K Chandrasekhara Rao-led Telangana Government is planning to lease the Outer Ring Road to private players for 30 years. The government is planning to charge a lumpsum amount as lease and allow the private companies to collect user fee from motorists.
The state government is expecting to get over 2000 Crore from the lease for a decade. Until now, HMDA has been giving contracts to private agencies to collect toll. The contract is valid for a year and is renewed while the maintenance rests with HMDA.
Under this new system, the contractor will also have to pay for the operation and maintenance of ORR. This will phase out the involvement of HMDA. But then, the travel on the Outer Ring Road may be become costly under this system.
