NHAI May Renew MoU on Vijayawada-Machilipatnam Highway

December 3, 2013



The National Highways Authority of India (NHAI) will take a decision on renewal of the contract awarded to Hyderabad-based Madhucon Constructions for widening of the Vijayawada-Machilipatnam highway in a couple of weeks. The NHAI and Madhucon Constructions signed a two-year Memorandum of Understanding (MoU) in 2011 for widening of the 65-km national highway from Benz Circle in Vijayawada to Machilipatnam at a cost of `609 crore.

The project has come back into focus as the period of MoU expired in September, 2013 and the contractors expressing their willingness to start the project in view of the fast-tracking of the state bifurcation process.

The Vijayawada-Machilipatnam highway is one of the most important projects in Coastal Andhra as it connects Hyderabad. The existing two-lane national highway is not adequate to meet the increasing traffic demands between Vijayawada and Machilipatnam.

Of late, the road has become accident-prone especially on the stretch between Benz Circle and Kankipadu where vehicular traffic peaks in the morning and evening hours. The NHAI has proposed bypass roads near Vuyyur, Sultan Nagaram near Machilipatnam, Pamarru and Kankipadu. For some administrative and other reasons, the Madhucon Constructions has failed to ground the construction works for the last two years.

One of the important reasons for poor response from Madhucon Constructions is said to be the delay in the construction of Machilipatnam port. The Vijayawada-Guntur region is in the race for the proposed new capital of the residuary Andhra Pradesh.

If the Vijayawada-Machilipatnam Highway is widened, the revenue of toll gate will increase in the coming years which will be beneficial to the contractors. A senior NHAI official said the organisation is likely to renew the contract.

The proposed widening of the Vijayawada-Machilipatnam highway will play a vital role in the development of Krishna district.

The widened road will be of great use for transportation of goods from the central coastal districts and Hyderabad to the proposed Machilipatnam port.


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