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Even though the Union Cabinet has floated a note on a proposal to allow postponement of premium payment for delayed highway projects, developers are now pushing for a common parameter for identifying such projects.
Premium is the amount quoted by developers to NHAI to bag the rights to design, widen, finance, operate and transfer road projects
Road developers want the benefit extended to all premium projects. They have even written a letter to the Prime Minister in this regard on Tuesday.
PROBLEMS IN THE LIST
Picking holes in the list of 23 projects put up by the Highway Ministry and the National Highways Authority of India (NHAI), which could be allowed to postpone premium payment, the developers’ lobby — the National Highways Builders Federation — said no common parameter has been applied to the projects while preparing the list. In the list of 23 projects, two are already terminated ones, they pointed out.
PREMIUM POSTPONEMENT
The Government has been considering a proposal to permit highway developers to postpone their premium payments in a manner that the net value of these obligations are constant over the entire contract period. Road developers had won many highway projects by quoting high premium to bag the right to develop or widen highway stretches, maintain these and collect toll from users over a pre-determined period of 20-30 years. Now, they want the premium payment postponed.
SUPPLEMENTARY LIST
Incidentally, NHAI has submitted a supplementary proposal re-defining the project list. However, since the revised project list came after the Cabinet note had already been floated, the Highway Ministry wants the supplementary list approved by the NHAI Board.
Meanwhile, a top NHAI official said the project list comprised those premium projects where the appointed date was delayed.
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