NEW DELHI: The reactive nature of the highway maintenance budget, inability to effectively utilize R&D funds, and slow progress in key areas like port connectivity projects during the Bharatmala era, were among the several concerns cited in the standing parliamentary report on the ministry submitted to Parliament on Wednesday.
The report highlighted that while overall budget utilization may indicate good absorption funds, there is wide variation across sectors.
“The Ministry stated that budget utilization has been consistently above 99% in recent years, with 90% utilization expected in the current year with Rs 870 crore pending. The committee notes that while the total capital shows high utilization, this figure masks significant variations at the sub-divisional level: Highway Research at 80.59% underutilization in 2025-26; MMLP at less than 20% utilization; and Parvatmala at 53% utilization.” The Committee is of the view that overall utilization figures, while broadly positive, should not mask specific areas of persistent under-uptake.
Amid the continuing high trend of road accident burden in recent years, the Standing Committee on Transport, Tourism and Culture in its 390th Report on Grant Applications also recommended that the Ministry of Road Transport and Highways adopt specific and measurable annual targets to reduce road accidents and fatalities under its budget framework.
In the rope transport sector under Parvatmala Pariyojana as well, the committee recommended expediting notification of comprehensive national standards for safety and operations, along with a vendor development program to promote local manufacturing. This report comes after a rope carrier collision on March 22 in Chhattisgarh that resulted in the death of a woman. The committee noted that eight projects covering 36 km have currently been awarded, five projects are under implementation, with the Varanasi Ropeway being targeted for operation and 10 new projects scheduled to be awarded in 2026-27. To ensure that the ropeway is not operated by MoRTH.
On the issue of highway maintenance planning, the Committee noted that it continues to rely on incremental precedents rather than scientific assessment of asset deterioration, disrupting systematic repair cycles. It observed a recurring pattern of budget underestimation (BE), followed by sharp upward revisions. In the period 2024-2025, the maintenance allocation was expected to reach $2,500 Crore (BE) and subsequently revised upward by 86.4% to $Rs 4,660 crore (RI). For 2025–26, it was B.E $4,555 crore, revised to $4,895.02 crores, while the actual expenditure up to January 2026 amounted to $3,744.31 crore, leaving about 18% to be spent in the last two months.
To address this problem, the Commission recommended switching to a “zero-based maintenance budget” framework, under which annual projections are based on experimental data from grid survey vehicles, using the International Roughness Index (IRI) to assess maintenance requirements.
Highlighting capacity constraints, the Committee said the Ministry’s inability to effectively use research and development funds had led to frequent waivers of allocations. It recommended the establishment of a permanent cell to facilitate research and development to improve the uptake and promotion of cost-effective technologies.
For better utilization of funds, the committee suggested that the National Highways Authority of India adopt the ‘Completion First’ protocol. With valuable projects $7.72 lakh crore ongoing, it said new contracts in specific areas should be awarded only after clear progress in completion of ongoing works, to avoid cost escalation due to interest during construction and delays.
The report also pointed out delays in port connectivity projects under Bharatmala state, stating that only 45% of these roads have been completed, undermining the goals of Prime Minister’s National Master Plan Jati Shakti. It recommended the establishment of a joint port connectivity mission with the Ministry of Ports, Shipping and Waterways, led by a senior nodal officer, to coordinate the land acquisition process and accelerate coastal area clearance operations.
To accelerate the development of multimodal logistics parks, the committee proposed exploring land pooling models and ensuring approvals for rail connectivity before awarding contracts to reduce mid-project coordination risks.
Regarding financing, the Committee proposed exploring the establishment of a monetization reserve fund to cushion capital expenditures against market fluctuations, by allocating surplus proceeds from asset monetization in favorable years.
The committee stressed that shifting the focus from kilometers built to measurable results would help ensure that infrastructure spending brings tangible benefits to citizens.
