• Provides Liquidity to Client and Private Player
  • Financial Risk is shared between Client and Private Player
  • Performance Driven
  • Private Partner continues to bear the Construction and Maintenance Risk
  • Bid parameter – lowest of sum of
    • Project cost
    • O&M cost
    • Power & Land
Hence the focus is on the “Life Cycle Cost”
  • At the end of the concession period, the private developer shall hand back assets developed to the Client in pre-defined conditions as per the contract.
  • Guaranteed Power Consumption and optimum Land Usage
  • HAM model also provides for incentives for early construction milestones leading to early revenue streams and benefits to the society
  • HAM brings in an opportunity to improve billing and collection system and collection efficiencies with private developer involvement
  • Can scale up Client’s capabilities to develop more projects.