NEW DELHI: The Union Cabinet has approved the construction of a 4-lane highway along the 46.7-km Paramakudi–Ramanathapuram section of National Highway-87 (NH-87) in Tamil Nadu, with a total capital outlay of Rs 1,853.16 crore, the Ministry of Road Transport and Highways said in a press release on Monday.The project will be implemented under the Hybrid Annuity Mode (HAM) and is aimed at addressing growing traffic congestion and safety concerns between Madurai and Dhanushkodi, a corridor currently dependent on an overburdened 2-lane highway and associated state roads. Once completed, the upgrade will cater to the mobility needs of towns such as Paramakudi, Sathirakudi, Achundanvayal and Ramanathapuram, the ministry said.The proposed highway will connect five major National Highways — NH-38, NH-85, NH-36, NH-536, and NH-32 — as well as three State Highways — SH-47, SH-29, and SH-34. It will also enhance multi-modal connectivity by linking to Madurai and Rameshwaram railway stations, Madurai Airport, and the minor ports at Pamban and Rameshwaram.The government expects the corridor to strengthen regional connectivity, boost tourism to Rameshwaram and Dhanushkodi, and facilitate trade and industrial development in southern Tamil Nadu. It will also generate around 8.4 lakh person-days of direct and 10.45 lakh person-days of indirect employment, according to the project note.According to official estimates, the civil construction cost is pegged at Rs 997.63 crore, while land acquisition is expected to cost Rs 340.94 crore. The corridor had an estimated Annual Average Daily Traffic (AADT) for FY25, the ministry release stated.
