Thrissur Edapalli Project on NH-47

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In March 2007, National Highways Authority of India (NHAI) signed a 20 year concession agreement (including construction period) with Guruvayoor Infrastructure Private Limited (GIPL) to strengthen and widen the 40 km section on National Highway 47 (NH-47) between Thrissur and Edapalli, in the state of Kerala. Under the contract GIPL was responsible for the design, construction, finance, operation and maintenance and widening of the existing two-lane highway to a four-lane highway with paved shoulders. The expansion project, part of National Highway Development Project - Phase II, was expected to ease traffic congestion and give significant stimulus to trade and commerce in the entire region. GIPL, a special purpose company established to implement this project, was a joint venture between KMC Constructions Ltd (51%) and SREI Infrastructure Finance Limited (49%). GIPL won the project through international competitive bidding, conducted by NHAI, by offering the lowest subsidy request – an upfront payment (negative subsidy) of US$ 21.1 million to NHAI. Under the contract, GIPL was to recover the capital costs and operating costs including returns through tolls during the concession period (excluding construction period). The concession agreement for the project was signed in March 2007. The total capital cost of the project was estimated at US$ 99.23 million, including the upfront payment of US$ 21.1 million to the NHAI. Construction on the project began in March 2007. www.projectstoday.com www.pppinindia.com www.nhai.org www.infrastructure.gov.in