A sigh of Covid relief: Toll and HAM projects may benefit

In FY2021, the Government of India announced various liquidity measures under ‘Atmanirbhar Bharat’ financial package. Soon after, Ministry of Road Transport and Highways (MoRTH) and National Highways Authority of India (NHAI, rated CARE AAA and Stable) followed the suit by announcing slew of measures for the road sector in a bid to boost liquidity for roads  developers against the backdrop of Covid 19 pandemic and resurrect investor confidence. These measures have been extended on a time-to-time basis by NHAI. On 1 July 2021, NHAI proposed to MoRTH to continue the benefits till 30 September 2021 in addition to grant of extension of time (EoT) under Covid-II. 

In CARE Ratings’ view, if the proposal is accepted, the likely extension of relief measures shall augur well for the road  developers of under-construction Hybrid Annuity Model (HAM) projects primarily in terms of EoT for completion and additional time for achieving financial closure. Presently, the road developers or sponsors are entitled to these benefits under the Atmanirbhar Bharat package announced in FY2021. The proposed grant of extension of concession period for  operational toll road projects is in alignment with the existing provisions of Concession Agreement. On an overall basis, in CARE Ratings’ opinion such extension in concession period for toll projects shall be limited to about 20 days. 

97 Per Cent Of Rongjeng-Mangsang-Adokgre Road Nears Completion

Deputy Chief Minister in-charge of public works Prestone Tynsong said in Shillong on 26 August that 97 per cent physical progress had been achieved on the ongoing Rongjeng-Mangsang-Adokgre road being constructed under the Non-Lapsable Central Pool of Resources (NLCPR). He noted the project was sanctioned in 2017 and that the stipulated time for completion had been 24 months from issue of the final work order. The deputy chief minister informed the assembly that the government had decided to include the remaining work under a World Bank project. In reply to a query from Rongjeng MLA Jim M Sangm..

First TBM Starts Digging Five Point Three Kilometre Tunnel Under SGNP

The Goregaon-Mulund Link Road (GMLR) Phase three (B) project has reached a key milestone as the first tunnel boring machine (TBM) began excavation of the first of two tunnels beneath the Sanjay Gandhi National Park (SGNP). The machine, named Tulsi, started cutting a five point three kilometre bore that will link Dadasaheb Phalke Chitranagari in Goregaon East with Amar Nagar in Mulund West. Officials issued a statement noting the commencement of tunnelling work under the protected green belt. The twin tunnels are being constructed using mechanised tunnelling methods that aim to limit surface di..

UP Approves Two Expressways And Rs 240 bn Infrastructure Push

The Uttar Pradesh Cabinet approved a series of infrastructure and industrial investment proposals totalling Rs 240 billion (Rs 240 bn), including two major expressway projects, a manufacturing and logistics cluster in Sultanpur and incentives for 11 industrial projects across the state. The decisions, taken at a meeting chaired by Chief Minister Yogi Adityanath, underline the state government’s focus on expanding road connectivity around emerging industrial hubs while attracting manufacturing investment to districts beyond major urban centres. The approvals cover both greenfield expressway c..