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Road builders asked to pay fine if want to exit projects

Union Road Minister Oscar Fernandes has said that road developers will not be blamed for delays in regulatory procedure but have to take responsibility for their own faults and may have to pay up to one per cent of total project cost as penalty for exiting. If there is any fault on the part of the concessionaire, then there will be a penalty of a maximum of one per cent, of the total project for the developer to exit the project, he said.

Highway developers may get exit option

Cash-strapped highway developers may be permitted by the Union government to exit projects at any stage after financial closure if lenders agree to change the concessionaires at the request of the existing developer. The Surface Transport Ministry feels that this could be a shot in the arm for stalled highway projects since equity released from old projects can be used to develop new ones, and companies with relevant expertise can take over the construction or operation and maintenance of the ex

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