New Delhi, Oct. 3 -- In a bid to de-risk investments for private developers and attract more bidders for its road projects, the government is considering allowing developers of new greenfield toll highways under the build-operate-transfer (BOT) model to also operate existing, parallel routes.

The move is aimed at addressing the traffic-diversion risk for developers, as users often opt for cheaper or free routes, causing projected revenues from new highways to fall short.

By bundling the alternative route with the new project, the government hopes to make BOT tenders more attractive. The selected bidder would either be allowed to collect tolls on the existing route or be awarded an operation and maintenance contract for the older road, w...