Australia-based Macquarie has successfully made a payment of Rs 9,681.50 crore to the government and all set to function nine highway stretches in its Toll Operate and Transfer (TOT) policy.
Recently, National Highways Authority of India (NHAI) had started India’s first TOT model with an aim to monetize NHs by granting toll collection operations to various private parties for 30 years. Just few months back, first package of nine highway stretches measuring approx. 680 kilometre in Gujarat and Andhra Pradesh was auctioned. Macquarie was amongst the four auction-goers to earn the first bundle of the TOT contract of NHAI.
The second bundle of over 586 kms, is also about to put for auction, and will stretch across four different states starting from Gujrat, Rajasthan, Bihar and West Bengal. The offer has 12 toll plazas across four highways.
On 29th August 2018, Macquarie Infrastructure and Real Assets (India) Pvt Ltd’s Senior MD Suresh Goyal presented the cheque to Nitin Gadkari, Union highways minister, at a roadshow organized by the NHAI. On this occasion, Gadkari said that very soon the second bundle of TOT will be offered and in next few months expect to see several more bundles. Moreover, he also urged private investors to bid for these bundles, as these TOT is a risk-free model. He further added, “India is looking forward to have more foreign investment for its infrastructure sector and having said that our department has introduced this TOT model. As we are all set to hand over the first bundle under TOT, we are confident that this new step will encourage more such awards in coming days. Apart from this, the money we are going to receive will further be invested to lift infrastructure in the country.”
Nitin Gadkari also invited investors to come forward with more new investment models for the infrastructure sector. NHAI has already identified 75 NH another stretches through the country and also set to award fresh contracts to a third party under the TOT model.