PPP In Highways

The Finance Ministry on Friday organised a two-day workshop to sensitise project sponsoring authorities (PSAs) of the roads and highways sector on how to structure PPP projects using a web-based toolkit. The workshop organised by the Infrastructure Finance Secretariat (IFS) in the Department of Economic Affairs (DEA) was attended by more than 70 representatives of Centre and state/UT governments, the finance ministry said in a statement. Recognising the challenges inherent in PPP projects, IFS has developed the PPP Structuring Toolkits, offering web-based tools to assist project sponsoring authorities in evaluating project viability for PPP mode. The workshop, which is the first in a series of workshops for dissemination of the toolkits, was inaugurated by Economic Affairs Secretary Ajay Seth. He highlighted the importance of infrastructure and the need to create a shelf of viable infrastructure projects to take India on a higher growth trajectory. Seth further emphasised that PSA

According to officials, the state government will provide at least 10 acres on a 30-year lease at a concessional rate of 50 per cent

The minister recently announced that the NHAI InvIT will soon be open to retail investors, and will assure them a minimum return of 7-8 per cent.

The minister says as many as 80% projects can be done on PPP mode. Currently, half the national highway projects awarded by his ministry are on this basis

Introduction of hybrid annuity model in 2016, as a variation of PPPs, does the trick, rebalancing certain project risks between public and private sectors