Madhya Pradesh Cabinet Approves ₹1,757.55 Crore Bhopal-Vidisha Four-Lane Highway Project

Infrastructure Aug 14,2026

The Madhya Pradesh Cabinet has approved the ₹1,757.55 crore Bhopal-Vidisha four-lane highway project, aimed at improving regional connectivity and supporting the proposed Bhopal Metropolitan Region.

The 44.83-km stretch will be widened from two lanes to four lanes with paved shoulders under the Hybrid Annuity Model (HAM). The Madhya Pradesh Road Development Corporation (MPRDC) will fund 40% of the construction cost, including GST, through the State Highway Fund, while the remaining 60% will be paid through half-yearly annuities over 15 years from the state budget.

Alongside this approval, the Cabinet cleared an extension of toll collection on the 51.96-km Bhopal Bypass from July 19, 2026, to December 31, 2031, ahead of its proposed widening from four to six lanes. The Public Works Department has been authorised to extend the toll period by a further five years if required.

The project adds to a pipeline of road-widening and highway capacity works in Madhya Pradesh and is expected to generate opportunities for EPC contractors and equipment suppliers involved in highway construction and annuity-based road projects.

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