Himachal Pradesh to use PPP model for high-cost ropeway projects

The Himachal Pradesh government has announced plans to utilize Public-Private Partnership (PPP) and Externally Aided Project (EAP) models to develop ropeway systems across the state. Chief Minister Sukhvinder Singh Sukhu stated in the Legislative Assembly that high construction and operational costs have made it difficult for the state to fund these projects entirely through public resources.

The decision follows a sharp increase in the estimated cost of a proposed Shimla ropeway project, which has reached approximately ₹2,700 crore. The Chief Minister noted that while ropeways are essential for improving connectivity and easing road pressure in the state’s difficult mountainous terrain, financial viability remains a concern due to high maintenance costs and fluctuating passenger numbers.

To address these challenges, the government is inviting private sector proposals to reduce the direct financial burden on the state and leverage external expertise. The administration aims to connect tourist destinations via ropeways but cautioned against proposals designed solely to obtain government subsidies.