Toll road firm IRB Infrastructure Developers on Tuesday said it has bagged a contract for operating and collecting toll on Mumbai-Pune Expressway project under the toll-operate-toll model. The company has received a letter of acceptance (LoA) from Maharashtra State Road Development Corporation (MSRDC) for a period of 10 years and two months.
The concession includes collection of toll and operation and maintenance activities on the expressway and old Mumbai-Pune highway NH-48 for the period up to April 30, 2030, the company said in a statement.
As per the contract, IRB will have to pay Rs 8,262 crore to MSRDC for the rights for collecting toll, which would include an upfront payment of Rs 6,500 crore and a further staggered payment of Rs 850 crore each in second year and third year, and Rs 62 crore in fourth year.
"The company will take possession of the project from March 1, 2020 and commence tolling and O&M activities," IRB said.
Commenting on the development, company's chairman and managing director Virendra Mhaiskar said, "We had managed this project for 15 years from 2004 to 2019 and hence we feel that it will help us in managing the project well and meet the expectations of all stakeholders."
During the earlier concession period, IRB had paid Rs 918 crore to MSRDC for bagging the project.
After the concession agreement lapsed in August last year, MSRDC had handed over toll collection on the stretch on temporary basis to Sahkar Global.
Meanwhile, toll rates on the expressway are expected to increase from April 1 for three years after the appointment of new concessionaire.
As per a government notification, the new toll rates for cars will increase from Rs 230 to Rs 270, while for mini buses it will go up from Rs 355 to Rs 420 for trucks, and it will rise from Rs 493 to Rs 580 for heavy axle vehicles.For buses, it will increase from Rs 675 to Rs 797, and for large trucks it will rise from Rs 1,165-1,555 to Rs 1,380-1,835.