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PNC Infratech Secures Rs. 819 Cr. Expressway Project in Uttar Pradesh

PNC Infratech Limited has signed a concession agreement with Ministry of Road Transport and Highways (MoRTH) for construction of a 4-lane highway project in Uttar Pradesh. This project will be developed at an estimated cost of Rs. 819 crore under Hybrid Annuity Mode (HAM)*. This information was shared by the company in a stock filing dated 27th June 2023.

Scope of work under this agreement entails construction of a four-lane highway of length 25.545 Km, connecting Singraur Uphar to Baranpur-Kadipur-Ichauli section of NH-731A. This agreement specifies a completion period of 24 months for this project. Further, an operation period of 15 years is also included post-construction of the highway.

*Hybrid Annuity Model (HAM) refers to a mode of Public-Private-Partnership (PPP) wherein the government and the private player share the project expenses in a 40:60 ratio respectively. After the private player develops the project, it is handed over to the government. The government pays a fixed annuity to the private player for a certain amount of time as defined in the contract.