Presentation il and fs

8/7/2019 Presentation il and fs

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Presented By: Surabhi Goyal

Sourabh Mishra

IL&FS Transportation Networks Limited

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Introduction:

IL&FS Transportation Networks Ltd. (ITNL) is an established ISO9000:2001 surface transportation infrastructure company, and is one

of the largest private sector BOT road operators in India.

In November 2000, IL&FS incorporated IL&FS TransportationNetworks Limited (ITNL) in order to pursue various new project

initiatives in the area of Surface Transport.

IL&FS has domiciled its transport sector investments and resources

in this company and now represents itself in this sector through

ITNL

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ITNL has been involved in the development and implementation of

projects related to Highways, Flyovers, Bridges and Roads across

the country.

These projects, both at cash generation stage and/or at construction

stage, have been benchmarked to meet international standards in

terms of technology and facilities.

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Activity Profile:

The key business activity is the development, implementation,

operation and maintenance of surface transport infrastructure

projects.

1.Project Development and Implementation

ITNL performs a range of project development activities from the

conceptualization of projects to commissioning and commencement

of commercial operations. These activities include the following:

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Business development and finding opportunities to participate in

competitive bidding for new projects,

Evaluation and preparation of bids,

Assessment of estimated project costs,

Applications for pre-qualifications and tenders,

Preparation of structural and other designs,

SPV formation and arranging financing for the project,

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2.Business Development and Internal Co-ordination

ITNL has an internally well-regulated management policy governingour strategy on bidding for projects. The management sets overall

strategy with respect to the procurement, development and operation

of our projects

3.Construction

The construction phase of a toll or annuity road project begins after

financial closure is achieved. The concession agreements often contain

incentives for early completion of a project. The construction phase of

a project often takes between 15 months and three years to becompleted. Its concessions typically range from a period of 11 to 32

years, after which they are transferred to the concessioning authority.

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4.Operation and Maintenance

ITNL has project implementation teams located on all Project sites tomonitor the roads for maintenance, upkeep and operations services, as

well as user and emergency services. These services are provided

through facilities owned by ITNL and also by sub-contracting some

services to specialist companies. ITNL considers the relative

efficiencies of self-sourcing and outsourcing for each required servicewhen making their sourcing decisions.

5.Tolling

Toll collection systems

ITNL typically uses automated toll collection systems at their toll

plazas and the level of automation at the toll plazas are designed

based on the type of traffic and volume at the toll plazas.7


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The technology used for automation of their toll plazas is generally

scalable and adaptable to the changing requirements. It also help increating an audit trail for reconciliation of revenue collection and in

achieving efficiency in the manpower required at the toll plazas

6.U

ser Fees

The user fees that ITNL charges the users of their toll roads are set

according to the user fee notification provided as part of the

concession agreements. The user fee is typically increased at

scheduled intervals, sometimes by reference to certain indices. Theuser fee also varies depending on the type of vehicle.

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Government Involvement

Policy Initiatives

The Government has allowed 100 per cent FDI under the automatic

route in all road development projects.

Investors in identified highway projects permitted to now recover

investment by way of collection of tolls for specified sections and

periods.

The government has also announced an increase from US$ 100million to US$ 500 million in the overseas borrowing amount for the

infrastructure sectors.

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In BOT projects entrepreneur are allowed to collect and retain tolls

Duty free import of specified modern high capacity equipment for

highway construction

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Training & Development

Given that Public Private Partnerships (PPPs) for infrastructure

creation can extend for long periods of time and involve complex

financial, risk and performance arrangements, it is essential that the

public sector and the lenders have commensurate skills to the private

sector to ensure value for the government and other stakeholders.

ITNL is committed to enhancing the understanding of Infrastructure

Development and Financing across the stakeholder community.

Various State and Central Government bodies and agencies, including

banking institutions, regularly invite ITNL to hold symposiums andworkshops on development of infrastructure on a commercial format.

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Completed Projects

North Karnataka Expressway (Belgaum Maharashtra Border Road)

West Gujarat Expressway (Jetpur Rajkot Gondal Road)

NOIDA Toll Bridge

Nagpur City Bus Project Thiruvananthapuram City Roads (Phase I)

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THANK YOU

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Presentation il and fs