The Bihar Cabinet has approved two major road infrastructure projects worth Rs9,960 crore for the Ganga Path projects in Munger and Bhagalpur districts, to be executed under the hybrid annuity model (HAM).
This public-private partnership (PPP) model combines government support with private investment. The Cabinet has sanctioned Rs 5,119 crore for the Munger (Safiyabad)-Bariyarpur-Ghorghat-Sultanganj (42 km) stretch and Rs 4,849 crore for the Sultanganj-Bhagalpur-Sabour (40.80 km) section. The project includes construction of an alternate bypass and the Ganga Path along the river Ganga to facilitate smoother and safer travel.
Road Construction Minister Nitin Nabin said, “The government has already announced in the assembly that HAM will be adopted for the construction of roads, bridges, and expressways.” He explained that under HAM, 40 percent of the project cost is provided by the government during construction, while the private contractor funds the remaining 60 percent, which is repaid with interest over 15 years.
Contractors are responsible for maintenance for 15 years post-completion. Toll collection rights remain with the government, and the assets are handed back after the maintenance period.