Chattisgarh / Maharashtra Border - Wainganga Bridge NH - 6

active

In December 2006, National Highway Authority of India (NHAI) signed a 20 year concession agreement (includes a construction period of 30 months) to a consortium of India’s Ashoka Buildcon Limited and Infrastructure Development Finance Corporation (IDFC) to strengthen and widen the 80 km section on National Highway 6 (NH6) between Raipur (in the state of Chattisgarh) and Nagpur (in the state of Maharashtra). Under the contract, the consortium was responsible for the design, expansion, finance, operation and maintenance of the existing two-lane highway to a four-lane highway with paved shoulders. The expansion project, part of National Highway Development Project - Phase IIIA, was expected to ease traffic congestion and give significant stimulus to trade and commerce in the entire region. The consortium established Ashoka Highways (Bhandara) Limited (AHBL), a special purpose vehicle, to implement the project. The consortium won the competitive tender, conducted by NHAI, by requesting the lowest grant of US$ 2.5 million. Apart from this upfront payment by NHAI, under the contract, AHBL was to recover the capital costs and operating costs including returns through tolls during the concession period (excluding the construction period). The concession agreement for the project was signed in December 2006. The total capital cost of the project was estimated at US$ 106 million. Construction on the project was scheduled to begin in June 2006 and was expected to be completed by December 2008. None None