Second Adityapur Toll Bridge over River Kharkali

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In October 2007, the Government of Jharkhand (GoJ) signed a 30 year concession contract (including two and a half years of construction period) to India’s IL&FS Infrastructure Development Corporation (IIDC) to widen and strengthen the 270m long four lane bridge across river Kharkai along with 2 km of total approach road on both sides with a toll plaza on Adityapur in the state of Jharkhand. Under the contract, IIDC was responsible for the design, construction, finance, operation and maintenance of the bridge cum road stretch. The upgradation project was expected to ease traffic congestion and give significant stimulus to trade and commerce in the entire region. IIDC established Adityapur Toll Bridge Company Ltd, a special purpose vehicle, to implement the project. IIDC won the tender through competitive bidding, conducted by Government of Jharkhand (GoJ) by bidding for lowest fixed subsidy of US$ 2 million. Apart from this upfront payment by GoJ, under the contract, the company was allowed to recover the capital costs and operating costs including returns through tolling during the concession period (excluding construction period). The project reached financial closure in November 2007. The total capital cost of the project was estimated at US$ 13.75 million. Construction on the project began in November 2007 and is expected to be completed by May 2010. www.projectstoday.com