The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi, has given its approval for development of six laning of Narasannapeta-Ranastalam section of National Highway (NH) – 16 (old NH-5) in Andhra Pradesh. The cost is estimated to be Rs.1423 crore including cost of land acquisition, resettlement and rehabilitation and other pre-construction activities. The total length of the six lane road to be developed is approximately 54 km. This work will be done under National Highways Development Project (NHDP) Phase V on Hybrid Annuity Mode.
Keeping in view the expected traffic growth in the near future, the expansion to Six lanes is a very timely step taken by the Government of India. The project would also increase employment potential for local labourers from project activities. Consequent self-employment due to improved traffic conditions would be in addition. The development to six-lane of this road would greatly reduce travel time and Vehicle Operating Costs as well as help in expediting the improvement of infrastructure in Andhra Pradesh state. This road is part of the high-density traffic corridor namely Kolkata-Cuttack-Bhubaneswar-Visakhapatnam-Vijayawada-Chennai.