There are mainly three reasons. First and the most immediate one is government departments are not paying in time. For instance, NHAI dues are aggregating upwards of Rs 25,000 crore. Some are disputed and others are not. If you ask NHAI they will deny any payments are due, but that is not the [right] answer. The government will need to be practical, in that somebody has done the work and money has been spent.
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Importance of PPP for Indian Railways
With the Indian Economy still being in growth trajectory, the country faces acute gridlock in its rail transport. The massive upgradation and expansion of railways is not only critical input needed to stay at the desired growth but the act of massive investment in railways itself will be a propellant for further uplifting the inclusive growth of the economy, writes Mohit Sinha.
Cost escalation ruins infra firms' hope
The rising finance cost has eaten into the profit margins of major infrastructure firms in the first half of the current fiscal year. Infrastructure companies have witnessed a sharp increase in their finance cost during April-September 2012. An analysis of the financial statements of 16 infrastructure firms shows financial cost going up because of huge debt, tight monetary policy and high risk perception.
Restructuring must be done only when viability is not in question
Rather than having viability problems, infrastructure projects are typically “front-ended”, so it is often the mismatch between the lending and the project’s revenue-making tenures that lead to an increased likelihood of restructuring, says Arundhati Bhattacharya, MD & CEO of SBI Capital Markets in an interaction with Sumantra Das.
Felicitating industry leaders
Over the last fiveyears there has been increased private sector participation in infrastructure via Public Private Partnerships (PPP), and as an objective but active participant in documenting this growth, Infrastructure Today established the InfrasÂtructure Today Awards in collaboration with KPMG. It is our endeavour to applaud and recognise partners in the nationÂ’s growth through partnerships, a mode that has caught the fancy of the nationÂ’s policymakers, owÂners and developers.
Vizag to implement ` 20 billion worth projects through PPP route
Ajeya Kallam, Chairman of Vizag Port informed that the port expects to complete Rs 2,000 crore worth of capacity augmenting projects through public-private partnership mode by 2015-16.
Through these projects, the port authority plans to raise its cargo handling capacity to 140 million tonne from the present 66 million tonne. Of the nine projects, the port has already taken up six under the PPP mode with an investment of Rs 1,500 crore, he said.
Leading firms eye ` 211.4 bn rail corridor project
Leading infrastructure companies like L&T IDPL, Gammon Infra, IL&FS Transportation, GMR Infra, CAF South Africa are eyeing the Rs 21,147-crore Mumbai elevated rail corridor project.The railways seeks to implement the 60-km corridor project on public private partnership (PPP) basis and would invite bidding for the same in a few months. Reports suggest that the railways would close the first round by March-end, when the bidders would submit requests for qualification (RFQs). The successful bidder
IIFCL to raise funds via bond issue
India Infrastructure Finance Company (IIFCL) plans to use the fund raised through the forthcoming bond issue for long-term funding to PPP projects in sectors like power, infrastructure, etc, Chairman and Managing Director S K Goel said
The companyÂ’s Rs 1,500 crore bond issue with green shoe (over-allotment) option of up to the shelf limit of Rs 9,215 crore would open on December 26 and close on January 11. The bonds would be allotted on a first-come first-serve basis.
Ongoing railway projects need ` 1.47 trillion
Railway ministry pegged the investment requirement for the 347 ongoing new line, gauge conversion and doubling projects at about Rs 1.47 lakh crore as on April 1, 2012.
All sanctioned projects are progressing as per availability of resources, Minister of State for Railways Adhir Ranjan Chowdhury informed Lok Sabha.Targets for projects are fixed on yearly basis based on availability of funds. To expedite completion of ongoing projects, efforts are made to generate extra budgetary financing throu
Ongoing railway projects need ` 1.47 trillion
Railway ministry pegged the investment requirement for the 347 ongoing new line, gauge conversion and doubling projects at about Rs 1.47 lakh crore as on April 1, 2012.
All sanctioned projects are progressing as per availability of resources, Minister of State for Railways Adhir Ranjan Chowdhury informed Lok Sabha.Targets for projects are fixed on yearly basis based on availability of funds. To expedite completion of ongoing projects, efforts are made to generate extra budgetary financing throu

