(1) Subject to the rules made under this Act, it shall be the function of the Authority to develop, maintain and manage the state highways and any other highways vested in, or entrusted to it, by the State Government in the manner that the authority becomes largely independent of Government funding for the maintenance of the Highways within three years from the date it is set up.
(2) Without prejudice to the generality of the provisions contained in sub-section (1), the Authority may, for the discharge of its functions, -
(a) Survey, develop, maintain and manage highways vested in, or entrusted to it and to achieve whereof the Authority will, inter-alia,-
(i) prepare immediate and long-term plans for the maintenance and up-gradation of the State Highways that are entrusted to it;
(ii) develop a scientific Pavement Management System for systematizing the maintenance operations and also lay down the standards for design and construction of state highways;
(iii) develop models for bringing in private and institutional, including international funding into the road sector;
(iv) develop methods of performance based maintenance systems for maintenance of the state highways by quality private contractors;
(v) raise institutional resources for undertaking the maintenance and up-gradation of these highways;
(vi) maintain and upgrade the highways as per approved plan while encouraging private partnership and resources for these purposes;
(b) regulate and control and the plying of vehicles on the highways vested in, or entrusted to, it for the proper management thereof;
(c) develop and provide constancy and construction services in the State and carry on research activities in relation to the development, maintenance and management of highways or any facilities thereat;
(d) provide such facilities and amenities for the users of the highways vested in, or entrusted to, it as are, in the opinion of the Authority, necessary for the convenience and smooth flow of traffic on such highways ;
(e) form one or more companies under the Companies Act, 1956 (Act no. 1 of 1956) to further the efficient discharge of the functions imposed on it by this Act;
(f) engage, or entrust any of its functions to, any person on such terms and conditions as may be prescribed;
(g) advise the State Government on matters relating to State highways ;
(h) collect fees on behalf of the State Government on such terms and conditions as may be specified by the State Government; and
(i) take all such steps as may be necessary or convenient for, or may be incidental to, the exercise of any power or the discharge of any function conferred or imposed on its by this Act.
(3) Nothing contained in this section shall be construed as:-
(a) authorizing the discharged by the Authority of any law for the time being in force; or
(b) authorizing any person to institute any proceeding in respect of a duty or liability to which the Authority or its officers or other employees would not otherwise be subject under this Act.