Post on 14-Dec-2015
MPRDC
11
Operation, Maintenance & Tolling
in Road Sector:
Potential, Progress & Way Forward
Perspective of Madhya Pradesh
Vivek Aggarwal
MD MPRDC
Connecting People Through Quality Infrastructure
Road Network of Madhya Pradesh
MPRDC
22
67700.00
Total
MPRRDAMPRDCPWDTotal
Length ( in Km)
Category
67700.00
Total
MPRRDAMPRDCPWDTotal
Length ( in Km)
Category
67700.00
Total
MPRRDAMPRDCPWDTotal
Length ( in Km)
Category
-1442.81- 4709National
Highways
-10966-10966State
Highways
-22571731719574Major
District Roads
67700 (PMGSY)
-2408991789Village Roads
67700.00
14400.31
41671.50
127038Total
MPRRDAMPRDCPWDTotal
Length ( in Km)
Category
67700.00
1442.81- 4709
10966-10966
19574
-2408991789
14400.31
41671.50
127038
1442.81- 4709
10966-10966
19574
-2408991789
14400.31
41671.50
127038
1442.81- 4709
10966-10966
19574
-2408991789
14400.31
41671.50
127038
1442.81- 4709
10966-10966
19574
-2408991789
14665.81
41406127038Total
MPRRDAMPRDCPWDTotal
Length ( in Km)
Category MPRRDAMPRDCPWD MPRRDAMPRDCTotal
Length ( in Km)
PWD MPRRDAMPRDC
-National
Highways
-State
Highways
-Major
District Roads
67700 (PMGSY)
Village Roads
-National
Highways
-State
Highways
-Major
District Roads
67700 (PMGSY)
Village Roads
-National
Highways
-State
Highways
-Major
District Roads
67700 (PMGSY)
Village Roads
-National
Highways
-State
Highways
-Major
District Roads
67700 (PMGSY)
Village Roads
Total Length ( in Km)
PWD MPRRDAMPRDCCategoryTotal
Length ( in Km)
PWDCategoryTotal
Length ( in Km)
MPRDCPWDCategoryTotal
Length ( in Km)
MPRRDAMPRDCPWDCategoryTotal
Length ( in Km)
CategoryTotal
Length ( in Km)
PWDCategoryTotal
Length ( in Km)
MPRDCPWDCategoryTotal
Length ( in Km)
MPRRDAMPRDCPWDCategoryTotal
Length ( in Km)
CategoryTotal
Length ( in Km)
17317 2257225717317 225722571731717317
MPRDC
33
Incorporated as wholly owned State Govt. Company under Companies Act 1956, in July 2004.
‘Highway Authority’ for State Highway.
Upgrades, Constructs and Strengthens the total length of State Highways.
Develops projects in the State on Public Private Partnership basis.
The Hon’ble Chief Minister of Madhya Pradesh is the chairman, Hon’ble Minister of Public Works Department & the Chief Secretary are the Vice Chairmen, the Principal Secretaries of the Finance dept., Forest Dept., Urban Administration & development and Mining Dept. are the members of the Board.
MD, MPRDC is also one of the director.
Madhya Pradesh Road Development Corporation
MPRDC
44
Invite private investment by providing grant / premium to / by the concessionaire on competitive bidding
Our Projects
Our Projects
MPRDC
55
Category/Model Cost (Crores)
Ongoing
BOT (Toll) 16053
BOT (Toll + Annuity) 3260
BOT (Annuity) 4578
ADB 4159
Regular Contract 1689
ROB/RUB 1645
Border Checkpost 1094
OMT 45
Building Works 165
Projects in Pipeline
ADB Loan IV 3000
4 Lanning Of 3 State Highways
on BOT (Toll)4500
Grand Total 40188
Our Projects: Cost Share in Crores of Rupees
MPRDC
66
ADB, 7159
RC, 1689
BOT(Toll), 20553
BOT(Toll And Annuity), 3620
Others, 2949
BOT(Annuity), 4578
BOT Models
MPRDC
77
3. BOT (Toll + Annuity) Model
4 BOT (Annuity) Model
5. Deemed Shadow Fee Model
1. OMT Model
2 BOT (Toll) Model
• MPRDC has envisaged to take up roads on OMT (Operate
Maintain & Transfer) mode under Public Private
partnership.
• Above roads are developed by MPRDC through ADB
funding/Budgetary Support of the State Government.
• 15 such roads are identified by MPRDC amongst which 3
roads are awarded on Premium & 1 is under tender
stage.
• Concession Period – Project specific, normally 9-12
years
• Concessionaire to undertake management, operation &
maintenance of Highways
• Augmentation of facility to be done
MPRDC
88
• Construction, monitoring and inspection by
Independent Engineer.
• Remuneration, cost & expenses of Independent
Engineer to be paid by the Concessionaire in four
six monthly installments.
• Concessionaire to pay Concession Fee to the
Authority.
• Concession Fee is the bidding parameter.
• This fee to increase by 10% per year as compared
to the immediately proceeding year.
MPRDC
99
• Concessionaire can seek O&M support also.
• User Fee - pre-decided, increase on the basis of WPI
• Toll on only commercial vehicles.
• Passenger vehicles are exempted from toll.
• Escrow mechanism for fund flow.
• Capital cost for road improvement along with
maintenance of roads.
• Cost to be incurred on Land Acquisition & Utility
Shifting will be borne from State Highway Fund.
MPRDC
1010
• Conditions Precedent to be satisfied by the Concessionaire
within 45 days from the date of Concession Agreement and
prior to COD:
Submission of Performance Security.
Execution of Escrow Agreement.
Legal opinion of the Legal Counsel on the concession.
• Procurement of Right of Way to the Site within 30 days
notice given by the
Concessionaire upon providing
Performance Security.
• COD within 45 days from the date of Concession
Agreement.
• In case of delay, damages @ 0.2% of Performance
Security for each day.
MPRDC
1111
• Provision for Change of Scope.
• Force Majeure
Act or event which
i. is beyond the reasonable control of the affected party.
ii. Affected Party is unable to prevent by exercising due
diligence & Good Industry Practice.
iii. has Material Adverse Effect on the Affected Party.
Types of Force Majeure:
i. Non-Political Event
ii. Indirect Political Event
iii. Political Event
MPRDC
1212
Effects of Force Majeure on Concession
Prior to COD-
period for achieving COD shall be extended by a
period equal to the duration of Force Majeure event.
After COD:
• Concession Period shall be extended in
proportion to the loss of fee on a daily basis, if
daily toll collection is less than 90%
of average daily fee.
• Loss of 25% in collection of fee as compared to
Average Daily Fee for 4 days entitles the
Concessionaire to extension of 1 day in the
Concession Period.
MPRDC
1313
MPRDC
1414
Initiatives of MPRDC - BOT(OMT)MODEL
TYPES OF FORCE
MAJEURE
ACTS ALLOCATION OF COST AFTER COD
TERMINATION PAYMENT
Non-Political Event
Act of God, epidemic, adverse weather conditions, earthquake, landslide, cyclone, flood, strikes, boycotts etc.
Party shall bear their respective Force Majeure Cost & neither party shall require to pay to the other party any cost.
50% of debt due less insurance cover payable to the concessionaire
Indirect Political Event
Act of war, industry or state wide strike, civil commotion, political agitation
Force Majeure cost shall be reimbursed by MPRDC to the concessionaire.
Amount equalto the debt due Payable to the Concessionaire
Political Event
Change in Law, unlawful revocation of any clearance, license, permit, authorization, NOC, consent, approval of exemption required by the concessionaire.
Force Majeure cost shall be reimbursed by MPRDC to the concessionaire.
Amount equalto the debt due payable to the Concessionaire
NOTE: - Upon Occurrence of Force Majeure prior to COD, the parties shall bear their respective cost & no Party shall pay to other party any cost.
MPRDC
1515
Initiatives of MPRDC - BOT(OMT)MODEL
Termination & Termination Payment
Termination Termination Payment
Termination for Concessionaire Default
During Construction Period:Amount equal to 50% of debt due.
Termination for Authority Default
i. Debt Dueii. Product of Average
Daily Fee multiplied by 60.
Projects identified for OMTS. No. Name of Road SH. No.
Length(in Kms.)
1 Bhopal-Vidisha Road SH-18 36.15
2 Vidisha-Kurwai Road SH-19 74.6
3 Sagar-Rehli Road SH-15 42.2
4 Tikamgarh- Orchha Road SH-11A 78.4
5 Jabalpur-Amarkantak Road SH-22 221.8
6 Mandla- Kanha Road SH-38 59
7 Khargone- Barwani Road SH-26 85.2
8 Barwah- Damnod Road SH-38 60
9 Badnawar- Thandla Road SH- 18 78.8
10 Pachor- Shujalpur- Ashta- Kannod Road SH-41 & 51 127.4
11 Budhi-Rehti-Nasrullaganj-Khategaon SH- 22 87.40
12 Bela- Govindpur- Churhat Road SH-18 56.6
13 Nagod- Jasso- Sahela-Mohindra- Amarganj Road SH-52 104.7
14 Porsa- Mohgaon- Seondha Road SH-19 77.4
15 Lukwasa-Ishagarh- Chanderi Road SH-10 73.4
Total 1263.05
MPRDC
1616
S.NO
NAME OF ROAD S.H. NO.
LENGTH (in KM)
CAPITAL COST
(in CRORES)
NAME OF CONCESSIONAIRE
PREMIUM (Per Year)
1 Badwah-Dhamnod
38 60 18.49 Agroh Infra 2.07 Cr.
2 Badnawar-Thandla
18 78.8 8.68 Eagle Infra 0.35 Cr.
3 Budhni-Rehti-Nasrullaganj-Khategaon
22 87.40 5.50 Madhav Infracon 2.52 Cr.
226.2 32.67 4.94
OMT Projects
1717
MPRDC
S.NO NAME OF ROAD S.H. NO.
LENGTH (in KM)
CAPITAL COST (in CRORES)
1 Bela-Govindhgarh-Churhat Road
18 56.60 12.20
OMT Project Under Tender Stage
1818
MPRDC
Our Strengths• Concessionaire’s faith in MPRDC due to transparency in
bidding process.
• Lender’s faith in MPRDC ensuring Financial Closure of
BOT Projects.
• Most of the projects of MPRDC have achieved Financial
Closure in spite of nationwide scenario of
Infrastructure sector wherein Financial Closures have
become difficult.
• MPRDC facilitates Concessionaires to achieve
FinancialClosure.
• Deployment of Supervision and Quality Control
Consultants with international expertise.
• Deployment of capable construction agencies with
introduction of advance machineries and
equipments.
MPRDC
1919
Our Strengths
• Adequate Budget provision for Annuity &VGF
payments by the State Government.
• Annuity payment along with bonus on due date.
• Outsourcing of Expertise.
• Consultants are appointed for Feasibility Report/DPR
and Supervision of Construction.
• Experts like Legal Advisor, Chartered Accountant,
Company Secretary, Environment expert, MIS expert,
Road Data System Engineer are engaged in house.
• In-house financial analysis.
• Planning is done well in advance at the head office
level.
• Fast decision making.
MPRDC
2020
Our Strengths
• Political commitment & support.
• Concessionaires are treated as partner.
• Bills are cleared in 2 to 4 working days.
• All Stake holders are facilitated.
• Land Acquisition and Environmental Clearances are
planned and executed well in advance.
• Chief General Manager at Head Office & Divisional
Manager coordinate with District Administration.
• NOC of State Forest Department, permissions for
utility shifting, tree cutting permission etc are
procured before Appointed date.
MPRDC
2121
State Highway Fund
MPRDC
2222
GoMP has enacted the Madhya Pradesh Rajmarg Nidhi Adhiniyam 2012 to provide for the establishment of a Fund for investments in the highways & infrastructure projects of the State.
Corpus of the Fund is 125 Crores (approx).
Executive Committee under the Chairmanship of Chief Secretary to administer the fund.
Sources of Fund Application of FundAll payments of Premium For Maintenance and
Repair of Highways
Proceeds towards encashment of
Performance Security or Bid Security
For Meeting any Development Cost of
Highway or Infrastructure Project
All returns on investments made
out of the Fund
For Project Preparation, Pre Tender Activities, Cost towards Utility
Shifting, Land Acquisition
Accident Response System
• Implementation of ARS system on PPP mode is probably a first in the world.
• State wide implementation of ARS will be first in country.
• ARS to address safety requirements in the larger perspective.
• Technical Assistance through ADB for capacity building in road safety.
• Accident Response System & Traffic Management Centre in Madhya Pradesh including operation & maintenance for 5 years with estimated cost of Rs.12.50 crores has been proposed.
• A Road Safety Cell is created in MPRDC.
• MPRDC has engaged an agency for ARS on Annuity basis.
• ARS includes centralized call centre, GIS based automatic vehicle tracking system (AVTS), Computer aided dispatch system, Traffic Management Centre.
MPRDC
2323
MPRDC
2424
A country has to pay for its roads. Whether it has them or not, it pays more for those it does not have.
So Lets Have them…..
Connecting People Through Quality Infrastructure