Hyderabad: IRB Infrastructure Bags Rs 7,380 Crore 30-Year Lease Contract For Outer Ring Road Project

IRB Infrastructure Developers Ltd won a Rs 7,380 crore contract for Hyderabad Outer Ring Road (ORR) project, under the toll-operate-transfer (TOT) model.

The revenue-linked concession period for this project is 30 years.

Hyderabad Metropolitan Development Authority (HMDA) sought global bids for the project, which attracted bids from Eagle Infra India Ltd, Dinesh Chandra R Agrawal Infracon Pvt Ltd, and Gawar Construction Ltd.

In December 2005, the government of United Andhra Pradesh established a special purpose vehicle (SPV) called the Hyderabad Growth Corridor Limited (HGCL) under the Companies Act 1956 for the development of the outer ring road.

The HGCL is responsible for the ORR's maintenance and operations.

The outer ring road is a road-cum-area development project since its aim is to develop well-planned and well-connected urban settlements around the Hyderabad Metropolitan Area.

The ORR is a 158-km-long eight-lane motorway with access control and has a total of 19 access points.

The ORR connects several areas: Narsing–Kokapet–Patancheru–Medchal–Shamirpet–Ghatkesar–Pedda Amberpet–Shamshabad–TSPA–Narsing–Nanakramguda–Gachibowli.

Further, service roads are developed with two-lane undivided sections on both sides of the ORR.

The ORR also connects with other significant national highways and state highways.

IRB's chairman, Virendra D Mhaiskar, has revealed that the company's asset base will now exceed Rs 70,000 crore and that their share in the TOT area now stands at 37 per cent, which is the largest in India by any private player.

Mhaiskar also pointed out that the project will be carried out via IRB's private infrastructure investment trust platform.

According to a company statement, IRB Group has been awarded the second largest single asset TOT project in India, after the Mumbai Pune Expressway project, which is also part of the company's portfolio.

ORR Facelift

The cycle track would cover the areas adjoining the city's IT hub and rapidly emerging residential areas.

HGCL will implement the plan, inspired by such facilities in South Korea.

The Telangana government aims to complete this unique project in 2023 itself, before the state goes to polls in November or December this year.