SREI Infra-ECI consortium may bag Rs 1,985-crore Arunachal highway project

Mamuni Das New Delhi | Updated on March 12, 2018


A consortium of SREI Infrastructure and ECI Engineering and Construction Company is likely to bag the strategically important Rs 1,985 crore highway project in Arunachal Pradesh.

The project involves widening a 407 km stretch to a two-lane national highway along with improvement and re-alignment from Potin to Pangin, via Yachuli, Ziro Daporizo and Aalong.

This stretch is part of the Trans Arunachal Highway project proposed by the Prime Minister and runs across the State. “It would facilitate the security agencies to combat anti-national activities and threats in border areas,” said a top official. This stretch will also improve the internal connectivity of eastern districts of Arunachal Pradesh such as Ziro, Daporizo, Aalong with Itanagar.


The Highways Ministry had packaged this project in different manner from the usual annuity projects, in order to attract credible developers in the North-Eastern region. The consortium will design, build and operate (maintain) the highway stretch. It will receive around Rs 1,253 crore, or 80 per cent of the civil cost of construction during the four-and-half year construction period. After the construction, it will receive Rs 48.96 crore twice a year from the Government for 12 and half years for maintaining and operating the stretch.

“The SREI-ECI consortium has sought the lowest semi-annual annuity payment of Rs 48.96 crore from the Government over a 12 and half-year concession period. The consortium will also get a construction period of four-and-half years,” confirmed two sources in the know declining to be quoted. Around seven consortia had submitted their bids for the project.


Recently, the Ministry had also opened bids for another part of the Trans-Arunachal Highway. The project involved widening 311 km long Nechipu-Hoj stretch, at an estimated cost of Rs 1,486 crore. The IVRCL-Sushee consortium has demanded the lowest level of semi-annuity of Rs 39 crore. The developer will build, operate and maintain the highway for 12-and-a-half years. About 12 bidders had submitted financial bids for this project.

Widening of Nechipu to Hoj stretch will improve the internal connectivity of western districts of Arunachal Pradesh with Itanagar, namely Seepa, Bomdila; apart from facilitating security agencies to combat anti-national activities and threats in border areas. “The winning bidders will get letters for the project after requisite clarifications by the Ministry,” said a source.


Published on March 21, 2011

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