GMR KUAEL: The Longest Road PPP

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Abstract

GMR Infrastructure Limited (GMRIL) had to make a decision on its continued role in the 555.48 km Kishangarh Udaipur Ahmedabad (KUA) Expressway Project, India's then longest road public-private partnership (PPP) project. GMR had terminated the contract citing NHAI's failure in fulfilling Conditions Precedent (CP) of providing (i) environment clearance (EC), (ii) revised toll free notification and (iii) 80% of required land. The case intends to educate the reader on the concessionaire-authority dynamics in typical Indian infrastructure PPPs. Taking into account its internal strategy, the extant unfavourable investment climate, the Central Government's steps to revive private interest in the highways sector and NHAI's quick turnaround in fulfilling CP, GMR had to decide how to respond.

Additional Information

Product Type Case
Reference No. CIPR0026
Title GMR KUAEL: The Longest Road PPP
Pages 27
Published on Nov 18, 2016
Year of Event 2013
Authors Raghuram, G.; Udaykumar, Prashanth D.; ;
Area Centre for Infrastructure Policy and Regulation (CIPR)
Discipline Finance, Public Policy and Law, Strategic Management
Keywords Public-Private Partnerships; Conditions Precedent; Performance guarantee; land acquisition; environment clearance
Country India
State Gujarat
Organization GMR Group & NHAI
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