The Himachal Pradesh Government is exploring Public-Private Partnership (PPP) and Externally Aided Project (EAP) models to accelerate the development of ropeway infrastructure across the state and address the high capital costs associated with such projects.
The government has identified ropeways as an important component of its tourism and connectivity strategy, particularly for linking major tourist destinations. Private investors and external funding agencies are being encouraged to submit viable proposals, with Shimla and other high-traffic tourist locations emerging as key areas of interest.
A proposed ropeway project in Shimla had earlier faced financial challenges after the tender evaluation indicated a significantly high project cost, making implementation difficult under the existing framework. The state is now considering a 30–35-year concession period under a PPP structure to improve project economics and make investments more attractive to private developers.
The government has around Rs 1,200 crore available and plans to use this public funding to leverage additional private and externally supported capital. The initiative is expected to improve tourist connectivity, strengthen transport infrastructure in hill regions and create new opportunities for private participation in Himachal Pradesh’s infrastructure development.