Relief expected to road infra majors in paying premiums

09 Apr 2013 Editorial Team

The Union government may allow road construction companies, which have taken up highway projects, to restructure the payment of premium amount to be paid to it (the government). Hence infrastructure majors, including L&T, IRB, GVK and GMR, can expect relief in executing highway projects, which they have bagged by quoting high premium - upfront revenue to the government - a year ago.

The Union Highways Ministry would put forth a proposal before the Cabinet soon that would allow the companies to restructure the payment of premium amount. The Ministry is likely to push the proposal after the National Highway Authority of India (NHAI) board has cited that big-ticket projects are not taking off due to changed market condition, where private developers are facing difficulty to raise equity.

If the proposal gets the government's nod, at least a dozen projects would benefit. All these projects were bagged by developers quoting over Rs 30 crore annual premiums. Recently, the NHAI board had considered the case of GMR to restructure the annual premium payment of Rs 636 crore to make the execution of Kishangarh-Udaipur-Ahmedabad project viable.

"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

Real Estate

07 Jul 2026

SNN Estates Expands North Bengaluru Housing Project

SNN Estates has announced an expansion of its SNN Estates Felicity residential project in North Bengaluru following strong buyer demand, with 75 per cent of the first-phase inventory sold within three days of launch.The developer will add 76 apartments in the new phase, taking the project's estimated revenue potential to around Rs 1,000 crore upon completion of Phase 2.Spread across 6.5 acres in Rachenahalli, near Manyata Tech Park, the project comprises 604 apartments in 1.5, 2, 2.5, 3 and 4 BHK configurations. The development includes a 50,000-sq-ft clubhouse with amenities such as sports co..

Infrastructure Urban

07 Jul 2026

SCG Drives ASEAN Industrial Transformation Strategy

SCG is strengthening its focus on ASEAN as a key growth region by advancing industrial transformation, enhancing competitiveness and building resilient regional value chains. Thammasak Sethaudom, President and Chief Executive Officer, SCG, highlighted the need for industries to continuously develop capabilities, strengthen resilience and deepen regional cooperation to achieve sustainable long-term growth.SCG views ASEAN as an important growth engine alongside China, supported by favourable demographics, trade connectivity and investment flows. With ASEAN’s GDP projected to grow by around 4.7..

Products

07 Jul 2026

EUROBOND Expands NABL Accreditation to 51 Testing Parameters

EUROBOND, the flagship brand of Euro Panel Products, has expanded the National Accreditation Board for Testing and Calibration Laboratories (NABL) accreditation of its in-house laboratory from 16 to 51 mechanical and chemical testing parameters, making it the only Indian aluminium composite panel (ACP) manufacturer with accreditation covering such an extensive testing scope.The expanded accreditation enables the company to independently test coils, coatings, cores, aluminium composite panels (ACP) and metal composite panels (MCP) in accordance with international standards, including IS, ASTM, ..