IRB Infrastructure has decided to withdraw from the Rs 9,360 crore Mumbai Trans Harbour Link (MTHL) citing bad experience on some other infrastructure projects in the state.
In the letter Virendra Mhaiskar Chairman IRB has said, "We deeply regret to inform you that we are unable to participate in the bidding process of the project and the reasons are beyond the boundaries of this project. Unfortunately the experience that we have had in one of the infrastructure projects in Maharashtra in the city of Kolhapur has shattered our confidence to invest in the urban infrastructure projects especially in the state of Maharashtra.
"He further noted that the company's lenders were also shying away from committing their support to MTHL as the response of the state government on private investments adversely strikes at the very concept of private public partnership.
"He further noted that the company's lenders were also shying away from committing their support to MTHL as the response of the state government on private investments adversely strikes at the very concept of private public partnership.
The centre has already sanctioned the Viability Gap Funding (VGF) of Rs1920 crore for MTHL which will connect South Mumbai to Navi Mumbai directly. The state-run Mumbai Metropolitan Region Development Authority last year had short listed consortiums include CINTRA-SOMA-SREI, Gammon Infrastructure Projects Ltd-OHL Concessions-GS Engineering consortium, GMR Infrastructure Ltd-L&T Ltd — Samsung C&T Corporation, IRB Infrastructure Developers Ltd and Hyundai consortium and a consortium of Tata Realty and Infrastructure Ltd-Autostrade Indian Infrastructure Development Pvt. Ltd. - Vinci Concessions Development V Pte Ltd.
However, with IRB's decision to walk out of the project other four bidders remain in the fray.
