NHAI seeks bids for third round of ‘toll-operate-transfer’ highways
The National Highways Authority of India (NHAI) has sought bids for a new bundle of highway projects on the Toll-Operate-Transfer (ToT) model as India’s highway development agency press ahead with an aggressive asset monetization plan to fund road projects.
The third bundle of ToT involves 566 km of highways spread across Uttar Pradesh, Tamil Nadu and Bihar for which NHAI has set a reserve price of ₹4,994 crore. Potential investors have time until September 30 to offer price quotations. The reserve pice for the third bundle is lower then the first round where the projects offered had a higher toll revenue.
NHAI is looking to raise ₹84,800 crore by offering 6,165 km of highways under ToT by 2024, each involving a ticket price of about $1 billion with a 30-year concession period.
