US Cos express concern over MCA in Indian infra
At a road show in the US, American developers and construction companies have expressed concern with aspects of the model concession agreement (MCA), including the termination clause, exit clause, conflict of interest and definition of associates clauses. India’s Union Minister of Road Transport & Highways Kamal Nath has assured that many of these issues would be ironed-out by the end of the month. The Minister had indicated this during an exclusive interview given to Construction Week India for the September 2009 issue. (The interview would be soon available online). Addressing the US companies, the Minister said institutional capacity building, feasibility studies and mega projects would herald a new era of development of infrastructure projects.
The road show was hosted by the US-India Business Council, in partnership with the Confederation of Indian Industry for an intimate roundtable in America`s financial capital. It focussed on US investment attention on India`s roads and highways. Minister Nath is in the US for a week, capping off a world tour to revive foreign interest in India`s massive infrastructure development, particularly roads and highways. He is accompanied by Brijeshwar Singh, chairman of the National Highways Authority of India.
This is the Minister’s fourth road show to attract foreign investors in India’s infrastrcuture development. He has already conducted similar shows in Singapore, Zurich and London.