Rel Infra highest bidder for Rs 1,000 cr Kandla-Mundra NHAI work

MUMBAI: Anil Dhirubhai Ambani Group (ADAG) company Reliance Infra has quoted the highest premium of Rs 42 crore under the negative viability gap funding for Rs 1,000- crore Kandla- Mundra road project of NHAI, a company source said today.

Under the negative viability gap funding, promoters of an infrastructure project offer a premium to the government, unlike viability gap funding wherein the government gives a grant to promoters of a project which is considered unviable.

The source said Reliance Infra has quoted the maximum premium amount (negative viability gap funding) worth Rs 42 crore among the five other contestants.

Last week, the company had won the 1,725 crore Pune- Satara highway project from the National Highways Authority of India (NHAI).

The Kandla- Mundra project, scheduled to be completed by December 2012, entails the upgradation and maintenance of Gandhidham (Kandla)-Mundra Port stretch, which links the Kandla and Mundra ports in Gujarat.