Ashoka Buildcon wins Rs 1,600 crore road project in Punjab from NHAI

Infrastructure firm Ashoka Buildcon on Wednesday that said it has received a letter of award for widening of a highway stretch in Punjab from NHAI at a bid cost of Rs 1,600 crore.

"The company's subsidiary, viz, Ashoka Concessions Ltd has received letter of award from National Highways Authority of India (NHAI) for ... 4/6 laning of Kharar to Ludhiana section of NH 95 in Punjab on hybrid annuity mode," Ashoka Buildcon said in a filing to the BSE.

The bid project cost is Rs 1,600 crore, the company said.

The project is part of Rs 2,070-crore highways project in Punjab approved by the Cabinet in June under hybrid annuity mode to ensure faster movement of traffic between Chandigarh and Ludhiana.

The highway at present is only two-lane and is scheduled to be completed in 30 months.

The Ministry of Road Transport and Highways had in 2006 approved the Chandigarh-Ludhiana section of NH 21 and NH 95 through public-private-partnership (PPP) on build, operate, transfer (BOT) basis under NHDP Phase V.

The project was later reconstructed in two parts – Chandigarh-Kharar and Kharar-Ludhiana – due to non-viability.

The Chandigarh-Kharar section has already been awarded on engineering, procurement and construction (EPC) mode.

Under the project, two major and one minor bridges are proposed besides a 7.9 km bypass at Samrala.

Under the hybrid annuity mode, the government provides 40% of the cost to the developer while the remaining 60% has to be borne by concessionaires.