NHAI SPV to grant 15 more logistic park contracts over next 3 years

30 Dec 2021 CW Team

National Highways and Logistics Management Ltd (NHLML), a special purpose vehicle of NHAI, is looking to grant 15 more deals on multimodal logistics parks in the coming three years in public-private partnership (PPP) mode.

The logistic parks will have a 50:50 funding model. Prakash Gaur, chief executive officer (CEO), NHLML, told the media that there are 35 multimodal logistics parks proposed across the nation with a capital allocation of Rs 50,000 crore. Bids have been invited for Indore, Bengaluru, Chennai and Nagpur this fiscal year. The Jogigopha logistics park in Assam has begun development.

The SPV, created under the guidance of the road ministry, plans to address typical price overruns with infrastructure projects. Cost overruns occur due to the time lag between awards of projects and their start. This logistics project is part of the Rs 7-trillion mega infrastructure project rolled out this month.

A multimodal logistics park is one part of the five-corner logistics project envisioned, with intermodal stations, wayside facilities, ropeways, and optical fibre cable infrastructure being its other elements.

Of the 600 wayside facilities proposed across 22 states, about 120, being granted in FY22, are drawing interest from medium-scale operators and developers, mostly domestic. Wayside facilities are small installed amenities involving food courts, fuel stations, washrooms, parking spaces, and first-aid services.

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Also read: MoRTH to build 35 multi-modal logistics parks under PPP model

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