The contractual framework of a project allocates risks between the
various commercial parties and determines the risk profile that
will be presented to the projects's proposed lenders.
The list of major contracts for projects include: Concession
agreement, licence or mineral lease; Construction contract or a
development management agreement; Supply agreement; Sales
agreement; Operating agreement. Other major contracts may exist in
any particular project depending on the structure adopted.
The Borrower would have to obtain certain statutory and
non-statutory clearances required for projects like Techno Economic
Clearance, Pollution, Environment and Forest Clearance, Company
Registrations, financing and land availability/concession etc.
The promoter while making the application to the financial
institutions files copies of documents most important of which are:
(i) Copy of letter of allotment of plot/sale deed in favour of the
Borrower for the plot. (ii) Detailed plan of building approved by
the local body. (iii) Partnership Deeds/Articles of Associations
and Memorandum etc. (iv) Certificate of incorporation. (v) Balance
sheet and profit and loss account. (vi) Copy of project report.
In large infrastructure projects concessions for land lease from
Indian/State Government Authority are usually required. Often the
State Government co-sponsors the project company for facilitation
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