A GMR Group-led consortium has emerged as the lowest bidder at Rs 1,100 crore for a road construction project in Chennai.
The 29.65-km long Chennai Outer Ring Road is to be developed on a build, operate and transfer (Annuity) basis, and is to be completed in 2.5 years.
It has a 20 year concession period (duration of building, operating and maintaining the road), before it is transferred to the government.
Of the Rs 1,100 crore, the Tamil Nadu government will give Rs 300 crore for the project, while the rest will be put in by the two consortium partners, Raju said.
“This is a greenfield project wherein we will build 6-lane Chennai Outer Ring Road plus two service lanes,” GMR Infra Director O B Raju said.
The project has been awarded by the state of Tamil Nadu and the land has been acquired by the Tamil Nadu Road Development Corp.
GMR Infrastructure, the flagship company of the GMR Group, holds 90 per cent stake in the consortium, while another local partner – NACP Ltd holds the rest.