SHAMSHABAD AIRPORT

The Rs 1,600 crore project, which is being funded and built by the Hyderabad International Airport Limited (HIAL), a public-private partnership, at Shamshabad, should make Hyderabad the first city in India to boast of an international class airport.

Deadline: March 2008

OUTER RING ROAD (ORR)

Phase 1 will cover a 22 km stretch from Gachibowli to Shamshabad.

Funding: Rs 500 crore. Huda plans to borrow the money from Andhra Bank, Indian Overseas Bank, Bank of Baroda and Vijaya Bank.

Project status: 22 consortia have pre-qualified for the project. They have to submit their bids by May 10. Huda will select the lowest bidder, tentatively by May 25. Work scheduled to commence by June 1.

Deadline: March 2008

Time overruns? Huda MD Jayesh Ranjan says that’s impossible.

ELEVATED EXPRESSWAY

11.5 km expressway from Mehdipatnam to Aramghar junction on NH7.

Project status: Tender notification issued on April 20. Bids from potential builders expected to come in by May 20. Contract to be awarded by end of May. The construction will be done by the EPC method, in which the company decides on the design based on the alignment given by Huda.

Work commencement : June 2006

Funding: Rs 600 crore. To raise that money, the government has given 200 acres of land to Huda at Budvel village in Rajendranagar, overlooking the Himayatsagar. Huda plans to build a mini township for NRIs there, consisting of luxury villas (Rs 3 crore each). Proceeds from the sale of the villas will fund the expressway. However this plan needs the sanction of the government. Until then, Huda will provide startup funds of Rs 50 crore to get the work started.

Deadline: Dec. 2007

Time overrun? Quite likely, what with those villas being only castles in the air at the moment. However, Huda MD Jayesh Ranjan: “We will choose a consortium of repute to ensure that there is no delay. Moreover, there is a stringent penalty clause, which will act as a deterrent.’’

METRO RAIL TRANSIT SYSTEM

Phase one to build three routes: Miyapur-Chaitanyapuri, Secunderabad-Falaknuma, Tarnaka-Hi-Tec City. A total of 60 km

    Funding: Rs 7,000 crore. Of this, 20% will be given by the National Urban Renewal Mission. The state will have to raise another 20 % (Rs 1,400 crore). It has not decided yet how it will get this money. The rest 60 % to be brought in by the winning consortium. However, few consortia are likely to interested in raising Rs 4,200 crore for a long-gestation investment such as this. Companies may have to be lured with other funding options.

    Project status: Six consortia have pre-qualified out of the seven that expressed interest. The final selection won’t happen for at least another six months. Even the technology has not been decided: monorail or metro rail?

    Deadline: 2010

    Time overruns? Very likely

    OUTER RING ROAD (ORR), PHASE 2

A 140 km girdle round the city to ease congestion in the inner parts of the city.

    Project status : Final alignment has just been frozen. Next operation: Detailed Project Report (DPR). Land acquisition yet to be completed. Project awaits clearance from ministry of environment and forests. This will take at least another three months.

    Funding: Rs 3,000 crore. Three fundraising options being considered: internal funding by Huda, borrowing from multiple banks, public private partnership with builder by the Swiss Challenge method. Deadline: Not even set

FLYOVERS

Three flyovers proposed on the city outskirts. Project status: In a very initial stage. Consultants hired to prepare detailed project reports on Uppal and Langar Houz flyovers.

RADIAL ROADS

33 radial roads to serve Outer Ring Road. Three of them are on fast track as they fall in Outer Ring Road phase I: radial road numbers 2 (Rajendranagar-Himayatsagar), 3 ( Mehdipatnam-Police Academy) and 28 (Srisailam Road). The rest are long-term projects.

Project status: Preliminary planning stage.

Funding: Rs 105 crore needed for the three roads. No funds available. Huda wants NURM to fund 35% of the cost and the roads & buildings department to fund the remaining 65%, because it owns these three roads. No response from R&B.

Deadline: March 2008, in time for airport.

Time overrun? Very likely

TOWNSHIPS

20 integrated townships (of 500-1,000 acres each) planned along the ORR. Three townships—Tellapur, Maheshwaram and Koheda—on priority.

Project status: Dubai Internet City contracted to develop Koheda. Tenders called for Tellapur and Maheswaram. Consortia to be identified by May-end. Master plans for these two townships still under preparation.

Funding: Funding model is PPP. Dubai Internet City building Koheda with an investment of Rs 2,500 crore. The other two townships to cost 1500 crore each.

Deadline: March 2008

Time overruns? Huda’s Jayesh Ranjan says it is possible to pull it off.

MULTILEVEL CAR PARKING COMPLEX

2.5 acre parking area at NTR Gardens and IMAX theatre to ease congestion near the Hussainsagar.

Project status: 22 consortia had expressed interest. Winner to be decided this month.

Funding: Rs 18 crore to be raised as a public private partnership.

Deadline: Mid-2007. Some levels may be operational before final completion

INTEGRATED TRANSPORT TERMINAL

Integrated bus bays at old Gandhi Hospital in Secunderabad to relieve congestion around the railway station. 28-storied twin towers to make project viable

Project status: Huda waiting for land to be transferred to it from tourism department. Designs are in place. Contractor to be selected by June or July.

Funding: Rs 250 crore, to be borrowed from banks.

Deadline: Bus bays to come up mid-2007. Twin towers: 2008.

Time overruns? Not anticipated

TERMINOLOGIC

You need to be an engineer, town planner, architect, financial whiz, all rolled into one, to understand the terms tossed up while discussing the city’s many infrastructure projects.

Work contract: When the government itself funds a project and hands it over to a company to construct it on a contract basis.

Public Private Partnership (PPP): The government and the private party jointly invest in the venture. This model is used when the government wants to minimize its investment. PPP could be of four basic types:

Build Own Operate (BOO): The private party gets to own the land and the project after building it and recovers its investment through the project’s operation.

Build Own Operate Transfer (BOOT): The private party gets a limited number of years to recover its cost, after which it has to transfer the project back to the government.

Build Operate Transfer (BOT):

The private party does not own anything but operates the project for a certain number of years to recover its cost and then transfers it back to the government.

(If it is financially not viable for a private party to recover its investment through the operation of a project, then the government offers land in lieu. In this kind of PPP, the company that bids for the least amount of land, wins the project.)

Swiss Challenge Method: A method of tendering adopted for PPP projects. Instead of being thrown open to bidders at one go, the first bidder to approach the government gets a reserved right. Based on the first bidder’s quote, the challenge is thrown open to others, and the first bidder has the exclusive right to deny or accept if somebody bids lower than him.

Special Purpose Vehicle (SPV): A special company set up by a government agency to handle a particular project. Its funding may or may not follow the PPP model.