Highway road map: Bidder selection criteria for BOT projects may ease

The revision or tweaking of documents for BOT becomes essential in the current scenario as the government moves the focus away from the HAM model

To speed up the momentum of private sector investment in highways, the new bidding documents for build-operate-transfer (BOT) projects may soften the qualification criteria for bidders, including their financial capabilities. 

Under the earlier rules, if two companies formed a consortium to take part in a tender, the net worth or the financial muscle of both the companies needed to meet the minimum criteria. Now, just one company can meet the requirement. 

Essentially, small or mid-size companies which had taken up the hybrid-annuity mode (HAM) of construction will now be able to take part in the BOT tenders.