The National Highway Authority (NHA) has terminated the concession agreement with M/s Techno-CMC (TECMC) Private Limited for the Sukkur-Hyderabad Motorway (M-6) project, the largest Public-Private Partnership (PPP) endeavor in Pakistan with a total cost of Rs307 billion.
The termination was initiated due to the concessionaire’s failure to achieve financial close within the specified timeframe.
Despite a grace period and extensions, the concessionaire could not remedy the breaches and achieve financial close. Consequently, the NHA terminated the PPP Agreement, effective immediately, encashing the bank guarantee without prejudicing any other rights.
The Sukkur-Hyderabad Motorway project, spanning 306 kilometers with six lanes, designed as a climate-resilient venture, now faces indefinite delays, impacting its status as a landmark achievement in the PPP sector amid economic challenges.
