New Delhi-Mumbai expressway land acquisition cost to be lower by Rs 20k crore
The proposed project will also cut travel distance between the two metros by 125 km.
The minister said as compared to land acquisition cost of Rs 7 crore per hectare for the existing highway between Delhi and Mumbai, the new alignment will see land acquisition cost to reduce to Rs 70 to 80 lakh per hectare.
The government has planned to build a new express highway connecting Delhi and Mumbai on a new alignment at a cost of Rs 1 lakh crore.
Land acquisition for the new Delhi-Mumbai express highway will cost Rs 16,000 crore to Rs 20,000 crore less. The new alignment will be from Ring Road of Delhi to Jaipur to Alwar from where it will reach Sawai Madhopur to Mumbai via Vadodara.
Addressing an event by Transport Corporation of India (TCI) for the launch of "Insurance Requirements of the Indian Logistics & Warehousing industry and their Customers," Gadkari said not only travel distance between both the metropolises will reduce by 125 km after this new express highway but one can reach Mumbai from Delhi in 11 hours on car.
He said the Vadodara to Mumbai part will be built at a cost of Rs 44,000 crore in five packages and work is likely to begin in a month as tenders have been already out.
The minister said the new express highway will result in reduction of the logistics cost and will develop the socially backward areas in Rajasthan, Gujarat, Haryana, Maharashtra and Madhya Pradesh.
The government has plans to build Chambal expressway that would be connected to the Delhi-Mumbai expressway and will benefit states like Madhya Pradesh and Rajasthan, he added.
He further said, the new alignment of the highway which we made goes from backward areas of Rajasthan and Madhya Pradesh, Gujarat, Haryana as well. All backward areas of the four states will develop industrially. There will be poverty alleviation.
About logistics, he said the trucks will be able to move faster on the new express highway which will be access-controlled.
On insurance requirements of the logistics and warehousing industry, Gadkari made it clear that insurance can not be made mandatory and it is up to consumers to decide.
TCI and Insurance Institute of India has released a joint report on the insurance requirements of India's logistics and warehousing sector.
Exploratory study recommended mandatory insurance of cargo by shipper & a comprehensive risk management policy for logistics service providers.