NHAI announces stricter ways to ensure quality development

NEW DELHI: The National Highways Authority of India (NHAI) announced a new policy as a strict measure to deal with major lapses in structures. This will levy up to Rs 10 crore fine for defaulters, debarment and ban on the firm or personnel from bidding on any future NHAI projects for up to a period of three years. The aim of the move is to maintain high quality standards in development of highways.

The defaulting contractors or concessionaries will also have to rectify the shortcomings on their own cost. Additionally, the company will be debarred for up to 1 year, will bear penalty of up to Rs 5 crore, and concerned personnel will be debarred for up to two years from projects of NHAI. The report from NHAI also stated that in cases of minor lapses wherein no causalities are reported, the contractors or concessionaries responsible for the default will have to bear the expenses of rectification work, along with penalty of Rs 30 lakh. A written warning to the company as well as the personnel involved will also be issued.

NHAI said that any consultancy company involved in the project will also be held liable for default and will be liable to pay fine of up to Rs 40 lakh along with receiving debarment from NHAI projects for up to two years. It added that any subsequent default by the company or personnel will levy an additional penalty by an extra 50 per cent as compared to the penalty that was imposed in the previous instance of lapse.