Just as with PPP projects, HAM contracts too are finding financial closure to be a challenge. Banks, especially, are wary of putting their money on developers with weak financials and lack of adequate experience. Industry insiders, however, beg to differ.
Sandeep Upadhyay - MD & CEO, Centrum Infrastructure Advisory Ltd, says that a more consultative process involving the NHAI and all stakeholders, by giving due weightage to the lenders, would result in a win-win situation for infrastructure development in India.
The company has been the biggest beneficiary of an uptick in orders in roads, due to its dual business exposure and access to Rs 14 billion of cash inflows over FY2016-18E. The company is targeting order inflow of Rs 40-50 billion in the roads segment and Rs 5-8 billion in the power segment.
The major challenge today for greenfield projects is to ensure that the project is delivered within time and budget and to the required quality. As an international project management, quantity surveying and cost management company, we bring years of experience from multiple locations around the globe to emerging economies like India.