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Analysis of Hybrid Annuity Model (Ham) For PPP in Highway Project

Author(s):

Mithun Kamalakar Sawant , Dr. D. Y. Patil Institute of Engineering, Management and Research, Akurdi, Pune; Kartik Kadam, Dr. D. Y. Patil Institute of Engineering, Management and Research, Akurdi, Pune; Vishal Kumar, Dr. D. Y. Patil Institute of Engineering, Management and Research, Akurdi, Pune; Atam Jain, Dr. D. Y. Patil Institute of Engineering, Management and Research, Akurdi, Pune; Ms. Amruta P Kulkarni, Dr. D. Y. Patil Institute of Engineering, Management and Research, Akurdi, Pune

Keywords:

Hybrid Annuity Model (HAM), Public Private Partnership (PPP)

Abstract

The HAM financial structure was introduced to rejuvenate the road sector and lessen the equity burden on the already stressed developers. With even HAM projects facing certain financial hurdles such as lack of financial closure and aggressive bids, NHAI initiated a move to provide initial funds to mobilize and commence works. Construction funding by the government under HAM projects accounts for 40% of the total cost and is released by NHAI in five tranches linked to the milestones of 20% of the project work, while the balance 60% is arranged by the concessionaire.

Other Details

Paper ID: IJSRDV6I21994
Published in: Volume : 6, Issue : 2
Publication Date: 01/05/2018
Page(s): 3464-3466

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