By TIOL News Service

NEW DELHI, APRIL 19, 2013: THE Road Sector needs a regulator to address challenges before it and the Ministry of Road Transport and Highways has been appreciative of the need for this regulatory body. This was stated by the Union Minister for road Transport and Highways, Dr.CP Joshi, here yesterday while addressing a round table on Regulatory Authority for the road sector.

Reiterating Government’s commitment to the cause of development, the Minister said today’s economic scenario and the Public Private partnership mode are posing significant challenges. These include challenges in terms of contract management, contract renegotiations, technical and safety aspects ensuring uniformity and transparency etc. Referring to proactive role of the Ministry in ensuring to set up a regulator Dr. Joshi informed that work is on towards developing a Regulatory philosophy in consultation with all stake holders. This to define the role and scope of this governing body he added.

All efforts are being made to ensure there is no conflict or overlap when it comes to the regulators role and that of the other agencies. The Minister further said that country striving to develop world class infrastructure is formulating participative policies. But the prevailing global economic conditions are leaving investors, both local and overseas, dry. There is a crunch of funds. This is hurting ambitious prospects. Not only it is keeping investors out of new projects but also stalling the ongoing projects. Currently the Highway sector is plagued with financial crisis, there are issues relating to debt and equity funds, environmental clearances and land acquisition to name some.

He hoped that the brainstorming at the round table will lead to formation of a robust regulatory body.