NHAI eyes Rs 54-billion funding through toll-operate-transfer model

National Highways Authority of India (NHAI) is eyeing to generate Rs 54 billion funding in an auction of the second tranche of eight completed projects.

In this connection, the MoRTH has invited bids from private companies to hand over eight projects of NHAI under the toll-operate-transfer (TOT) mechanism model.
The first, under which the government auctioned nine roads covering 681 km, fetched the government Rs 95 billion, 1.5 times the base price. The ministry has so far identified 75
highways for monetization under the second round of the scheme.

Of the eight projects on offer in this round, two are in Rajasthan, one in Gujarat, one shared between Rajasthan and Gujarat, one in Bihar and three in West Bengal. The nine-road
bundle in the first round has been handed over to a consortium of Macquarie-Ashoka Buildcon-Yes Bank. Macquarie has invested Rs 42 billion as equity in the project.

According to a NHAI statement, the investment by the Australian bank has come through its Macquarie Asia Infrastructure Fund II, worth $3.3 billion that invests in roads, airports
and other infrastructure projects.

Image credit: indianexpress.com

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