Study and appraisal of hybrid annuity model for Gujarat state highway development (Softcopy is also available)
Mehta, Vruja (PT101316)
Study and appraisal of hybrid annuity model for Gujarat state highway development (Softcopy is also available) - 2018 - ix,91p.
Contents
Acknowledgements iv
Abstract v
List of figures vi
List of tables vii
List of Abbreviations ix
1. Introduction 1
1.1. Background 1
1.1.1. Risk Sharing Policy for Different Models 2
1.2. Need For The Study 3
1.3. Expected Outcomes 3
1.4. Description to access to resources 4
2. Research domain 5
2.1. Objectives 5
2.2. Scope 5
2.3.Research Methodology 6
2.4.Research Schedule 6
3. Literature review 7
3.1. Preliminary Literature Review 7
3.2. What is Hybrid Annuity Model 12
3.3. Why HAM is Important 13
3.4. Issues in PPP Projects 13
3.5. Types of Risks and Their Financial Effects 14
3.6. Output Indicators from Different stakeholders’ Perspective 16
3.7. Major factors affecting success of the PPP projects 17
3.8. Research Gap 32
4. Research methodology 33
4.1. Brief of Methodology 33
4.2.Factor Analysis Method 33
5. Data Collection 36
5.1. Questionnaire Survey 36
5.1.1. Quantitative Questionnaire 36
5.1.2. Qualitative Questions 38
5.1.3. About Respondents 39
5.2. Case Study data collection 41
5.2.1. Introduction 41
5.2.2. Salient Features about Case Study 42
5.2.3. Configuration of Project Road by Different Sections 42
6. Data analysis 44
6.1. Statistical Analysis 44
6.1.1. Bartlett’s test for sphericity and KMO test 44
6.1.2. Factor reduction (RII method) 44
6.1.3. Factors comparison table 47
6.1.4. Final remaining factors 49
6.1.5. Correlation Matrix 50
6.1.6. Total Variance explained (Extracted Factors) 51
6.1.7. Rotated component matrix 52
6.1.8. Major categories obtained after Analysis 53
6.1.9.Validity test 54
6.1.10. Mann-Whitney U Test 54
6.2. Qualitative questionnaire Analysis 56
6.3. Bid process for HAM 59
6.3.1.Financial closure 59
6.4. Financial Analysis of State Highway Project 60
6.4.1.Assumptions 60
6.4.2.Results of BOT Annuity and Modified Annuity Model 61
6.4.3.Difference in terms of all three models 63
7. Exploration and findings 65
7.1. Hybrid Annuity Model 65
7.1.1.All schedules of HAM 66
7.1.2.Total Project cost Calculations 67
7.1.3.Construction support calculations 68
7.1.4.NHAI bid for O&M and Construction support calculations 69
7.1.5.Annuity Payment and O&M payments calculations 70
7.1.6.Debt repayment and DSCR 71
7.1.7.Depreciation and Tax 72
7.1.8.Profit After Tax 73
7.1.9.Balance sheet 74
7.1.10. Cash Flow of project and Equity 75
7.1.11. Final Parameters 76
7.2.Comparison of Modified Annuity Model and Hybrid Annuity Model 77
7.2.1. Patterns for payments in MAM and HAM 77
7.2.2.Why this project is awarded on Modified Annuity Model 78
7.2.3.How HAM is beneficial than MAM 78
7.3.Alternative Analysis 79
7.3.1.Debt Equity Ratio 79
7.3.2.Upfront Support 80
7.3.3.Initial Equity 81
7.3.4.Interest Rate 82
8. Conclusion 84
8.1. Optimal HAM solution 84
9. Future scope 86
References 87
Annexures 89
CPM TH-0316 / MEH
Study and appraisal of hybrid annuity model for Gujarat state highway development (Softcopy is also available) - 2018 - ix,91p.
Contents
Acknowledgements iv
Abstract v
List of figures vi
List of tables vii
List of Abbreviations ix
1. Introduction 1
1.1. Background 1
1.1.1. Risk Sharing Policy for Different Models 2
1.2. Need For The Study 3
1.3. Expected Outcomes 3
1.4. Description to access to resources 4
2. Research domain 5
2.1. Objectives 5
2.2. Scope 5
2.3.Research Methodology 6
2.4.Research Schedule 6
3. Literature review 7
3.1. Preliminary Literature Review 7
3.2. What is Hybrid Annuity Model 12
3.3. Why HAM is Important 13
3.4. Issues in PPP Projects 13
3.5. Types of Risks and Their Financial Effects 14
3.6. Output Indicators from Different stakeholders’ Perspective 16
3.7. Major factors affecting success of the PPP projects 17
3.8. Research Gap 32
4. Research methodology 33
4.1. Brief of Methodology 33
4.2.Factor Analysis Method 33
5. Data Collection 36
5.1. Questionnaire Survey 36
5.1.1. Quantitative Questionnaire 36
5.1.2. Qualitative Questions 38
5.1.3. About Respondents 39
5.2. Case Study data collection 41
5.2.1. Introduction 41
5.2.2. Salient Features about Case Study 42
5.2.3. Configuration of Project Road by Different Sections 42
6. Data analysis 44
6.1. Statistical Analysis 44
6.1.1. Bartlett’s test for sphericity and KMO test 44
6.1.2. Factor reduction (RII method) 44
6.1.3. Factors comparison table 47
6.1.4. Final remaining factors 49
6.1.5. Correlation Matrix 50
6.1.6. Total Variance explained (Extracted Factors) 51
6.1.7. Rotated component matrix 52
6.1.8. Major categories obtained after Analysis 53
6.1.9.Validity test 54
6.1.10. Mann-Whitney U Test 54
6.2. Qualitative questionnaire Analysis 56
6.3. Bid process for HAM 59
6.3.1.Financial closure 59
6.4. Financial Analysis of State Highway Project 60
6.4.1.Assumptions 60
6.4.2.Results of BOT Annuity and Modified Annuity Model 61
6.4.3.Difference in terms of all three models 63
7. Exploration and findings 65
7.1. Hybrid Annuity Model 65
7.1.1.All schedules of HAM 66
7.1.2.Total Project cost Calculations 67
7.1.3.Construction support calculations 68
7.1.4.NHAI bid for O&M and Construction support calculations 69
7.1.5.Annuity Payment and O&M payments calculations 70
7.1.6.Debt repayment and DSCR 71
7.1.7.Depreciation and Tax 72
7.1.8.Profit After Tax 73
7.1.9.Balance sheet 74
7.1.10. Cash Flow of project and Equity 75
7.1.11. Final Parameters 76
7.2.Comparison of Modified Annuity Model and Hybrid Annuity Model 77
7.2.1. Patterns for payments in MAM and HAM 77
7.2.2.Why this project is awarded on Modified Annuity Model 78
7.2.3.How HAM is beneficial than MAM 78
7.3.Alternative Analysis 79
7.3.1.Debt Equity Ratio 79
7.3.2.Upfront Support 80
7.3.3.Initial Equity 81
7.3.4.Interest Rate 82
8. Conclusion 84
8.1. Optimal HAM solution 84
9. Future scope 86
References 87
Annexures 89
CPM TH-0316 / MEH