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BY
K.SNEHA
ROLL NO:131564
BY
K.SNEHA
131564
 The State Government of Andhra Pradesh (GOAP) through the Government
of India (GOI) has applied for a loan from the International Bank for Re-
construction and Development (IBRD)
 As per the GOAP’s strategic vision, the state has identified the need to
upgrade and operate the high traffic roads in the State through Public
Private Partnership(PPP) arrangements and has entrusted the responsibility
to Andhra Pradesh Road Development Corporation (APRDC).
 A set of eight State Highways have been selected for four laning under
phase-wise programme.
 The project road Hyderabad –
Karimnagar – Ramagundam
Road (State Highway-1) is
207.400 Km long and starts
from Km. 28.200 in Rangareddy
District and ends near
Mancherial (NH-16 Joining
point) at Km. 235.600.
 The project districts comprises of
Rangareddy, Medak,
Karimnagar.
‘Rajiv Rahadhari’ or State Highway-1 is the lifeline of Karimnagar
district as it is not connected to a railway network to Hyderabad.
Once it was converted into a double-lane
and became ‘Rajiv Rahadari’, the accidents
have increased steadily.
 Reasons were many as it could be due to
the high density of vehicular movement,
rapid urbanization and industrial activity in
the coal belt region.
 Following the high accident rates, there
was a clamor for converting the road into
four lane by public representatives, and
accordingly, the foundation stone was laid
in 2008.
LOCATION OF PROJECT
ROAD
 Total cost of the expansion process is Rs1,358.19crore
including LA, utility shifting and environmental cost under
BOT (Built, Operate and Transfer) process and Concession
Period of 15 years.
Existing Road Features
Existing Traffic
Mixed traffic flow is
observed along the
highway. The average
daily traffic along HKR
Road ranges from the
maximum of 20643 PCUs
to as low as 16237 PCUs
in different sections.
Proposed Road Features
Alignment proposal
Pavement
Geometric Design Aspects
Service Roads
Underpasses
Cross Drainage Structures
Design of Intersections
Traffic Control and Road
safety Features
PAVEMENT
 Flexible pavements are proposed for all
through out the road except at the toll plazas
where rigid pavement is proposed. This is
due to the high cost of construction involved
for rigid pavements.
Geometric Design aspects
 The design speed has been kept quite consistent, and speed
difference between two consecutive curves is not exceeded.
All horizontal curves are designed for 100kmph or 80kmph
and the lowest one is 15-35 kmph,
 All geometric design aspects have been carried out as per the
IRC standards and specifications.
Underpasses
 10 cattle, 6 pedestrian and 5 cattle cum pedestrian
underpasses have been proposed to ease access of local traffic
and population
 The project road has 7 major bridges and 32 minor
bridges. These bridges shall be retained as two lanes
and parallel new bridges shall be provided on the new
3-lane portion.
 Traffic control devices and road safety features, including
Traffic Signs, Road Markings, Road lighting & Crash Barriers are
proposed and designed as per relevant IRC codes and standards.
Cross Drainage Structures
Traffic Control and Road safety features
• Apart from widening to four lanes from the
existing 2 lane carriageway, the project have
also proposed several other enhancements
such as bus-bays, truck lay-byes, toll plazas
and Rest areas with Restaurant, toilet facilities,
ATM facility, Emergency First Aid, Repair /
Maintenance facility, Parking provisions for
trucks and cars, PCO and Police outposts.
Organization chart
o Foundation Stone was laid on : October 25th,2008
o Pre-Construction Stage : June 26th 2009
o Construction Stage : March 12th,2010
o Operation Stage :November 27th 2011
o Completion of the project : August 21st 2013.
Feasibility tests
 Feasibility tests are to be made so as to confirm the project
is to be processed or not, some of them are
 Operational tests.
 Technical tests.
 Economic and cost benefit analysis
0.1Area details and Land Acquisition
0.2 Financial details
0.3 Payback Period
0.4 Break Even Analysis
0.5 Net present value
0.6 Benefit Cost Analysis
0.7 Depreciation
Technical Feasibility
 The EIA has been included in project preparation to
streamline environmental issues in project design,
constructional and operational stages. The scope of
the Environmental Assessment (EA) as envisaged in
the Terms of Reference (ToR) includes the delivery
of a Technical Feasibility Report, which shall
contain Environmental Screening and Preliminary
Environmental Assessment of the project.
 Preliminary Environmental Screening :
 A Rapid Assessment Survey
(RAS) was undertaken to identify the Valued
Ecosystem Components (VECs) during the
feasibility stage and were categorised into various
environmental components for screening and to
assess their subsequent impacts due to the project.
0.1 Area Details and Land acquisition
Total land required for widening and upgrading the project
corridor is” 41.137 ha “of which only 0.955 shall be diverted
from forest lands. The rest are to be acquired from private
and other government land holdings. The bulk of the land is
required for widening and up gradation of the existing road
while 4.913 ha of land shall be required for building toll
plaza.
Financial details
Cash outflow :
 Total Budget of the project is
estimated to be 1358.19crores.
 The cash will be given at different
phases of the project.
 The budget allocated will be strictly
considered.
 The projected cash outflow may be
considered as single payment.
0
50
100
150
200
250
300
350
400
2014 2015 2016 2017
cash inflow chart
cash inflow chart
Amountincrores
Years
Payback Period
 Payback period in capital
budgeting refers to the period of time
required for the return on an
investment to "repay" the sum of the
original investment.
 Since the project is done under
BOT Process, From the cash inflow,
Invested capital is going to be recovered
in 4years 2months 15days.
 Inflow cash per year : 323.0688
crores
Net Present Value
 NPV can be describes as
“difference amounts” between the
sums of discounted: cash inflows
and cash outflows. It compares the
present value of money today to the
present value of money in the
future, taking inflation and returns
into account.
State highway which is going to be constructed is
expected to have a life time of 15 years without any
expansion being required in between.
 Net present Value =2,458.55crores
As the net present value is greater than the total
investment project seems to be feasible.
Benefit- Cost analysis
 Just as income and expenses are used in private
sector, so cost benefits are used in public sector to signify
the economic consequences of economic decisions.
 Net-Benefit cost Ratio = PVB-I/I
 IF, BCR >1 : Accepted
BCR<1 : Rejected
 Calculated value of BCR for the project = 1402.8 /1358.19
=1.033
Benefit-cost ratio (BCR) = Present value of Benefit
(PVB)/Investment
BCR>1, SO ACCEPTED 
Conclusion
 Traffic between Hyderabad and karimnagar is heavy, due to
lack of train facility between secunderabad and karimnagar.
 So conversion of state highway-1 to 4-lane toll pay road is
necessary.
 Lot of villages are being connected by this road expansion and
it is not access controlled as high speed vehicular movement is
not possible due to access everywhere.
References
THANK YOU

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Feasibility study on expansion of state highway

  • 2.  The State Government of Andhra Pradesh (GOAP) through the Government of India (GOI) has applied for a loan from the International Bank for Re- construction and Development (IBRD)  As per the GOAP’s strategic vision, the state has identified the need to upgrade and operate the high traffic roads in the State through Public Private Partnership(PPP) arrangements and has entrusted the responsibility to Andhra Pradesh Road Development Corporation (APRDC).  A set of eight State Highways have been selected for four laning under phase-wise programme.
  • 3.  The project road Hyderabad – Karimnagar – Ramagundam Road (State Highway-1) is 207.400 Km long and starts from Km. 28.200 in Rangareddy District and ends near Mancherial (NH-16 Joining point) at Km. 235.600.  The project districts comprises of Rangareddy, Medak, Karimnagar.
  • 4. ‘Rajiv Rahadhari’ or State Highway-1 is the lifeline of Karimnagar district as it is not connected to a railway network to Hyderabad. Once it was converted into a double-lane and became ‘Rajiv Rahadari’, the accidents have increased steadily.  Reasons were many as it could be due to the high density of vehicular movement, rapid urbanization and industrial activity in the coal belt region.  Following the high accident rates, there was a clamor for converting the road into four lane by public representatives, and accordingly, the foundation stone was laid in 2008.
  • 6.  Total cost of the expansion process is Rs1,358.19crore including LA, utility shifting and environmental cost under BOT (Built, Operate and Transfer) process and Concession Period of 15 years.
  • 8. Existing Traffic Mixed traffic flow is observed along the highway. The average daily traffic along HKR Road ranges from the maximum of 20643 PCUs to as low as 16237 PCUs in different sections.
  • 9. Proposed Road Features Alignment proposal Pavement Geometric Design Aspects Service Roads Underpasses Cross Drainage Structures Design of Intersections Traffic Control and Road safety Features
  • 10. PAVEMENT  Flexible pavements are proposed for all through out the road except at the toll plazas where rigid pavement is proposed. This is due to the high cost of construction involved for rigid pavements.
  • 11. Geometric Design aspects  The design speed has been kept quite consistent, and speed difference between two consecutive curves is not exceeded. All horizontal curves are designed for 100kmph or 80kmph and the lowest one is 15-35 kmph,  All geometric design aspects have been carried out as per the IRC standards and specifications.
  • 12. Underpasses  10 cattle, 6 pedestrian and 5 cattle cum pedestrian underpasses have been proposed to ease access of local traffic and population  The project road has 7 major bridges and 32 minor bridges. These bridges shall be retained as two lanes and parallel new bridges shall be provided on the new 3-lane portion.  Traffic control devices and road safety features, including Traffic Signs, Road Markings, Road lighting & Crash Barriers are proposed and designed as per relevant IRC codes and standards. Cross Drainage Structures Traffic Control and Road safety features
  • 13. • Apart from widening to four lanes from the existing 2 lane carriageway, the project have also proposed several other enhancements such as bus-bays, truck lay-byes, toll plazas and Rest areas with Restaurant, toilet facilities, ATM facility, Emergency First Aid, Repair / Maintenance facility, Parking provisions for trucks and cars, PCO and Police outposts.
  • 14.
  • 15.
  • 17. o Foundation Stone was laid on : October 25th,2008 o Pre-Construction Stage : June 26th 2009 o Construction Stage : March 12th,2010 o Operation Stage :November 27th 2011 o Completion of the project : August 21st 2013.
  • 18. Feasibility tests  Feasibility tests are to be made so as to confirm the project is to be processed or not, some of them are  Operational tests.  Technical tests.  Economic and cost benefit analysis 0.1Area details and Land Acquisition 0.2 Financial details 0.3 Payback Period 0.4 Break Even Analysis 0.5 Net present value 0.6 Benefit Cost Analysis 0.7 Depreciation
  • 19. Technical Feasibility  The EIA has been included in project preparation to streamline environmental issues in project design, constructional and operational stages. The scope of the Environmental Assessment (EA) as envisaged in the Terms of Reference (ToR) includes the delivery of a Technical Feasibility Report, which shall contain Environmental Screening and Preliminary Environmental Assessment of the project.  Preliminary Environmental Screening :  A Rapid Assessment Survey (RAS) was undertaken to identify the Valued Ecosystem Components (VECs) during the feasibility stage and were categorised into various environmental components for screening and to assess their subsequent impacts due to the project.
  • 20. 0.1 Area Details and Land acquisition Total land required for widening and upgrading the project corridor is” 41.137 ha “of which only 0.955 shall be diverted from forest lands. The rest are to be acquired from private and other government land holdings. The bulk of the land is required for widening and up gradation of the existing road while 4.913 ha of land shall be required for building toll plaza.
  • 21. Financial details Cash outflow :  Total Budget of the project is estimated to be 1358.19crores.  The cash will be given at different phases of the project.  The budget allocated will be strictly considered.  The projected cash outflow may be considered as single payment.
  • 22. 0 50 100 150 200 250 300 350 400 2014 2015 2016 2017 cash inflow chart cash inflow chart Amountincrores Years
  • 23. Payback Period  Payback period in capital budgeting refers to the period of time required for the return on an investment to "repay" the sum of the original investment.  Since the project is done under BOT Process, From the cash inflow, Invested capital is going to be recovered in 4years 2months 15days.  Inflow cash per year : 323.0688 crores
  • 24. Net Present Value  NPV can be describes as “difference amounts” between the sums of discounted: cash inflows and cash outflows. It compares the present value of money today to the present value of money in the future, taking inflation and returns into account.
  • 25. State highway which is going to be constructed is expected to have a life time of 15 years without any expansion being required in between.  Net present Value =2,458.55crores As the net present value is greater than the total investment project seems to be feasible.
  • 26. Benefit- Cost analysis  Just as income and expenses are used in private sector, so cost benefits are used in public sector to signify the economic consequences of economic decisions.  Net-Benefit cost Ratio = PVB-I/I  IF, BCR >1 : Accepted BCR<1 : Rejected  Calculated value of BCR for the project = 1402.8 /1358.19 =1.033 Benefit-cost ratio (BCR) = Present value of Benefit (PVB)/Investment BCR>1, SO ACCEPTED 
  • 27. Conclusion  Traffic between Hyderabad and karimnagar is heavy, due to lack of train facility between secunderabad and karimnagar.  So conversion of state highway-1 to 4-lane toll pay road is necessary.  Lot of villages are being connected by this road expansion and it is not access controlled as high speed vehicular movement is not possible due to access everywhere.