578.45 crores

(vi) Railways Rs.958.36 crores
(vii) Rural roads Rs.4843.13 crores
Total Rs.16680.00 crores
Source:
http://www.morth.nic.in/writereaddata/sublink2images/AnnaulReport200809_Eng69699
80905.pdf (44)

47
 Central Road Fund(2009-10)(in crores) Grants to States

Grants to States for Inter-State

and Economical Important Roads
Grants to UT Governments

Grants to UTs for Inter-State and

Economical Important Roads
Investment in NHAI

Railways

Rural roads

Figure 42
Source: Author’s calculation

Table 22
Name of Total Area Lengt Populatio Length of
State/U.T. NH in h of n in Lakhs NH in km/
length 1000 NH in as per lakh
in Km sq km km/ 2001 population
1000 census
sq km

Andman & 300 8.249 36.4 3.56 84.3

Nicobar Islands

Andhra Pradesh 4537 275.07 16.5 762.1 6

Arunachal 1992 83.743 23.8 10.97 181.6
Pradesh
Assam 2836 78.438 36.2 266.55 10.6
Bihar 3642 94.163 38.7 829.98 4.4
Chandigarh 24 0.114 210.5 9 2.7
Chhatisgarh 2184 135.19 16.2 208.33 10.5
Dadar & Nagar 0 0.491 0 2.2 0
Haveli

Daman & Diu 0 3.814 0 1.58 0

Delhi 72 1.483 48.6 138.5 0.5

48
 Goa 269 3.814 70.5 13.47 20
Gujarat 3245 196.02 16.6 506.71 6.4
Haryana 1512 44.212 34.2 211.44 7.2
Himachal 1409 55.673 25.3 60.77 23.2
Pradesh
Jammu & 1245 222.24 5.6 101.43 12.3
Kashmir
Jharkhand 1805 79.714 22.6 269.45 6.7
Karnataka 4396 191.79 22.9 528.5 8.3
Kerala 1457 38.863 37.5 318.41 4.6
Lakswadeep Is. 0 0.032 0 0.61 0
Madhya Pradesh 4670 308.25 15.1 603.48 7.7
Maharashtra 4176 307.69 13.6 968.78 4.3
Manipur 959 22.327 43 22.93 41.8
Meghalaya 810 22.429 36.1 23.18 34.9
Mizoram 927 21.081 44 8.88 104.4
Nagaland 494 16.579 29.8 19.9 24.8
Orissa 3704 155.71 23.8 368.04 10.1
Pudducherry 53 0.495 107.1 9.74 5.4
Punjab 1557 50.362 30.9 243.58 6.4
Rajasthan 5585 342.24 16.3 565.07 9.9
Sikkim 62 7.096 8.7 5.4 11.5
Tamil Nadu 4832 130.06 37.2 624.05 7.7
Tripura 400 10.486 38.1 31.99 12.5
Uttarakhand 2042 55.845 36.6 84.89 24.1
Uttar Pradesh 6774 238.57 28.4 1662 4.1
West Bengal 2578 88.752 29 801.76 3.2
TOTAL 70548 3291.1 21.4 10287 6.9
Source: http://www.morth.nic.in/writereaddata/sublink2images/Density2419570544.htm
(45)

49
 A ndman&N
icob
ar
De
n s
ityD
istributionofNa
tio
nalHighwa
ys Isla
nds
An
dhraP
rad
esh

Aru
nach
alP
rad
esh

As
sam

Bih
ar

C
han
dig
arh

C
hha
tisg
arh

D
ada
r&N
aga
rHa
veli

D
ama
n&D
iu

D
elh
i

G
oa

G
uja
rat

H
arya
na

H
ima
cha
lPra
desh

J
amm
u&K
ash
m ir

J
harkh
and

Ka
rna
taka

Ke
rala

L
aksw
ade
epIs.

M
adh
yaPra
desh

M
aha
rash
tra

M
anip
ur

M
egh
ala
ya

M
izo
ram

N
aga
lan
d

O
rissa

Pu
ddu
che
rry

Pu
nja
b

R
aja
sth
an

Sikkim

T
amil N
adu

T
rip
ura

U
tta
rakh
and

U
tta
rPra
desh

We
st B
eng
al

Figure 43
Source: Author’s calculation

50
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