"NHAI Grants Two TOT Bundles, Totaling ₹9,384 Crore"

In a significant move, the National Highway Authority of India (NHAI) announced recently the successful awarding of Toll, Operate and Transfer (TOT) bundles 13 and 14, covering a combined length of 273 km, with a total value of ₹9,384 crore. The financial bids for these bundles were opened on Thursday, November 14, and following swift approvals, the Letter of Award (LoA) was promptly issued to the winning bidders.

The TOT bundle 13, encompassing the Kota Bypass and Stay Bridge on NH-76 in Rajasthan, as well as the Gwalior-Jhansi section of NH-75 in Madhya Pradesh and Uttar Pradesh, has been secured by IRB Infrastructure Trust for ₹1,683 crore, according to NHAI.

Similarly, TOT bundle 14, which includes the Delhi-Meerut Expressway, along with the Delhi-Hapur section of NH-9 in Delhi and Uttar Pradesh, and the Binjabahal to Teliebani section of NH-6 in Odisha, has been awarded to Cube Highways and Infrastructure for ₹7,701 crore, NHAI confirmed.

The concession period for both TOT bundles is set at 20 years, during which the concessionaires are responsible for the maintenance and operation of the designated stretches. In return, they will collect and retain user fees in accordance with the prescribed fee rates under NH Fee Rules.

This follows NHAI's awarding of TOT bundles 11 and 12 in October 2023, covering a total length of 400 km and valued at ₹6,584 crore. These bundles included the Allahabad Bypass on NH-19 in Uttar Pradesh and the Lalitpur–Sagar-Lakhnadon section in Uttar Pradesh and Madhya Pradesh, respectively.

With the combined value of the four TOT bundles awarded in the current fiscal year reaching approximately ₹15,968 crore, NHAI has surpassed its monetization target of ₹10,000 crore, indicating a successful push towards highway infrastructure development.

The TOT model continues to play a pivotal role in encouraging private participation in the highway sector, unlocking the inherent value of the road network and contributing significantly to the growth and expansion of the national highway network in India.

HBL