NHAI to award projects worth Rs.5600 Crore

The National Highways Authority of India (NHAI) plans to award projects worth Rs 5600 crore this year, Satish Chandra, Director, Finance, NHAI told CNBC-TV18.

The NHAI has awarded three Build Operate Transfer (BOT) projects so far. He expects the expenditure for FY16 at Rs 50,000 crore. The broader goal is to build 20,000 kilometres of road over the next couple of years he said.

There is no projects are awarded unless 90 percent of the land clearance is secured. Chandra said hybrid annuity projects will be awarded November onwards. In the hybrid annuity model, the government provides 40 per cent of the project cost to the developer to start work, and the developer puts in the rest.

Source: Moneycontrol