With the NHAI not receiving a single bid for the Eastern Peripheral Expressway project, the government has decided to scrap the plan of implementing the project under PPP mode.
The Rs6,284-crore project is being delayed again due to lack of interest of investors in the road project. The six laning of the Eastern Peripheral Expressway spanning a length of 135 km road would cover Sonepat, Faridabad, and Palwal districts in Haryana; and Baghpat, Gautam Budh Nagar, and Ghaziabad districts in Uttar Pradesh.
NHAI received five RfQ bids from IL&FS Transportation Networks Ltd, Reliance Infrastructure Ltd, Srei Infrastructure Finance Ltd, Uniquest Infra Ventures, and IRB Infrastructure Developers Ltd showed interest to develop the project. But when tenders were floated, all the five firms did not show the response. NHAI retendered the bids for five times.
The project has been stuck for several years as the Planning Commission wanted higher toll rates while MoRTH wanted to be the same as that charged for highways. With this, the estimated construction cost has been increased from Rs2,600 in September 2010 to Rs6,284 crore as of April 2014.
The project was cleared by the PPPAC on January 17, 2014 and received CCEA clearance in February.