Institutional Equities - Online Share Trading
Institutional Equities - Online Share Trading
Institutional Equities - Online Share Trading
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FY02<br />
FY03<br />
FY04<br />
FY05<br />
FY06<br />
FY07<br />
FY08<br />
FY09<br />
FY10<br />
FY11<br />
Apr'10-Jul'10<br />
Jul'10-Mar'11<br />
Apr'11-Aug'11<br />
FY12E<br />
FY13E<br />
FY14E<br />
FY15E<br />
<strong>Institutional</strong> <strong>Equities</strong><br />
Exhibit 34: Award of orders per day (km)<br />
25<br />
( Order awarding Kms/day)<br />
21.9 21.9 21.8<br />
20<br />
15<br />
10<br />
5<br />
0<br />
10.4<br />
1.0 0.9<br />
3.6<br />
13.0<br />
4.8 3.4 1.8<br />
9.2<br />
14.0<br />
7.4 6.6<br />
12.3<br />
16.8<br />
Exhibit 36: Recent policy reforms<br />
Source: NHAI, Nirmal Bang <strong>Institutional</strong> <strong>Equities</strong> Research<br />
Exhibit 35: Summary of award of contracts (2011-12)<br />
Month Number of projects Project cost (Rsbn)<br />
April 2011-Aug 2011 (awarded) 10 163<br />
September 2011 7 66<br />
October 2011 7 31<br />
November 2011 12 91<br />
December 2011 5 37<br />
January 2012 5 53<br />
February 2012 7 91<br />
March 2012 4 37<br />
Total (km) 7,994 569<br />
Award of annuity and EPC projects 1,000 -<br />
Award of projects - state governments 1,000 -<br />
Total contracts awarded in FY12(km) 9,994 -<br />
Source: NHAI, Nirmal Bang <strong>Institutional</strong> <strong>Equities</strong> Research<br />
100% FDI under the automatic route is permitted for all road development projects<br />
100% income tax exemption for a period of 10 years<br />
NHAI agrees to provide grants/viability gap funding for marginal projects<br />
The maximum grant provided will be 20% of the project cost. In case the grant is inadequate for making a project commercially viable, an additional grant of<br />
up to a maximum of 20% of the project cost is possible.<br />
The time required for construction (typically 24-30 months) is included in the concession period. A concessionaire starts earning revenue from COD, and this<br />
gives the concessionaire an incentive for early completion of construction.<br />
A time limit of 180 days is set for achieving financial closure by the concessionaire. In the event of failure, the bid security stands forfeited.<br />
Source: NHAI, Nirmal Bang <strong>Institutional</strong> <strong>Equities</strong> Research<br />
NHAI project target achievable in FY12<br />
NHAI has planned month-wise award schedule for BOT (toll) road projects totaling 8,000km for the first 10<br />
months of FY12. These 59 BOT road projects, having aggregate project cost of Rs647bn, would be developed<br />
on toll basis. To ensure that the target is met, the government has kept a buffer with an overall pipeline of<br />
10,000km. Importantly, the calendar is front-ended, with 67% of the 8,000km (Rs569bn) BOT road projects<br />
scheduled to be awarded by January 2012, which would take care of any delay in the award of projects.<br />
Looking at the recent momentum in awarding projects (around 25% of planned) and project pipeline at the<br />
bidding stage, we believe the FY12 target will be achieved.<br />
16 Infrastructure Sector
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