Road-traffic Safety Quiz
June 11, 2008
NHAI terminates road contract awarded to MP-owned company
April 21, 2008
Parliament member Samba Siva Rao’s Progressive Constructions was unable to build 55km road
New Delhi: Under pressure for poor results and with the government seeking an overhaul of its management team, the National Highways Authority of India, or NHAI, the country’s road regulator, has begun axing contracts for non-performance, including those awarded to companies with powerful political connections.
These troubled contracts are partially to blame for holding up completion of the so-called Golden Quadrilateral that would connect four regions of India through 5,846km of four-laned highways. Within the last month, NHAI has cancelled two contracts and encashed their bank guarantees.
The more high profile of the two was the termination of a contract awarded to a company run by the family of a Congress party member of Parliament, Kavuru Samba Siva Rao.
“These contracts had to be terminated because they had defaulted,” said NHAI chairman N. Gokulram, refusing to discuss the matter further.
As many as eight contracts under the Golden Quadrilateral have already been terminated between 2006 and 2007. Of the 5,846km of highways that were to be four-laned under the project, NHAI is yet to complete 206km.
Hyderabad-based Progressive Constructions Ltd, which was set up by Rao, a four-term MP, and is managed by his son Bhaskar Rao, was not able to complete the 55km stretch even four years after the initial deadline expired. Consequently, NHAI terminated the contract and encashed a bank guarantee of around Rs50 crore submitted by the company when it was awarded the Sunakhala–Ganjam highway project.
NHAI officials, who did not wish to be identified, insist that this is just the beginning and it “would spare no one regardless of their political connections”.
A dozen contracts, whose performance is holding up completion of the Golden Quadrilateral project which was started by the National Democratic Alliance government in 1998, but is yet to be completed, are being scrutinized by NHAI.
According to officials in the ministry, Progressive was awarded the contract in 2001. The highway work was to be completed by 2004. When the contract was terminated last month, the company was only half-way done, with the project valued at Rs163 crore.
“I am not looking after these things (management). My son Bhaskar Rao runs the company,” said Rao, adding that there was also a feeling among contractors that “all was not well with NHAI.”
While the MP declined to elaborate the reasons for not being able to proceed with the project, he maintained that problems faced by the contractors, such as land acquisition, threat from Naxalites and law and order issues, have not been addressed.
“NHAI could not hand over the land within the time frame and in the sequence as was stipulated in the contract. This has affected the project,” insisted a senior executive with Progressive.
NHAI has also terminated the contract of Prakash-Atlanta, a joint venture between Prakash Building Associates Ltd and Atlanta Infrastructure Ltd, for failing to complete the Lucknow bypass on time. An NHAI officer said the regulator had also encashed the bank guarantee of Rs28 crore from the company.
However, the company says that it was its contractor who had initiated the termination proceedings. In a 14 March letter addressed to the NHAI chairman and the consulting engineer for the project, a copy of which was viewed by Mint, the contractor requested that the contract be terminated and NHAI provide compensation.
The letter said the contract was supposed to be completed in 30 months by August 2004. The contractor, however, alleged that a number of problems, including land acquisition and variance in scope of work, dogged the project.
“Another problem is the quality of the detailed project reports,” said an official with the company, who did not wish to be quoted. The project went to an arbitration tribunal following disputes over variation in costs of the project.
“Now it has become crystal clear to us that the policy of NHAI is to use the contractor as a resource and exhaust him completely before termination of the contract wrongfully and illegally, and further crippling the contractor by making demands on securities and bank guarantees,” the letter stated.
The letter also said the contractor filed two separate termination notices to NHAI. Each time, the contractor was persuaded to continue work on the project.
“On the one side, the government is insisting on completion. On the other side, bankers and shareholders are asking for results. So, any delay in finalizing the bills or making payments from government side may have lot of impact on the promoters credibility with the bankers and also with the government and of course the investors,” said Murali M., director general of the National Highways Builders Federation.
Source: livemint.com
Road expansion along Singjamei side on NH-39
April 17, 2008
Road expansion along Singjamei side on NH-39
Non-utilisation of funds curse continues to haunt
Imphal, April 17: The work on upgrading the National Highway-39 stretch from Moirangkhom to Singjamei Bazar to a four-lane has been stalled as the Ministry of Shipping, Road Transport and Highways, Government of India is hesitant on releasing the required fund in view of the failure to utilise the fund sanctioned earlier for various works.
The Ministry also seems to see no point or urgency in converting the road stretch to a four-lane in view of the existing traffic volume along the said National Highway.
Speaking to The Sangai Express an official source in the Works Department of the State Government, said that the Government of Manipur has spent Rs 11.45 crores till date in giving compensation to the owners of the land and buildings that were demolished for the purpose of expansion and upgradation of the road from Moirangkhom to Singjamei Bazar to a four-lane.
The source disclosed that for implementing the task of upgrading the road stretch to four-lane, the Works Department had submitted a DPR of Rs 6 crores to the Ministry of Shipping, Road Transport and Highways for carrying out the task from Singjamei Parking to MU Main Gate during 2006-07 besides another DPR of Rs 18.5 crores for the task from Ist MR Gate to Singjamei Parking.
The DPRs of the Works Department have been included in the work programme of the annual plan of the Ministry.
But inspite of several reminders, the Ministry has not sanctioned the required fund, thus putting the proposal of upgrading the road stretch to four-lane to a grinding halt, the source said.
Nonetheless, in the month of January this year, the Ministry gave its approval for sanctioning Rs 8 crores for taking up the work from Singjamei Parking to MU Main Gate.
Accordingly, the process for inviting tender is already underway, the source informed.
As for the road upgradation work from Ist MR Gate to Singjamei Parking, the required fund is yet to be sanctioned by the Ministry, the source said, adding that the State Public Works Department would be exerting pressure on the Ministry for sanctioning the fund.
In connection with the refusal of the Ministry to sanction the required fund for upgrading the road from Moirangkhom to MU Main Gate to four-lane, the source disclosed that the Ministry has conveyed verbally to the officials of the Works Dept that conversion of the NH stretch into four-lane is not necessary in consideration for the current traffic volume along the said route.
On top of this, the Ministry has also made it clear that the fund sanctioned earlier for development of the National Highway stretch from Maram to Moreh should be utilised properly first, the source disclosed.
Conceding that the fund sanctioned by the Ministry during 1996-1997 for construction/repairing of the bridges at Pallel and Lokchao has not been able to utilise till date, the source, however, claimed that most of the works that have been sanctioned by the Ministry during 2003-04 are nearing completion.
Source: e-pao.net
Sternon launches Phase 2 of ‘Magic Hills’ NRI project in Navi Mumbai
April 12, 2008
Awarding of contract for the Mumbai-Navi Mumbai, 22-km iconic bridge to the Anil Ambani-led consortium pushes realty prices.
Dubai-based Sternon Group has launched the second phase of its NRI project ‘The Magic Hills’ in Navi Mumbai, as plans for the much-awaited 22-km sea bridge linking the Mumbai metropolis to Navi Mumbai have finally started taking shape.
Navi Mumbai, the planned city that had long suffered due to lack of fast-track connectivity to the Mumbai metropolis, has got the biggest boost in recent history following the awarding of the contract for an ambitious trans-harbour bridge to an Anil Ambani-Hyundai consortium, spurring greater interest among Non-Resident Indian (NRI) investors in Navi Mumbai real estate.
According to Sternon Group, which is developing the NRI mega-project ‘The Magic Hills’ on Mumbai-Pune Expressway in partnership with Mumbai-based Garnet Construction, the real estate market is extremely upbeat following the new development. Sternon Group recently commenced work on the first phase of Magic Hills Residences which was sold out, and has now launched the second phase.
“For several years, there was just talk of a fast-track sea link between the highly congested Mumbai metropolis and the satellite city of Navi Mumbai. Now, that need is being fulfilled through a world-class trans-oceanic bridge that will reduce the commuting time between the twin cities to mere 30 minutes, instead of two hours at present,” said Hussaini F. Nalwalla, Managing Director, Sternon Group.
“The immediate impact of the news is that real estate prices have begun to climb higher, making Navi Mumbai one of the hottest investment destinations in India. We have now launched the second phase of Magic Hills Residences to offer global NRIs another chance to be part of Navi Mumbai real estate boom,” added Nalwalla.
The Sewri-Nhava Sheva bridge is India’s answer to China’s famous 36-km Hangzhou Bay Bridge. Billed as India’s biggest infrastructure project to date, it will be completed in 2013. Contract for the six-lane, 22-km trans-oceanic bridge, estimated to cost over Rs. 6,000 crores, has been awarded to the Anil Ambani-Hyundai consortium. The bridge route will provide a straight link to the upcoming Navi Mumbai International Airport, as it connects the JNPT Port and the southern part of Navi Mumbai leading to Panvel.
The iconic bridge is among the four mega-projects that are driving real estate in Navi Mumbai. The second is the Rs. 10,000 crore Navi Mumbai International Airport to be completed in 2012, boasting two runways. The third is the Special Economic Zone (SEZ) being developed by Mukesh Ambani. The fourth is the Bahrain-based Gulf Finance House’s $10 billion SEZ ‘Energy City India’ spread across 1,600 acres, to be completed in five years.
On the real estate scene, most of the land in Navi Mumbai has been snapped up by builders and developers for townships, five-star hotels and commercial complexes. The Hiranandani Group recently launched ‘Panvel Residential’, a massive complex, which will be part of the mixed-use Panvel Commercial Township.
“For NRIs looking for a sound investment or a second home in India, Navi Mumbai undoubtedly represents a highly attractive option,” said Nalwalla. “Realty analysts are of the view that the Mumbai-Pune Expressway, with easy access to hills stations like Lonavla and Karjat, as well as boom-town places like Pune and Goa, is set to be the hottest investment destination.”
Sternon’s ‘Magic Hills’ is a residential cum commercial project, located close to the Navi Mumbai International Airport. The promoters have recently acquired additional land, taking the total area to 750 acres. The second phase offers villas, row-house and plots, as well as high-end villas for upmarket investors and home-seekers. The future phases of the project will have commercial, IT and educational complexes.
Source: arabianbusiness.com
Haryana govt inks MoU with NHAI for construction of Delhi-Rohtak six laning road
April 8, 2008
CHANDIGARH: Haryana Government has signed a Memorundum of Understainding (MOU) with National Highway Authority of India (NHAI)for construction of six laning of Delhi-Rohtak road costing Rs 487 crore and it would be completed within next 30 months.
This was revealed by the Haryana PWD B&R Minister, Capt. Ajay Singh Yadav while interracting with the mediapersons after flagging of Mobile Highway Maintenance Van here Tuesday.
Capt. Yadav said that this prestigious Delhi-Rohtak project of six laning would be 63 km long and would have 16 fly over and three railway over bridges. He said that 16 km long bypass would be
constructed at Bahadurgarh and 23 km long bypass would be constructed at Rohtak.
The Minister said that the department had executed a record number of works under National Highway and Central Road Fund Schemes.
He said that Rs 120 crore had been spent on NABARD works besides a sum of Rs 450 crore had been sanctioned during last year by the Ministry of Rural Development under the PMGSY Scheme. While during the previous regime a sum of Rs 100 crore was incurred within a span of five years
under PMGSY scheme.
Capt. Yadav said that similarly under the National Capital Region Planning Board a sum of Rs 1200 crore had been sanctioned while only a sum of Rs 65 crore were incurred during the previous regime under NCR schemes.
He said that during next two years, a sum of Rs 2000 crore would also be incurred for improving the infrastructure in the State under the Rajiv Gandhi Road Infrastructure scheme. This programme was
launched in the State on October 7, 2007 by the UPA Chairperson, Sonia Gandhi from Dadri district Bhiwani.
The Minister said that NHAI would incur a sum of Rs 5000 crore in the State for strengthening the road infrastructure and a number of works were in the pipeline. He said that a sum of Rs 588 crore would be incurred on Gurgaon-Nuh-Alwar road and Hodal-Nuh-Patudi road.
He maintained that a sum of Rs 1500 crore was required in the State during next two year to bring the road into a proper shape.
Yadav said that department had decided to procure these funds from various sources which included a sum of Rs 400 crore from National Capital Region Planning Board, Rs 250 crore from NABARD, Rs
350 crore from PMGSY and the rest money would be spent from the state resources.
He said that the department had also incurred a sum of Rs 400 crore for the construction of various government buildings during last year which was more than the total amount spent on construction of public building during previous regime.
He said that a number of bypasses which included Rewari, Sirsa, Kaithal and Dadri were being constructed. He revealed that Nirman Sadan was being constructed in sector 33, Chandigarh and it wouldbe constructed in two phases, the Chief Architect office would be ready within next three months while the office of PWD B&R would be ready by December end.
Capt. Yadav said that the main aim of starting Mobile Highway Maintenance Van to enable carrying out maintenance work of patch work on Highways besides these vans would be eco-friendly, pollution free, economical and very easy to handle. In the first phase, such 10 mobile
vans would come in operation from Wednesday.
The Commissioner and Secretary PWD B&R, K.K. Jalan said that Panipat flyover was almost ready and the final inspection of the same would be made on April 9.
He said that the testing for the same had already been completed and it would be opened for the public in the last of this month or in the first week of May. He said that a commuter had to pay a sum of Rs 20 as toll tax. He said that Panipat over bridge had been completed 8 months before the scheduled time.
Engineer-in-Chief, Mahesh Kumar said that about 12,000 crore would be spent by the Haryana Government in maintenance, construction and repair of roads and bridges during the tenure of present government. Out of this, a sum of Rs 4500 crore would be incurred by the NHAI and the rest would be incurred by the State Government. He said that a total sum of Rs 5000 crore was required to make six laning road from Dehi to Chandigarh.
On the occasion Chief Engineer, Roads, Mahavir Singh and Chief Engineer, Buildings, G.D. Goel and senior officers of the department were also present.
Source: punjabnewsline.com
State agency offers ‘permanent’ solution
April 8, 2008
A perpetual or permanent road is a long-life bituminous road that needs no maintenance, is of superior quality and ideal for heavy-traffic corridors
Bangalore: Bumpy rides on Indian roads may soon be a thing of the past, if the Central Road Research Institute, or CRRI, has its way. The institute is compiling a report on its research on introducing perpetual roads— that last as long as 30 years without cracking—in the country.
Perpetual roads are hugely popular in the US and China.
“Perpetual roads are the future for important roadways like the national and state highways where maintenance is a huge concern and need to be refurbished because of high traffic volume,” said Sunil Bose, deputy director of pavements at CRRI, which has just completed laboratory tests on perpetual roads in India.
Once the report is complete by July, the New Delhi-based institute wants to collaborate with the National Highways Authority of India, or NHAI, and run a pilot project on a stretch of the National Highways Development Project (NHDP).
A perpetual or permanent road is a long-life bituminous road that needs no maintenance, is of superior quality and ideal for heavy-traffic corridors such as the national highways, said Bose. It has three layers: a wear-resistant top layer, an intermediate layer and a fatigue-resistant base layer, he said.
In India, important roads are overloaded with traffic and therefore suffer harsh weathering, leading to cracks and potholes. Entire structures have to be rebuilt every four-five years at high cost. According to NHAI data, India’s 66,590km of national highways, for example, constitute 2% of its road network but carry 40% of the traffic.
Nirmaljeet Singh, technical member at NHAI, said despite good construction, NHDP roads invariably deteriorate due to the heavy traffic and have to be relaid every five years.
Road experts say that in perpetual roads, the layer of bitumen, a petroleum product that is used to lay roads, is 25-30% thicker than the usual 900mm, and of better quality, giving the roads a stronger cover.
“We are open to such research but it needs to be tested and seen whether it suits our roads and can be effectively maintained in the long run,” said Singh.
These roads are also less expensive in the long term, says CRRI. Bose said that while the cost of building 1km of any NHDP road is around Rs4.2 crore, a perpetual road would cost 25% more. However, these roads would last much longer, recovering the additional costs.
“Perpetual roads are a boon for the economy because goods are delivered on time and there is less fuel wastage because of reduced obstruction in traffic movement. And once you construct these roads, they don’t deteriorate,” said B.B. Pandey, emeritus professor of civil engineering at the Indian Institute of Technology, Kharagpur.
Source: www.livemint.com
20-year delay for Shillong bypass
April 5, 2008
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| P.R. Kyndiah: Hopeful |
Shillong, April 4: Union tribal affairs minister P.R. Kyndiah and officials of the National Highways Authority of India (NHAI) visited Ri Bhoi district today, concerned over the delay in the construction of the Shillong bypass.
The construction of the bypass has been delayed for more than 20 years because of problems in land acquisition and hurdles imposed by red tape.
Kyndiah said the delay in completing the bypass has caused hardship to the people of the state and the rest of the Northeast, as traffic congestion has become the order of the day.
Once the bypass is constructed, the trucks plying through Shillong will be diverted through the bypass to reduce traffic snarls.
He said the land acquisition process was nearly complete and the proposal is now pending with the Union ministries of shipping, road transport and highways.
The cost of the project is Rs 220.35 crore and the length of the proposed bypass is 47.06km, starting from National Highway 40 at Barapani in Ri Bhoi district and ending at National Highway 44 at Mawryngkneng in East Khasi Hills district.
Truck movement along the National Highway 44, which passes through Shillong, is at present banned for 12 hours.
Kyndiah said once the Union transport ministry sanctions the project, the proposal will be sent to the Union finance ministry for approval.
The tender for the project will be called after the clearance and the NHAI will execute the project.
“I am taking up the matter with both the ministries so that the work can start at the earliest,” Kyndiah said, adding that the Union ministry of environment and forests has also cleared the project.
The NHAI will construct one major bridge and eight minor ones to complete the bypass.
The general manager of NHAI, D. Gogoi, accompanied Kyndiah on the tour.
He said Rs 19 crore has been released as land compensation in East Khasi Hills and Rs 5 crore will be released for the landowners in Ri Bhoi district soon.
Source: www.telegraphindia.com
DR. KARUNANIDHI TO INAUGURATE FOUR NHAI PROJECTS IN CHENNAI
April 4, 2008
DR. KARUNANIDHI TO INAUGURATE FOUR NHAI PROJECTS IN CHENNAI. ALSO TO LAY FOUNDATION STONE FOR FOOT OVER BRIDGE AT CHROMEPET
The Chief Minister of Tamil Nadu Dr. Kalaignar M., Karunanidhi will inaugurate four projects completed at a total cost of Rs. 80 crore by the National Highways Authority of India (NHAI) on Wednesday the 9th April 2008. He will also lay the foundation stone for Foot-over Bridge at Chromepet on the same day.
The function for the inaugural ceremony would be presided over by the Union Minister of Shipping, Road Transport and Highways Thiru T. R. Baalu and the Minister for Local Administration, Government of Tamil Nadu Thiru M.K Stalin would be the Chief Guest. The Guests of honour of the function would be Thiru M.P. Swaminathan, Minister for Highways, Government of Tamil Nadu and Thiru T.M. Anbarasan, Minister for Labour, Government of Tamil Nadu.
The Irumbuliyur Underpass has been built at a cost of Rs. four crore, four-laning of Chennai Bypass Phase-I up to Porur has been completed by NHAI at a cost of Rs. 70 crore, the pedestrian subway at Tirisulam has cost Rs. five crore and the Bus Shelter at Chromepet built under the MPLAD Scheme has cost Rs. 82 lakhs. The completion of the Irumbuliyur Underpass will facilitate right turn for the Tambaram Traffic to access Chennai Bypass and thereby quicker connectivity to the Golden Quadrilateral Corridor.
The Chromepet Foot-over Bridge for which the foundation stone will be laid on Wednesday to facilitate the commuters in crossing NH-45 to access the railway station on the other side and vice versa which provides rail connectivity to southern part of Tamil Nadu, would cost Rs. 2.40 crore.
Thiru T.R. Baalu has expressed the hope that with the completion of these four projects, the people living in and around these areas would be greatly benefited.
Source: pib.nic.in
Update on NHAI expressways projects
April 3, 2008
It is reported that, with access controlled expressways attracting massive investments, ministry of road transport & highways has decided to conduct the feasibility study for more such expressways and construction companies eyeing the access controlled expressway projects of National Highways Authority of India are likely to get investment opportunities for at least 4 such projects spread over 495 kilometer over the next few months. They are1) 70 kilometer Chandikhol Jagatpur Bhubaneswar – INR 761 crore2) 47 kilometer long Delhi Hapur – INR 474 crore3) 198 kilometer long Vijayawada Elluru Rajamundri – INR 1,602 crore4) 180 kilometer long Delhi Agra highway – INR 1,918 croreThe feasibility reports for these projects are already completed and the work is likely to be awarded in about 6 months. These projects are for widening the current 4 lane highways into 6 lanes and operating them for certain durations. Companies would have to bid competitively for these projects on a revenue sharing basis. Thus companies would have to bid on the extent of toll revenue that they are ready to share with the Government if they are allowed to operate the roads. Since these highways are already 4 lane stretches, the road operators can start toll collection even during the project construction phase from an appointed date, mutually decided by NHAI and the road operator. The toll revenues will be routed to an escrow account.Recently, NHAI has awarded 4 such mega projects of 882 kilometer length, which are likely to cost an estimated INR 10,912 crore. From the NHAI perspective, these projects have emerged as money spinners, with companies willing to foot the entire construction cost and part with 2% to 48.06% of their revenues in the initial leg of the project. At the end of the concession period, which is about 12 to 15 years duration, the winning firms have agreed to part with 12% to 59% share of toll revenues.The feasibility reports for another 10 projects of similar nature are under preparation. They are1) 315 kilometer long Kishangarh Udaipur stretch – INR 2,205 crore2) 235 kilometer long Udaipur Ahmedabad – INR 1,645 crore3) 190 kilometer long Varanasi Aurangabad – INR 1,330 crore4) 184 kilometer long Nellore Chilkaluripet – INR 1,288 crore5) 148 kilometer long Krishnagiri Walajapet – INR 1,036 crore6) 145 kilometer long Pune Satara – INR 1,015 crore7) 85 kilometer long Ludhiana Chandigarh – INR 595 crore8) 80 kilometer long Belgaum Dharwad – INR 560 crore9) 56 kilometer long Samakhiali Gandhidham – INR 392 crore10) 55 kilometer long Indore Dewas – INR 385 croreThe ministry has also decided to conduct the feasibility study for 4 such expressways between Delhi and Meerut, Chennai and Bangalore, Vadodara and Mumbai and Dhanbad and Kolkata. Source: http://steelguru.com
NHAI goes in for a board shake-up
April 3, 2008
The ministry of shipping, road transport and highways has been under severe criticism for NHAI’s inability to meet the deadlines for developing road projects in the country.
New Delhi: Ahead of plans to give out some 10,000km in road projects over the next year, the ruling United Progressive Alliance, or UPA, is replacing at least half of the six-member board of the National Highways Authority of India, or NHAI, the country’s apex road regulator.
The radical revamp of the board, the first of its kind, comes at a time when the ministry of shipping, road transport and highways, which works closely with NHAI, has been under severe criticism for its inability to meet the deadlines for developing road projects in the country.
The revamp comes at a time when the ministry of shipping, road transport and highways has been under criticism for its inability to meet the deadlines for developing road projects in the country
NHAI oversees the National Highway Development Programme (NHDP), under which, almost 33,097km of highways were to be four-laned. Barely 50% of the projects have been awarded so far. As of February this year, work on only 7,942km of highways have been completed; of this, work on around 5,500km was completed during the tenure of the National Democratic Alliance government, which preceded UPA.
NHDP, launched in 1996, was seen as a flagship programme for successive governments, especially since an estimated 60% of freight is still transported by road in the country. There are 66,000km of national highways in India.
Neither the minister, T.R. Baalu, nor the concerned officials, NHAI chairman N. Gokulram and road transport secretary Brahm Dutt, could be immediately reached for comment on Thursday evening. As a result, it is still not clear as to why the government has sought such an overhaul in the NHAI board. The changes have been effected over the past 15 days.
Mint has independently confirmed from various government officials who do not wish to be identified that three out of the six members on NHAI’s board were asked to return to positions at the ministry in the last fortnight. According to officers at NHAI who do not wish to be identified, one of the members C. Kandasamy has already been named a chief engineer at the ministry of shipping and road transport.
A.V. Sinha and Nirmaljeet Singh, too, are being forced to “come back” to their parent ministry. “In one case, the ministry said it would promote a junior officer thereby forcing an NHAI member—on deputation with NHAI—to seek repatriation (back to the ministry),” an officer at the regulator who did not wish to be identified added.
While Sinha could not be reached for comment, Nirmaljeet Singh and Kandasamy declined comment. “I am not with NHAI any more. And for any information pertaining to board members, please contact the chairman,” Kandasamy said.
The shake-up in NHAI’s board comes at a time when the regulator has been accused of not only failing to meet deadlines, but also misgovernance.
“In fact, one of the members was threatened with suspension because some projects in Tamil Nadu got delayed,” said the officer at NHAI.
Highway builders say working with NHAI is difficult primarily because officers refuse to make decisions. “You can say one contractor is bad or may be two contractors are bad, but how can all contractors be bad at the same time? It is the authority (NHAI) that refuses to make decisions for three years sometimes. We are tired of working for them,” said an executive with a highway builder who did not wish to be named. “Why is it, that the same contractors perform on time when it comes to work by the Delhi Metro Corporation?” the executive asked.
Contractors also claim that the authority is unwilling to release money for changes in the scope of work for fear of being investigated by the vigilance department. Mint had earlier reported that almost three in ten NHAI contracts end up in some form of arbitration or the other.
None of the contractors or highway builders contacted by Mint would speak on record, saying it could affect their chances of winning contracts from NHAI in the future.
Meanwhile, the NHAI officials said the board was being revamped because it did not agree with certain proposals made by the Planning Commission on guidelines for drafting tenders for upcoming projects.
“The fact is that the minister has been unhappy with the way the NHAI has functioned in the last year and so these changes are being contemplated,” said a senior government official, who did not wish to be identified.
NHAI has also been named in a court case filed by the National Highway Builders Federation, a trade body representing highway contractors, who claimed that recent pre-qualification criteria used by NHAI favour large bidders. The case is expected to be heard by the Delhi High Court on Friday.
One analyst said it was not fair to accuse only the board, saying that other organizations, such as the Planning Commission, were equally to blame for not ironing out policy issues related to work on NHDP. “The paranoia of the government (over being blamed for non-completion of highways in an election year) could be a factor,” said this analyst who did not wish to be identified.
Source: www.livemint.com