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Govt plans fresh review of highway monetisation under TOT model
Financial Express Kochi
|March 17, 2025
THE GOVERNMENT IS planning to undertake another review of the model contract for the toll operate transfer (TOT) mode of monetisation of highways so that it becomes more viable and boosts investor interest.
The revised draft of the concession agreement could be ready in April. The new norms, to be announced after the review, are expected to address concerns of the government as well.
Currently, Infrastructure Investment Trust (InVIT) is seen to deliver better returns, compared to TOT model for the government. There have been reports that the government is favouring InVIT over TOT.
"There may be some issues surrounding TOT. Some policy rethinking has been going on in the ministry but the decision of the government, especially the committee headed by the cabinet secretary called Committee of Secretaries on Monetisation is that two tools of monetisation—TOTs and InVIT—will keep going," the officials added.
This story is from the March 17, 2025 edition of Financial Express Kochi.
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