Up-gradation of Two lane plus paved/hard shoulder road project from KM 24.800 of NH-75 (Gwalior - Jhansi Section) to KM 19.000 upto Ghongha village (Dabra - Sighpur road) via Biluia village in the state of Madhya Pradesh on BOT (Toll) basis under PPP mode

This is an Office Memorandum with reference number 1390533/2020/PPP, file number F. No. 3/1/2019-PPP from the Ministry of Finance, Department of Economic Affairs, Infrastructure Policy & Finance Division, PPP Cell, North Block, New Delhi, dated 09th March, 2020. It concerns the Record of Discussion of the 82nd Meeting of the Empowered Institution (EI) for the Scheme for Financial Support to PPPs in Infrastructure (Viability Gap Funding). The meeting, chaired by Additional Secretary (Investment), DEA, was held on 25th February 2020 in Room 131-A, North Block. The EI considered a proposal from Madhya Pradesh Road Development Corporation Ltd. (MPRDCL) for final approval under the Scheme for Financial Support to Public Private Partnerships in Infrastructure, regarding the Rehabilitation & Up-gradation of two lane plus paved /hard shoulder road project from km 24.800 of NH-75 (Gwalior-Jhansi section) to km 19.00 upto Ghongha village (Dabra-Singhpur road) via. Bilua village through PPP on BOT (Toll) Basis. The project details include: Length: 19.00 km; Total Project Cost (TPC): Rs. 67.38 crore (as per Concession Agreement) & Rs. 63.00 crore (as appraised and approved by Lead Financial Institution (LFI)) Concession Period: 15 years (including construction period of 2 years) VGF sought: Rs. 19.57 crore (i.e 31.06% of the TPC of Rs. 63.00 crore) The EI granted 'final approval' for VGF for the Project subject to the following conditions: As per the VGF Guidelines, the project should provide a service against payment of a pre-determined tariff or user charges as mentioned in the Article 27 & Schedule-R of the Concession Agreement. MPRDCL may ensure that this is being adhered to over the entire concession period. Prior to the disbursement, the Empowered Institution, Lead Financial Institution and the Concessionaire shall enter into an Tripartite Agreement. VGF shall be utilized for payment of outstanding term loan and not equity of the project. MPRDCL to provide details of the TPC actually expended by the Concessionaire on the project. MPRDCL to provide Independent Engineer's certificate confirming quality and conformity of the deliverables as per the CA. The punch list w.r.t balance work remaining on the project (as on date) is to be provided. The Director (PPP) is Mukesh Kumar Gupta. The document is addressed to the CEO of NITI Aayog, the Additional Secretary of the Department of Expenditure (Ministry of Finance), the Joint Secretary of M/o Road Transport & Highways (MoRTH), and the MD of Madhya Pradesh Road Development Corporation Ltd. (MPRDCL), Bhopal. Copies are sent to PPS to Additional Secretary (Investment), DEA and PPS to Adviser (IER). The list of participants is also provided.

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