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NHAI to auction 300 km of road assets

The road assets are likely to be valued at Rs 6000-7000 crore and NHAI will be auctioning them under Operation, Maintenance and Transfer (TOT) Model. The road assets include Kota Bypass (NH76) and 81-km long Gwalior-Jhansi (NH75) ; and 60-km long Delhi-Meerut Expressway.

National Highway Authority of India (NHAI), which has been aggressively monetizing its road assets, has come out with 300-km road stretch to be auctioned under the Tolling, Operation, Maintenance and Transfer (TOT) Model.

Roads under ToT 13 & 14 include 28-km long Kota Bypass (NH76) and 81-km long Gwalior-Jhansi (NH75) under ToT13; and 60-km long Delhi-Meerut Expressway (NH-334 DME), 51-km long Delhi-Hapur section (NH-24 & part of DME) and 79-km long Binjabahal-Teleibani road (NH6). Bids are expected by September.

ToT 13 & 14 bundles are likely to be valued at ₹6000-7000 crore, said people aware of the development. Mail sent to NHAI did not elicit any responses.

Kota Bypass has an annual collection of ₹48 crore while Gwalior-Jhansi stretch earns Rs96 crore annually. Delhi-Meerut Expressway, Delhi-Hapur section and Binjabahal-Teleibani road have collections of ₹137 crore, ₹258 crore and ₹79 crore respectively. Out of the 6-lakh crore National Monetization Pipeline (NMP) of FY2022-25, about ₹60 lakh crore from monetization of road assets has been estimated. NHAI has been mandated to raise ₹43,979 crore from asset monetization during FY24.

The monetization of ToT 11 & 12 bundles is already under process and NHAI is evaluating the bids. Bids for the 361-km long Lalitpur-Lakhnadon stretch of NH26 in Madhya Pradesh and 82-km long Allahabad Bypass asset were submitted in June.

A clutch of global investors including Canadian fund CDPQ, KKR, Cube Highways and domestic road operator IRB Infrastructure Developers are interested in acquiring 361-km long highway assets under ToT 12 auction by The National Highway Authority of India (NHAI), ET reported last month.

Till date, NHAI has awarded six TOT Bundles (TOT-1, 3, 5A1, 5A2, 7 & 9) and raised Rs. 26,366 crore from bids invited for 11 TOT bundles. TOT bundle 2,4,6,8 & 10 were annulled due to bids being lower than the initial estimated concession value (IECV or Reserve Price) determined by NHAI.


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