The National Highways Authority of India (NHAI) is likely to re-invite bids
for seven road projects valued at Rs 9,000 crore in Bihar under risk free model
with the Union Government guarantee as the projects did not gather any response
from the bidders.
In order to make the projects attractive for the bidders, NHAI is
restructuring these projects by converting them from build operate transfer (BOT)
toll pattern to BOT annuity. In a BOT annuity model, the government provides a
pre-determined cost of return on investments every year to the private player,
while in BOT toll model, the private player has to depend on future toll
collections.
The proposed projects to be offered include Rs 831 crore
Mokama-Munger stretch, Rs 1,374 crore
Khagaria-Purnea stretch, Rs 1,797 crore
Patna-Buxar road, Rs 1,663 crore
Khagaria-Bakhtiarpur project and Rs 1,013 crore
Sonbarsha-Muzaffarpur project.
Also See:
NHAI to call
for fresh bids for 38 projects (15-Apr-09)