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The National Highways Authority of India (NHAI) said on Sunday that it has awarded two Toll, Operate, and Transfer (TOT) bundles 11 and 12 of a combined length of 400 km for ₹6,584 crore.
The two bundles (11 and 12) consist of the Allahabad Bypass on National Highway (NH) 19 in Uttar Pradesh and the Lalitpur-Sagar-Lakhnadon section in Uttar Pradesh and Madhya Pradesh, respectively.
The bundles have been awarded to Cube Highways and Infrastructure and IRB Infrastructure Trust.
The first round of bids for the two bundles was called off, and the bids were re-invited. In the 2nd round, NHAI has received bids for ₹553 crore higher than the bids received in the first round, it added.
NHAI opened the financial bids on October 27, 2023, and with the approval of the concerned authorities, a Letter of Award (LoA) was issued to the successful bidder the next day of the opening of the financial bids.
NHAI Chairman Shri Santosh Kumar Yadav said, “The government has been very supportive and encouraging to achieve the national monetisation targets. I am pleased that we have raised ₹6,584 crore from these two bundles, which will greatly contribute towards the development of a world-class national highway network in the country.”
TOT Bundles
The TOT bundle 11 for the 84-km-long Allahabad Bypass on NH-19 in Uttar Pradesh has been awarded to Cube Highways and Infrastructure for ₹2,156 crore.
The TOT bundle 12 for the 316 km long Lalitpur-Sagar-Lakhnadon section that passes through the states of Uttar Pradesh and Madhya Pradesh has been awarded to the IRB Infrastructure Trust for an amount of ₹4,428 crore.
The contract period for TOT is 20 years, during which concessionaires would be required to maintain and operate the stretch. In lieu of this, concessionaires will collect and retain user fees for these stretches in accordance with the prescribed fee rates under the NH Fee Rules.
TOT Model
The TOT model has been developed to encourage private participation in the highway sector. NHAI, from time to time, has awarded contracts for the tolling, operation, and maintenance of various national highway stretches on a toll-operate-transfer (TOT) basis.
The TOT Bundle-I, consisting of nine projects totaling 681 km of national highways in the states of Andhra Pradesh and Gujarat, was awarded in 2018.
Till now, NHAI has monetised 1,614 km of projects for ₹26,366 crore (excluding ToT bundle 11 & 12) through ToT and 636 km of projects for ₹10,200 crore through InVIT.
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