Hybrid Annuity Model

Government has approved the hybrid annuity model (HAM) for building National Highways (NH) to speed up the construction of roads in the country by renewing interest of private developers in highway projects.

  • HAM is a mix of BOT Annuity and EPC models. As per the design, the government will contribute to 40% of the project cost in the first five years through annual payments (annuity). The remaining payment will be made on the basis of the assets created and the performance of the developer.
  • Here, hybrid annuity means the first 40% payment is made as fixed amount in five equal installments whereas ....
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Indian Economy & Socio-economic Development