NHAI offers sops for builders in BOT road projects
In a bid to attract private investors and builders to take up road projects under Build-Operate-Transfer (BOT), NHAI has announced steps that includ a policy of one-time fund infusion to complete the projects, policy of deferment of premium for financially stressed projects, and provision of harmonious substitution for Special Purpose Vehicle (SPV) in consultation with lenders and concessionaire with certain riders. Apart from this, the Hybrid Annuity Model (HAM) has been introduced where part of the construction cost is funded by NHAI and post construction, the returns of the investor is assured through annuities paid by the authority. NHAI is also trying to revive private investments in the highway projects by amending the Model Concession Agreement for BOT, said Union Minister for Road Transport and Highways, Nitin Gadkari in an official statement.
📅Published on:
18 March 2020
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