The National Highways Authority of India (NHAI) is planning to utilise Rs 1,352 crore capital received as upfront payment from private players while bidding for projects on lucrative stretches of national highways for other road development work.
"NHAI has received Rs 1,352 crore as negative grant (upfront payments by bidders) till date under various highways projects. A proposal has been sent to the Inter Ministerial Group (IMG) and as soon as it finalises modalities the NHAI will start using the funds," official sources said.
Earlier, the Committee on Infrastructure (CoI), headed by Prime Minister Manmohan Singh had agreed that the negative grant from BOT (Build-Operate-Transfer) projects should be ploughed back for development of highways, sources said.
Negative Grant is an upfront payment made by the private players to the NHAI/government for getting concession rights on project corridors.
Sources in the Planning Commission, said IMG had asked NHAI and the Department of Road Transport and Highways to bring up revised proposal to it after considering the proposal on April 1, 2009.
"It was also decided to undertake inter ministerial consultations to specify terms thereof," CoI is understood to have said while reviewing the progress made by NHAI recently.