Hyderabad Metro Rail in PPP Mode Presentation to
Hyderabad Metro Rail in PPP Mode Presentation to the 6 th Global Infrastructure Leadership Forum NVS Reddy www. Managing Director h. Hyderabad m r. g o. Metro v. i. Rail n Ltd.
Hyderabad Metro Rail Project ü A completely elevated MRT project in Hyderabad, Southern India ü 3 Corridors/Lines (72 km) taken up in Phase I ü UMT sector - World’s largest Metro Rail project in PPP mode ü Main project cost : USD 2. 66 b + Property Devpt. ph. I (USD 0. 41 b) + Land + other costs (USD 0. 37 b) = USD 3. 44 b ü Implementing Entity: ● Concessioning Authority: Hyderabad Metro Rail Limited (Govt. of AP) ● Concessionaire (Pvt. Sector): L&T Metro Rail (Hyderabad) Limited, an SPV of USD 12 b L&T www. hmr. gov. in 1
Hyderabad city – geographical location India Hyderabad www. hmr. gov. in 2
Traffic & Transportation Scenario in Hyderabad ü Hyderabad, a city of 8 m pop ü Capital of the Southern State of Telangana ü Historical City – now hub of pharma industry, research institutes, IT/ITES Service Sector Economy ü Severe traffic congestion & increasing pollution levels ü Lack of efficient, reliable & comfortable PTS increase in personal vehicles: 3. 0 million vehs + addition of 0. 3 m p. a ü Total motorized trips: 7 m per day – Bus + local rail: 44%; Two wheelers: 30%; Autos: 16%; cars: 10% www. hmr. gov. in 3
Hyderabad Metro Rail as “ Transit + ” ü Phase I: 3 corridors; 72 km; 66 stations & 3 Depots ü Integration/Interchange with Main rail terminals & Bus Depots ü ‘Transit +’ concept: Last mile connectivity with Feeder Buses, NMT, Pedestrian Facilities & Street Furniture ü Not a simple Metro, but an urban redesign & rejuvenation effort to transform Hyderabad into a people friendly green city ü Eco-friendly stations with natural ventilation, skywalks, bicycle stations & tracks and other commuter friendly facilities ü Expected to generate about INR 500 b (USD 8. 06 b) investments in Hyderabad & it’s surroundings www. hmr. gov. in 4
PPP Format ü 35 yr concession, extendable by another 25 yrs ü World’s largest Metro in ppp mode ü Main project cost : USD 2. 28 b (INR 14, 132 Cr. ) + Property Devpt. ph. I USD 0. 36 b (INR 2, 243 Cr. ) + Land & other costs USD 0. 32 b (INR 1, 980 Cr. ) = USD 2. 96 b (INR 18, 355 Cr. ) ü Commercial risk by Concessionaire & no traffic guarantees ü Well balanced & bankable Concession Agreement; transparent global bid process ü Technology–neutral & performance based ‘output’ oriented MSS (tech specs) ü Rf. Q & Rf. P stages – DCA; MSS & SHA www. hmr. gov. in 5
PPP Format ü Scope for design innovation & reduction in life cycle costs ü 269 acres (109 Ha) land; commercial exploitation of air space to create 18. 5 m SFT – lease rentals ü Prefixed tariff & fare escalation formula; differential tariff (peak vs off peak hours) ü Stations as hubs of activity – shopping malls, multiplexes & leisure; hotels & eateries; hospitals, clinics, office space etc ü Ridership & property development boosting each other financial viability www. hmr. gov. in 6
Funding Pattern & Financial model ü Project cost : USD 2. 73 b (INR 16, 375 Cr. ) (MRT : 2. 36 b (INR 14, 132 Cr. ) + Property Devpt : 0. 37 b (INR 2, 243 Cr. )) § § Senior Debt : USD 1. 91 b Subordinate Debt : USD 0. 17 b Equity : USD 0. 41 b Other Sources (VGF) : USD 0. 24 b Total : USD 2. 73 b (INR 11, 478 Cr. ) (INR 1, 000 Cr. ) (INR 2, 439 Cr. ) (INR 1, 458 Cr. ) (INR 16, 375 Cr. ) ü Financial Closure achieved in March 2011 ü Revenue Model: 50% from Fare box; 45% from Property devpt; 5% Misc (Ads + Parking fee) ü IRR § Project IRR : 13. 89% § Equity IRR : 17. 50% www. hmr. gov. in
The Team (Authority, Concessionaire, Consultants etc. , ) Authority Concessionaire : Hyderabad Metro Rail Limited (Go. T) : L&TMRHL • Independent Engineer : Louis Berger, USA • Safety Consultant : Eptisa, Spain Concessionaire’s Engineer(CE) Programme Manager Lenders’ Engineer Independent Safety and RAM Assessor Consultants for Carbon Credits Lenders Insurance Consultant-Marsh India Pvt. Ltd. Operation & Maintenance Contractor www. hmr. gov. in 8
Engineering, Procurement & Construction contractors Packages Vendors Viaduct, Stations & Depots L&T Construction Rolling Stock Hyundai Rotem, South Korea Power supply + SCADA L&T Construction Traction L&T Construction Signaling & Train Control Thales, Canada (French company) Communication Thales, Portugal (French company) Track works L&T Construction along with (Turnouts / Rails / Fastening system) (Voest Alpine, Austria + Tata Corus, France + Vossloh, Germany) O&M Operator Keolis France Automatic Fare Collection (AFC) Samsung, South Korea www. hmr. gov. in 9
Contact Information Name : Mr N. V. S. Reddy Company : Hyderabad Metro Rail Ltd. Role in Project : Managing Director Phone : +91 40 2338 8580 / 81 (Fax 82) Email : nvsreddyiras@gmail. com Website : www. hmr. gov. in Name : Mr V. B. Gadgil Company : L&T Metro Rail (Hyderabad) Ltd. Role in Project : Managing Director Phone : +91 40 67295500 | Fax: +91 40 23123015 Email : vbg@ltmetro. com Website : www. ltmetro. in www. hmr. gov. in 10
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N. V. S. Reddy www. hmr. gov. in
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