Hyderabad RRR-N to Begin Soon as Centre Approves Revised Project Cost
HYDERABAD: The Centre has set a three-year deadline ending in 2029 for completing the northern stretch of the Hyderabad Regional Ring Road (RRR-N). It has approved a revised project cost of ₹23,995.60 crore.
In a fresh communication to the Telangana government, the Centre said the Public Private Partnership Appraisal Committee under the Union finance ministry cleared the revised proposal. The approval will allow authorities to open long-pending tenders and restart the stalled project, official sources said.
The project remained on hold for nearly a year even after officials completed land acquisition and the tendering process. Delays occurred after the Centre and the state government proposed changes to the original design and execution plan.
With approvals now in place, authorities expect construction work to begin shortly.
Cost rises after redesign and delay
The revised estimates have sharply increased the project cost. Officials had initially estimated the 161.518-km northern stretch at around ₹15,000 crore. The revised approval has now pushed the cost to nearly ₹24,000 crore.
Authorities will develop the RRR-N as a six-lane access-controlled highway. They dropped the earlier proposal for an eight-lane corridor and reduced the alignment width from 100 metres to 90 metres. The state government will receive the remaining 10 metres.
The project will connect national and state highways at nine locations. Authorities plan to build large interchanges, each spread across 100 to 120 acres, at these junctions.
Officials divided the northern corridor into two packages. Package-1 covers 83.518 km from Girmapur in Sangareddy district to Pragnapur in Siddipet district. Package-2 spans 78 km from Pragnapur to Tangedpalli in Yadadri-Bhuvanagiri district.
HAM model chosen for execution
The Centre chose the hybrid annuity model (HAM) for the project after evaluating public-private partnership and build-operate-transfer options.
Under HAM, the Centre will bear 40 per cent of the project cost, while the contractor will arrange the remaining 60 per cent. The National Highways Authority of India (NHAI) will sign a 15-year agreement with the contractor. It will repay the contractor’s investment, along with interest, in instalments during the concession period.
The contractor will also maintain the road during this period.
The project includes 44 major bridges, 127 minor bridges, 1,262 box culverts, four road overbridges, 44 underpasses and one vehicle overpass.
According to the detailed cost estimate, officials allocated ₹8,106.19 crore for civil construction, ₹5,357.59 crore for utility shifting, ₹1,366.65 crore for pre-construction expenses, ₹683 crore for escalation provisions and ₹5,349.26 crore for land acquisition.
Meanwhile, authorities have yet to finalise the alignment for the southern stretch of the Regional Ring Road. The Telangana government has proposed a 208-km alignment, and the NHAI is examining it. A detailed project report will finalise the cost and execution plan.
