WHAT IS SSA?

The State Support Agreement SSA is a must for every BOT project, as it ensures that the states involved in the projects will extend their required co-operation to the private firm concessionaire that has been awarded the project for implementation. A crucial clause in the agreement stipulates that the state government will not construct a road facility that will compete with the tolled road project that the concessionaire will operate. So, the SSA ensures the commercial viability of the project for the contractor. In case a state refuses to sign a SSA, private companies will not be keen to bid for the project fearing the state8217;s intention to build a competing road that will eat into their toll collection.