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IRB Infrastructure Trust has begun toll collection on the 74.5 km Chandikhole Bhadrak stretch of NH-16 in Odisha after completing project formalities. The asset was secured under the toll-operate-transfer (TOT-18) model with an upfront concession payment of INR 3,087 crore to the National Highways Authority of India. The project comes with a 20-year concession period and is part of the Golden Quadrilateral corridor. It is expected to support steady toll income and strengthen the trust's presence in eastern India while adding to its long-term revenue pipeline.
IRB Infrastructure Trust has started toll collection on the Chandikhole-Bhadrak section of National Highway-16 in Odisha, bringing the project into its operational phase. The tolling activity has begun through the trust's special purpose vehicle, following the completion of required approvals and financial closure. Advertisement
The highway stretch is around 74.5 km long and is part of the toll-operate-transfer (TOT-18) bundle awarded by the National Highways Authority of India. The trust had secured the project earlier after emerging as the preferred bidder under the government's asset monetisation programme, which focuses on leasing operational road assets to private players for long-term management.
Under the agreement, IRB Infrastructure Trust paid an upfront concession fee of INR 3,087 crore to NHAI. In return, it has received the rights to operate, maintain, and collect toll on the stretch for a period of 20 years. The structure of the TOT model allows the company to generate revenue from existing traffic without taking on construction risk, ensuring relatively stable and predictable cash flows.
The Chandikhole Bhadrak stretch is a part of the Golden Quadrilateral network, which connects major economic centres across the country. This corridor carries a mix of passenger and commercial traffic, including freight movement between eastern and southern regions. The steady traffic base is expected to support toll collections over the concession period.
With the addition of this asset, IRB Group has entered Odisha, expanding its footprint to 13 states. The project also adds nearly INR 1,600 crore to the company's operations and maintenance order book, strengthening its overall portfolio of managed highway assets.
In the past, IRB Infrastructure Trust has been active in acquiring similar assets under the TOT programme. Its earlier win under the TOT-17 bundle in Uttar Pradesh had already strengthened its tolling portfolio. The latest addition continues this strategy of scaling through brownfield highway assets rather than focusing only on new construction projects.
IRB Infrastructure Developers, the sponsor of the trust, remains one of the leading private toll road operators in India. The company has been focusing on increasing its share of revenue-generating assets, which provide long-term visibility and reduce dependence on project execution cycles.
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