Japan International Cooperation Agency (JICA) has signed a loan agreement amounting to ¥49,847 million (approximately ₹2,809 crore) for the construction of the Chennai Peripheral Ring Road Project (Phase 2) in Tamil Nadu.
The Chennai Peripheral Ring Road is placed as one of the priority projects in the “Comprehensive Integrated Master Plan for Chennai-Bengaluru Industrial Corridor (2015)” based on agreement between the Government of Japan and Indian government. The objective of the project is to meet the rapidly increasing traffic demand in Chennai metropolitan area, ease congestion, reduce transportation time by about 40 minutes from/to Chennai and Ennore ports (through the Phase 1 & 2 projects) , and enhance connectivity to the southern part of the State by constructing a 26.3-km Peripheral Ring Road and introducing Intelligent Transportation Systems.
Introducing ITS
JICA signed the loan agreement for the first phase of the project in March 2018, and supported the construction of Section 1 (24.5 km in total), which is the northernmost part of the Peripheral Ring Road. Subsequently, in this second phase of the project, JICA contributes to construction of Section 5, which is the southernmost part of the Peripheral Ring Road, and introduction of Intelligent Transportation Systems (ITS) from Sections 2 to 5.
The ODA loan agreement was signed between Vikas Sheel, Additional Secretary, Department of Economic Affairs, Ministry of Finance and SAITO Mitsunori, Chief Representative, JICA India, in Delhi on Tuesday.
SAITO Mitsunori, Chief Representative of JICA India office said, “The traffic volume in Chennai has been increasing steeply with rapidly growing urbanisation, resulting in continuous severe traffic congestions. The Chennai metropolitan area accommodates lots of industrial companies and factories supported by its location, namely, critical cross-point for road as well as marine transportation for importing/exporting industrial goods and materials from/to other cities in India and South-East Asia. JICA will contribute to mitigating traffic congestion and improving industrial development in Chennai through both the Phase 1 and the Phase 2 of the project.”
The executing agency is the Highways and Minor Ports Department, the Government of Tamil Nadu, the release said.