SPML Infra Secures Rs. 345 Crore Water Project in Chennai
Filing Summary
SPML Infra Ltd, in a joint venture with JWIL Infra Ltd and Vishnusurya Projects & Infra Pvt Ltd, has been awarded a Rs. 345 crore contract by the Chennai Metropolitan Water Supply and Sewerage Board. The project, part of the AMRUT Scheme, involves implementing a continuous water supply system in Chennai under a Hybrid Annuity Model. The contract includes design, build, finance, operate, and transfer phases, with a construction period of two years and an operation period of 15 years. The consortium’s financial bid was accepted, and the project will proceed under specific regulatory conditions.
SPML Infra Ltd, in collaboration with JWIL Infra Ltd and Vishnusurya Projects & Infra Pvt Ltd, has secured a contract valued at Rs. 344.64 crore from the Chennai Metropolitan Water Supply and Sewerage Board. This project is part of the AMRUT Scheme and involves the implementation of a continuous water supply system in Chennai. The project will be executed under a Hybrid Annuity Model (HAM) through a Public-Private Partnership.
The financial terms of the project include a bid project cost of Rs. 267 crore, with additional costs for operation and maintenance during the construction period and the first year of operation amounting to Rs. 8.32 crore and Rs. 16.75 crore, respectively. The total project cost, inclusive of GST, amounts to Rs. 344.64 crore.
Operationally, the project will be executed on a Design, Build, Finance, Operate, and Transfer basis. The scope includes the development of water supply systems for Pallipatu WDS and Thiruvanmiyur WDS in Chennai. The project aims to enhance the water supply infrastructure and ensure continuous water distribution in the specified areas.
The timeline for the project includes a development period leading to the appointed date of 150 days from the signing of the Concession Agreement. The construction period is set for two years, equivalent to 730 days from the appointed date. The operation period extends for 15 years, totaling 5475 days from the commencement of operations.
The consortium comprises SPML Infra Ltd, holding a 26% equity share, JWIL Infra Ltd with a 64% share, and Vishnusurya Projects & Infra Pvt Ltd with a 10% share. Each entity will contribute to the project’s execution according to their respective roles and responsibilities as outlined in the bidding documents and the Concession Agreement.
The project is significant within the context of the AMRUT Scheme, which focuses on urban infrastructure development. The regulatory framework requires the consortium to comply with specific conditions, including the formation of a Special Purpose Vehicle (SPV) and the submission of performance securities. The project aligns with the broader objectives of enhancing urban water supply systems in India.
JWIL Infra Ltd is a key player in the infrastructure sector, focusing on water and wastewater management projects. The company collaborates with various partners to deliver large-scale infrastructure projects across India.
SPML Infra Ltd specializes in infrastructure development, particularly in water management, power, and environment sectors. The company is committed to executing projects that contribute to sustainable urban development and infrastructure enhancement.