Budget 2026 Expectations Updates: ‘Road Network Needs Dedicated Financial Support Mechanism’

Budget 2026 Expectations Updates: As India prepares for Union Budget 2026, experts are calling for a major reform push in the road and transport sector to improve quality, safety, and sustainability of the country’s vast highway network.

Budget 2026 Expectations Updates

Nagendra Nath Sinha, IAS (Retd.), Managing Director of Rodic Digital & Advisory, has highlighted the urgent need for a dedicated financial support mechanism for India’s 6.5 million km road network, backed by digital systems and green procurement policies.

Here are the key expectations for Budget 2026 from the road infrastructure sector.

India’s Road Network Needs Digital Transformation

India has the second largest road network in the world, stretching over 6.5 million kilometres.
However, managing such a massive asset requires a modern, technology-driven approach.

Digital Road Asset Management System (RAMS)

Sinha has recommended the adoption of a Digital Road Asset Management System (RAMS) across all National Highways.

Digital RAMS will help:

  • Track road condition in real time
  • Improve service quality
  • Optimise lifecycle costs
  • Enhance road safety
  • Extend asset life

When integrated with Performance-Based Maintenance Contracts (PBMCs), it ensures better accountability and long-term value for money.

Make Digital RAMS Mandatory Across National Highways

Currently, the Ministry of Road Transport and Highways (MoRTH) is implementing the eDisha programme, but its adoption is largely voluntary.

Budget Expectation:

  • Mandate Digital RAMS across all National Highways
  • Link it with performance-based maintenance contracts
  • Standardise digital road management nationwide

This will close gaps in monitoring and maintenance quality.

Dedicated Financial Support for States

To ensure uniform adoption, Sinha has called for a dedicated financial support mechanism for states, either through:

  • A standalone central scheme, or
  • CRF-linked grants (Central Road and Infrastructure Fund)

Budget 2026 May Include:

  • Financial incentives for states to adopt Digital RAMS
  • Recognition of Digital RAMS + PBMC as a notified reform under the Scheme of Assistance to States for Capital Expenditure

This will encourage faster and wider adoption of digital road management.

Green Procurement to Support Net Zero 2070

India’s Net Zero 2070 commitment can be strengthened through infrastructure procurement reforms.

Key Recommendations:

  • Operationalise Net Zero through Green Public Procurement
  • Institutionalise green procurement for:

    • MoRTH
    • Indian Railways
    • CPWD

This will reduce carbon footprint and promote sustainable construction practices.

Why This Matters

If Budget 2026 adopts these measures, India’s road sector will see:

✔ Better quality highways
✔ Lower maintenance costs
✔ Improved safety
✔ Faster project delivery
✔ Lower emissions
✔ Smarter infrastructure spending

Final Thoughts

Budget 2026 has the opportunity to transform India’s road network through digital, financial, and green reforms.

Read More : Budget Expectations Updates: What Is the Union Budget?

A dedicated financial support mechanism combined with Digital RAMS and green procurement can make India’s highways safer, smarter, and more sustainable.

Disclaimer: This article is for educational and informational purposes only. 

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