Hyderabad: Yadgiri-Warangal stretch of National Highway-163 in Telangana is set to be handed over to a private operator as part of the National Highways Authority of India's (NHAI) asset monetisation programme for 2026-27.
The proposed move will transfer the responsibility of highway maintenance and toll collection to a private entity, while ownership of the road remains with the government.
According to a provisional list prepared by NHAI, the 99.1-km Yadgiri-Warangal section has been identified for monetisation through either the Toll-Operate-Transfer (TOT) model or the Infrastructure Investment Trust (InvIT) route.
Two toll plaza stretches included
The highway section has been divided into two packages covering stretches under the Komalla and Komatpally toll plazas. Once the project is awarded, the selected private operator will manage the highway, undertake maintenance works, and collect toll revenues for a specified concession period.
Officials said the move is aimed at generating funds for new highway projects and infrastructure development without transferring ownership of public assets.
Ownership to remain with Government
NHAI clarified that the highway is not being sold. Instead, it will be leased to a private operator for a fixed duration. The government will continue to retain ownership rights, while the concessionaire will be responsible for ensuring road quality, upkeep, and operational efficiency.
Monetisation through TOT or InvIT
Under the Toll-Operate-Transfer model, a private company pays an upfront amount to NHAI in return for the right to operate, maintain, and collect tolls from the highway for a predetermined period.
Alternatively, NHAI may opt for the Infrastructure Investment Trust (InvIT) model, through which funds are raised from investors by offering them a share in the revenue generated from operational highway assets.
Part of National Monetisation Plan
The Yadgiri-Warangal section is among 17 national highway stretches across the country shortlisted by NHAI for monetisation during the 2026-27 financial year.
The authority expects the programme to generate substantial revenue for funding future road and infrastructure projects.
For Telangana, the proposal could mark a significant shift in the management of one of the State's key national highway corridors, with private operators expected to take charge of maintenance and toll operations in the coming years, NHAI officials said.