A major infrastructure development has received approval as the Public-Private-Partnership Appraisal Committee (PPPAC) has sanctioned the expansion of National Highway 65, the crucial Hyderabad-Vijayawada Highway. The ambitious project will transform the highway into a six-lane corridor covering 285 kilometers from Hyderabad to Machilipatnam at an estimated cost of Rs. 12,073.99 crores. The expansion will be executed through three distinct packages, with the first package covering 181 kilometers from Andol Maisamma Temple near the Outer Ring Road to Gollapudi in Vijayawada, the second package spanning 45 kilometers from Hyderabad to Nandigama, and the third package extending 59.69 kilometers from Vijayawada to Machilipatnam.
The project will be implemented using different financial models, with the Hyderabad to Vijayawada section operating on a Build-Operate-Toll (BOT) basis and the Vijayawada to Machilipatnam stretch following a Hybrid Annuity Mode (HAM) system. According to official estimates, Package-1 will cost Rs. 7,321.97 crores, Package-2 is budgeted at Rs. 2,965.11 crores, and Package-3 will require Rs. 1,786.91 crores. The per kilometer cost, including land acquisition, construction works, and GST, is estimated at Rs. 38 crores. The highway expansion will pass through Yadadri Bhuvanagiri, Nalgonda, and Suryapet districts in Telangana and NTR and Krishna districts in Andhra Pradesh.
Land acquisition remains a critical component of the project, with Package-1 requiring Rs. 529.45 crores and Package-2 needing Rs. 924.43 crores for land procurement in Telangana. A total of 1,387.628 hectares of land is needed for both packages, of which 1,174.295 hectares is already available. An additional 213.33 hectares will need to be acquired from private landowners. For the Vijayawada-Machilipatnam route expansion, 351.185 hectares are required, with 344.685 hectares currently available, leaving a shortfall of 6.50 hectares to be acquired.
The entire route will be transformed into a high-speed corridor with advanced safety features including crash barriers on both sides. The expansion will add another two-lane road to the existing carriageway, along with two-lane service roads on both sides. Entry and exit points will be strategically placed every 15-18 kilometers along the entire distance. The project will feature 30 toll plazas on both sides of the highway, implementing new technology that charges toll based on the actual distance traveled rather than fixed rates. The system will scan vehicles at the Outer Ring Road entry point and calculate charges based on the exit point chosen.
Following the PPPAC approval, the project file will now be forwarded to the Union Cabinet for final clearance. Once cabinet approval is secured, construction work is expected to commence immediately. The highway expansion represents a significant infrastructure upgrade connecting Hyderabad with the port city of Machilipatnam, facilitating improved connectivity and economic development across both Telangana and Andhra Pradesh.
