To seek greater participation of Private Players, DFCCIL ensured adequate risk sharing with Private Player

Following provides systematic approach adopted by DFCCIL to mitigate risks across various parameter:

Risk Category Mitigation Approach
Funding Risk Availability of 100 % Foreign Direct Investment (FDI) to the Private Player
Financing Risk Availability pre-determined fixed annuity to help the Private Player in raising debt for the project
Construction Risk Availability of 98% of the land at the start of construction to help reduce any construction time over-runs
Traffic Risk Revenues of the Private player are not linked to traffic and is to be borne by DFCCIL
Revenue Risk Availability of Guarantees for payment of Annuity to the Private Player
Maintenance Risk Maintenance to be done by DFCCIL post completion of Defect Liability Period
Ecosystem Risk Revenues to the Private Player are not linked to the business cycles
  • Construction of ROB/RUB in not in the scope of Concessionaire
  • For any delay in transfer of land and utility shifting, Concessionaire will be compensated