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Volume 6, Issue 01, July, 2016

Published on 15th of Every Month


Posted on 21st - 22nd of Every Month at New Delhi PSO/Mail Office

Govt. targets `3.25 lakh-cr roads for fiscal

ith the government ensuring


55% of the total km to be
put up for bidding this year
will be financed by private players,
the countrys highways could soon
witness fast tracked road construction,
said official sources, adding that
on an average per km cost of road
construction is about `13 crore, the
government has targeted projects
worth `3.25 lakh crore for bidding this
year. About 40% of the 25,000 km to
be awarded in 2016-17 would be on
the hybrid annuity model and another
15% would be on Build, Operate, and
Transfer (BOT) basis. In both hybrid
annuity model and BOT, investments
are made by private developers. The
remaining 45% projects would be on
EPC basis where the government pays
for the construction of highways.
According to an industry insider,
this number would be around 40-45%
in 2016-17. Under the hybrid annuity
model, 40% of the project cost is

borne by the government and the rest


by the developer. Under the publicprivate partnership mode executed
through BOT, a road developer builds
a highway, operates it for a stipulated
amount of time and then transfers it
back to the government. This model is
implemented on an annuity or toll basis.
Of the aggregate projects awarded in
2014-15, totaling a length of 7,980 km,
EPC projects contributed a lions share
of 7,246 km. In 2015-16, the share of
EPC contracts of the total 10,098 km
award was 8,790 km. Last year, the
government had to fund 87% of the total
km awarded, while in 2014-15, the figure
was as high as 91%., sources added.

(Total Pages 04)

Registered RNI No. DELENG / 2011/ 38108


Postal Reg. No. DL (S)-01/3487/2015-17

DMRCs Phase-IV worth `50k-cr on anvil

n order to build top-class metro


network in and around the national
capital, the state government in
Delhi has recently approved the fourth
phase of the Delhi Metro extending
the citys transportation lifeline to
outer parts of the Capital and bolster
connectivity to the IGI airport, said
an official spokesperson, adding that
the construction on the fourth phase

comprising six lines will start in 2017


and is scheduled to be commissioned in
the next three years. The 104-kilometre
expanded network will cost `55,000
crore and is expected to carry 1.5 million
passengers daily. Under this phase,
six lines like Inderlok Indraprastha,
Tughlakabad Terminal 1, Lajpat Nagar
Saket G-Block, Janakpuri (west) - RK
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Railway lists `20,000-cr port-rail link projects

n an attempt to provide top-class


connectivity to ports across the
country, the ministry of Railways
will take up 21 port-rail connectivity

projects at an estimated cost of `20,000


crore under the Sagarmala project. The
move has been aimed at strengthening
evacuation network and boost last-mile
connectivity to the country's ports. In
addition, another six projects are being
considered by the Indian Port Rail
Corporation Ltd (IPRCL), said sources,
claiming that IPRCL has already
awarded three connectivity projects for
Vishakhapatnam and Chennai ports for
Continue on Page 3

Indian Infrastructure & Tenders Week

JULY 2016

Continued From Page 1


Ashram and Mukundpur-Maujpur
have been proposed. These lines are
in addition to the 140 km of Metro
network added in Phase III to decongest traffic in congested areas of
central and south parts of the city.
The sources said adding that the
DMRC originally proposed to build
a 20-km-long corridor between the
existing Aerocity and Tughlakabad
metro stations but now has extended
it to Terminal 1 station of the
airport by crisscrossing via densely
populated areas such as Sangam
Vihar, Saket, Mehrauli, Vasant Kunj,
and Mahipalpur of south Delhi. Metro
users travelling on the Violet ITOFaridabad line will have the option to
take the Metro for this corridor from
Tughlakabad while passengers on
the Yellow Gurgaon line can take
the Metro from Saket. Currently the
airport line is connected only with
Gurgaon-Jahangirpuri line at New
Delhi railway station. Once this line,
which is part of phase IV of DMRC
is completed, passengers will have
different options of going to airport.
From Aerocity, they can take the
airport line to go to Terminal 3. After
the mandatory approval, the project
will now be forwarded to the Union
government and after the formal
approval, the tendering process
will start as quickly as possible, he
added.

Govt ready to award `1 lakh-cr road projects

ccelerating the road building


process in the country, National
Highways Authority of India
(NHAI) has readied highway projects
entailing a staggering investment worth
`1 lakh crore, Chairman, Raghav
Chandra said, explaining that the overall
vision of the nodal agency is to focus on
development and according to which it
has lined up 250 projects with a length
of 30,000 km of road length and has
already commissioned more than 400
projects in the recent past. As a matter
of fact, NHAI has targeted to invest a
whopping sum worth $15-16 billion for
the current fiscal. About 97 projects with
a total length of 6,631 km are currently
ready for award.
The projects included VadodaraMumbai 6/8 lane Expressway (Phase
I), Surat- Mumbai to Mumbai-Pune
expressway and JNPT in Phase II,
Delhi-Jaipur expressway, 6-8 lane semi-

elevated Delhi-Meerut expressway,


Somnath-Porbander-Dwarka section of
NH-8E, Bihar/Jharkhand border-Barwa,
Hospet-Bellary NH-63, Tamil Nadu
Karnataka Border, Likewise, among
others, they also cover the Bengaluru
section of NH-209, Solapur-Bijapur
section of NH-13, Salasar-Nagpur
section of NH-65, Vikravandi-Thanjavur
section of NH-45C, and four-laning
Nagpur-Wardha-Nanded-SolapurRatnagiri section of NH-36. These apart,
score of road projects awaiting approval
for award and execution include
Hyderabad-Vijayawada-Amaravati
Expressway of 278 km (`2673 crore),
Nagpur-Hyderabad expressway of 505
km (`483 crore), Hyderabad-Bangalore
Expressway, Kanpur-Lucknow
Expressway, Ring Road Expressway
at Amaravati, and Delhi-Amritsar-Katra
Expressway of 600 km, he claimed.

MoRTH plans
`74,794-cr road in UP

n a joint initiative involving transport


ministry, NHAI and states PWD,
the Centre has decided to build

`74,794 crore road infrastructure in


Uttar Pradesh in the next two years,
sources and in the Ministry of Road
Transport and Highways (MoRTH), said
recently elaborating that there are 60
national highways with a total length of
8,483 km in UP of which 4,529 km are
with NHAI and 3,143 km with the state's
PWD while no objection certificate is
awaited for 10 highways commanding
a length of 811 km. Eight major projects
worth `6,218 crore with a length of 865
km have already been completed in
the state in the last two years. Thirty
one major projects are currently under
construction with a length of 2,156 km
entailing an investment of `19,436
crore, of them 24 major projects were
awarded during 2014-15 and 2015-16
while road projects with a total length
of 1,293 km costing `16,949 crore
and that 15 projects with a length of
840 km entailing investment of `6,790
crore are likely to be awarded in the
next 12 months. That apart, 1,400 km
of national highways costing `14,000
crore are currently under DPR stage,
and civil construction work is likely to
be awarded in the next two years.

Mrashtra plans `3-lakh-cr for infra projects

he Maharashtra government
is actively considering creating
a separate fund to the tune of
`3.5 lakh crore to complete a slew of
infrastructure projects in the state in
an attempt to overcome rising public
debt and allied constraints, said official
sources, claiming that the size will be
finalized by a high-level committee
headed by the additional chief secretary
(finance). The government plans to
mobilise funds from leading foreign
funds, foreign institutional investors,
global banks as well as from the multilateral agencies including World Bank,
Asian Development Bank, besides,

borrowings and seeking assistance


from Japan International Cooperation
Agency (JICA). The proceeds of the
planned fund will be utilised in key
projects, including completion of rural
railway projects worth over `25,000
crore, 415 incomplete and pending
irrigation projects of `80,000 crore, the
Mumbai-Nagpur super expressway
worth `30,000 crore and also the
transmission, distribution, and upgradation projects at a cost of `50,000
crore and state highways entailing an
investment worth `30,000 crore, they
added.

CIDCO ready to award `16,000cr airport project

ountering countless hiccups, the


City and Industrial Development
Corporation of Maharashtra
Ltd. (CIDCO), a nodal agency for
the project development, is all set to
award the much delayed Navi Mumbai
airport project as it has managed to
secure all the mandatory clearances.
The mega airport project entailing an
investment worth `16,000-crore is
expected to be commissioned by the
end of 2019. In a latest development,
the Union Ministry of Environment
and Forests (MoEF) gave the crucial

Stage-II forest and wildlife clearance,


said official sources, adding that MoEF
granted the environment clearance
for the project with 32 riders including
plantation of mangroves on 615 hectares,
rehabilitation of 3,000 families of 10
settlements from seven villages that
fall within the airport zone. The three
short-listed bidders GVK, GMR, and
a group of Tata Realty and MIA Infra are
expected to request for proposal for the
airport project by September-end and the
CIDCO expects to award the contract by
December, they added.

IndiaN Infrastructure & Tenders Week

JULY 2016

NHAI eyes `10,000cr funds from LIC

n order to achieve the ambitious


target of building 40 kms of roads
per day, the Road Transport and
Highways ministry is roping in Life
Insurance Corporation of India (LIC) to
fund its ambitious road expansion plans,
said sources, claiming that the LIC in
turn is likely to subscribe NHAI bonds
worth at least `10,000 crore and an
agreement in this regard is expected to
be signed shortly. The ministry will use
the money for four-laning of highway
projects and the initiative will go a long
way enabling the ministry to achieve
its laid down road building targets. The
finance ministry has allowed NHAI to
raise bonds worth `50,000 crore other
than `15,000 crore through tax-free
bonds. In the current financial year,

Railways unveil
`7,867-cr project
in J&K

n order to fulfill its commitment


to build top-class rail network in
the state of Jammu and Kashmir,

Indian Railways has recently rolled


out a Jammu-Punch mega rail project
involving an investment worth `7,827
crore, said an official spokesperson,

the government plans to undertake the


construction of 15,000 kms of national
highways that would cost around
`1.5 lakh crore, while the ministry has
received a budgetary allocation of
`57,000 crore. In addition, NHAI is also
planning to raise at least `7,000 crore
through masala bonds, sources added.

adding that the proposal for the


construction of the rail line via Akhnoor
and Rajouri has already been submitted
to the government of India for approval.
He further added that minister in charge
Planning Government of Jammu &
Kashmir claimed that the updating
of survey report for new railway line
between Jammu and Poonch with

Sri Lanka offers $44-bn projects to Indian firms

nown for their quality


construction practices, Indian
companies like the Tatas and
Infosys are all set to get an ambitious
15-year Megapolis urban development
project covering the entire Western
Province of Sri Lanka, entailing a
staggering investment worth $44 billion.
The projects included the rebuilding
and renovation of the capital city of
Colombo, Megapolis Minister, Patali
Champika Ranawaka, said in a media
statement, adding that officials from his
ministry will be holding road shows in
India very shortly. The Tatas are already
in the country and on this score, the
Sri Lankan government has sought the
assistance of the Government of India to
organize meetings with Indian chambers

of commerce and industry. The Minister


clarified that the Megapolis project is
different from the Chinese-funded US
$1.4 billion Colombo Port City project,
though the latter will be organically
linked with the Maritime City which is
to come up as a part of the Megapolis
project. The Maritime City will run along
the Western coast from Wellawatte to
Wattala. There would be an Aviation City
around the Colombo International airport
at Katunayake, an Industrial City in
Mirigama, an Administrative City around
Battaramulla to accommodate 130
government offices and the Defense
Heaquarters and also Central Business
District around Beira Lake and shifting
of the wholesale market at Pettah to
Paeliagoda, he claimed.

234.12 km length will cost `7227.85


crore while updating of new BG Railway

Noida speeds up
`3,000cr metro
project

n its unfailing quest to build metro


network across twin cities, the Noida
authority reportedly deferred seven

road infrastructure projects to fund


the 30-km Noida-Greater Noida metro
project entailing an investment worth
`3,000 crore and the road projects will
be executed in the next financial year.
Metro project is the most important
project for Noida and Greater Noida
because it will connect these areas
with Delhi-NCR. The 30-km NoidaGreater Noida metro link is expected to
be operational by the end of 2017 by
that time it plans to finish work on the
project, said an official spokesperson.

Line from Baramulla to Kupwara with

Continued From Page 1

38.80 km length will cost `640.57 crore.

quick evacuation of cargo and another


19 projects are in the pipeline. Many
port-rail connectivity projects have
been identified as part of National
Perspective Plan. Under the Sagarmala
programme, the ministry has also
included development of heavy haul rail
line linking Paradip port. The project will
help in transportation of thermal coal
from Mahanadi Coalfields Ltd. (MCL) to
various coastal power plants in southern
India through coastal shipping.

In fact, a preliminary engineeringcum-traffic survey for a new Jammu


to Rajouri Poonch Railway Line
had been carried out by the Northern
Railways Construction Organization
and report of the same has been
submitted to the Railway Board. The
survey of railway line from KathuaBasohli-Baderwah-Kishtwar is underway
which is expected to be completed by
year end.

CCEA steers clears `6,000-cr road projects

njecting a major booster to the


road infra across the country,
Cabinet Committee on Economic
Affairs has recently given its approval
to three major highway projects at
an investment of `6,000 crore, said
finance ministry sources, elaborating
that the government has given its
nod to the four laning of 80 kilometre
long Phagwara-Rupnagar Section of
NH-344A in Punjab at a cost of `1,444
crore under Hybrid Annuity Mode. It

has also approved four-laning of 151


kilometre Angul-Sambalpur Section
of NH-42, which is the New NH-55 in
Odisha. The project will cost around
`2,500 crore. Apart from this, four laning
of 87 kilometre Aurangabad-Telwadi
section of NH-211 in Maharashtra has
also been approved at a cost of `2,028
crore. These approvals in the road and
highway sector will help improve the
infrastructure and connectivity facilities
in these states.

MoRTH fixes 40-km per day road building targets

ddressing the Atlantic Council,


a top US think tank, Union
Minister for Road and Surface
Transportation, Nitin Gadkari said, India
has fast-tracked decision making systems
and now onward the transport ministry
has targeted to build 40 km per day
length from next year and also exuded
confidence that this is achievable. This in
turn offers a great opportunity to American
investors in Indias road infrastructure
sector. Listing the key accomplishments

of his ministry, he said land acquisition


and clearances are no longer a problem
and all the contracts are allocated through
e-tender mechanism. In his address, Gen
(rtd), James Jones said, infrastructure
development is a central part to the IndiaUS trade relationship. It may be recalled
that the minister has recently visited
the US with the objective of attracting
American investors to India's infrastructure
sector, technology transfer, and adoption
of the best practices from the US.

Indian Infrastructure & Tenders Week

JULY 2016

Decks cleared for `1050-cr road project

ecks have been cleared for the


much delayed Panvel-Indapur
project awarded to Supreme
Infrastructure and had hit a roadblock
after 53% completion has now been
considered for one-time priority funding
by National Highway Authority of India
(NHAI), claimed Head, spearheading the
BOT wing of the nodal agency, Kamlesh
Chechani, adding that NHAI has
discussed with other lenders and will

jointly move forward to do the funding.


The proposal is at an advanced stage
as it might see concrete commitment on
funding for the completed portion of the
project. Once the NHAI funding comes
through, the entire project is expected
to be completed by March 2018. The
company has also successfully worked
out funding for its other major project
for Jaipur Ring road and expects
disbursements to begin in a month time.

IFSC centre at BKC area on anvil

n regard to build a mega


International Financial Services
Centre at Bandra Kurla Complex
area in the heart of Mumbai, the
Metropolitan Region Development
Authority (MMRDA) has received
three bids from a consortium of Tata
Consulting Engineers and Town land
Consultants of Hong Kong, INI Design
Studio of Ahmedabad, and Ramboll and
Henning Larsen Architects of Denmark,
said official sources, adding that the
bidders will prepare a master plan for
the project. The IFSC project came
under controversy over the location
of originating station of the proposed
Mumbai-Ahmedabad bullet train that will

cost nearly `1 trillion, most of which will


be funded by the Japan International
Cooperation Agency. Officials from
the Railways, Maharashtra and the
MMRDA have held meetings to break
the stalemate but there is no solution. It
is expected that the consultants will sit
together and work out a solution very
shortly. The Railways has proposed to
construct an underground station for
the showpiece bullet train at the spot
in BKC, where the State has identified
50 acres for the IFSC. The State
Government, so far has been reluctant
to provide the land, having planned the
IFSC on the vacant land in the business
district located in suburbs.

France fixes Haryanas infra projects on radar

n order to make the most out


of the emerging huge business
opportunities in the state, France
is currently exploring investment
opportunities in semi hi-speed train,
management of railway stations, in
Haryana and has evinced interest in
sectors such as new and renewable
energy, food processing, water, and
waste management. In this regard,
a four-member delegation led by
Ambassador-designate of France to
India, Alexandre Ziegler, met Chief
Minister, Manohar Lal Khattar recently,
and discussed various issues of mutual
interest to explore potential areas

of partnership between France and


Haryana. Ziegler told the CM that a
special seminar of French companies
would be organised in Chandigarh
in September this year and Haryana
could also participate in the event to
which the state agreed to take part.
The delegation was informed that the
state government has laid emphasis
on ensuring ease of doing business.
Under the new Enterprises Promotion
Policy, there is a single window system
for all kind of clearances for setting up
of ventures in the state which is being
directly monitored by the Chief Minister.

Govt launches `1,500cr projects on Ganga

ast tracking an ambitious


Namami Gange programme, the
government recently launched
231 projects, including installation of
sewage treatment plants and ghat
constructions, at over 100 locations in
seven states with an estimated cost
of `1,500 crore, said the concerned
minister, Uma Bharti, while laying
the foundation stone of 43 projects
worth `250 crore. Under the Namami
Gange programme, the government
aimed at cleaning the holy river and
ensuring its unfettered flow in states
like Uttarakhand, Uttar Pradesh, Bihar,

Jharkhand, and West Bengal, besides


Delhi and Haryana, through which
Ganga's tributary Yamuna passes.
The state government in Uttarakhand
in a joint initiative with the Centre,
launched 43 such projects in Haridwar.
only. Announcing that the Centre is
contemplating a legislation called 'the
Ganga Act', for the success of Namami
Gange, Bharati said, elaborating that
industries will not just be barred from
dumping untreated waste into the holy
river, but treated water will also be
diverted for irrigation purposes.

Govt goes for `5,000-cr green highways

nder the National Green


Highways Mission that got
underway recently at an
investment worth `5000 crore, the
Union Road Transport and Highways
minister has kick-started the plantation
drive along 1,500 km of national
highways at a cost of about `300 crore.
The mission aims to provide a green
canopy along 100,000 km of highways
and generate jobs for 1 million local
youth. The government plans to spend
an estimated `5,000 crore, which is
1% of the road construction cost of `5
trillion till 2019, on the mission and link
it with the National Rural Employment

Guarantee Act (NREGA) to boost


the rural economy. The ministry has
aimed to expand the length of national
highways to 200,000 km from about 1
lakh km currently and plantation along
national highways will be taken up
very aggressively. On this score, the
government has already taken about
a dozen state governments on board
and also many PSUs have shown
a readiness to pitch in as Indian Oil
Corporation (IOC) has adopted NH31
for plantation and maintenance of
trees. Coal India Ltd has also shown a
willingness to join the green highways
project.

Haryana fixes two metro projects on radar

n order to make trouble-free


transport facilities available to the
masses in the NCR region,the
Haryana government has directed
Delhi Metro Rail Corporation (DMRC)
to conduct a feasibility study for three
routes on which it proposes to build
new metro lines. They included two
from Huda City Centre to old Gurgaon
and old Faridabad, respectively, and
another from Narela in Delhi to Kundli
in Sonipat district. The feasibility study
was ordered after a high-level meeting
in Chandigarh spearheaded by the chief
minister. The feasibility report, which is

likely to be completed by September,


will be followed by a Detailed Project
Report (DPR) before the government
finalizes the logistics, funding and
construction, said official sources,
adding that yet another proposed
Metro corridor, from Dwarka Sector
21 to Iffco Chowk, is also in the
pipeline. As a matter of fact, the state
government wants both DMRC and
Rapid Metro representatives to be
present so that both networks can
be integrated to form the best route
possible way to connect Dwarka and
Gurgaon, they claimed.

IndiaN Infrastructure & Tenders Week

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