Contractors with poor National Highway work records face bidding bans, ensuring road quality and accountability.

In a decisive move to ensure the quality and durability of national highways, the government has announced that contractors found to be delivering substandard work will face a ban from bidding on future projects. This measure aims to hold construction companies accountable and improve the overall standards of highway construction across the country.

The new policy, which has been implemented by the National Highways Authority of India (NHAI), will penalize contractors for constructing poor-quality roads. Contractors who are found guilty of poor workmanship could be fined between Rs 1 crore and Rs 10 crore, as determined by the authority. The policy also allows NHAI to impose graded penalties, including substantial fines and the potential ban from bidding on future road projects for up to three years.

Beyond financial penalties and bidding restrictions, contractors will also be responsible for covering all expenses related to rectifying the damaged roads. Similar penalties and contract prohibitions will be applied to consultants involved in road work that leads to accidents. In cases of major failures resulting in fatalities, consultancy firms could face fines of up to Rs 40 lakh and be barred from road projects for two years, with key personnel prohibited from working under NHAI for three years.

This stringent action comes in response to increasing concerns regarding the quality of highway construction and rising instances of damage to newly constructed roads. Instances of structural failures and damage to highway stretches have been reported from various states, prompting the Ministry of Road Transport and Highways to take a stricter stance on quality control.

To further enhance quality control, NHAI is implementing a multi-tiered system. The primary responsibility for quality control rests with the contractor, who must have a dedicated quality control team and on-site laboratory. The Authority Engineer's QA team provides a second level of oversight, independently verifying the contractor's results and supervising critical construction activities. NHAI also conducts independent audits to ensure the system functions correctly. Furthermore, advanced techniques, such as Independent Quality Auditors (IQAs), laboratory testing, and modern technologies like drones and sensor-based systems, are being used for comprehensive oversight.

In addition to penalizing poor performance, NHAI has introduced a performance-based rating system for road building firms. Contractors will be classified into categories ranging from "excellent" to "failed" based on their scores. Contractors scoring below 70 out of 100 will be deemed "non-performers" and will be ineligible for new projects until their rating improves. The rating will be updated every six months at both the individual project and concessionaire levels and made available on the NHAI website. The assessment methodology will be based on the Pavement Condition Index (PCI) and compliance on the NHAI One App, where defects can be reported and monitored digitally.

These measures reflect a commitment to building strong, safe, and durable highways that prioritize safety, longevity, efficiency, and environmental sustainability. By enforcing stricter quality control norms, imposing penalties for substandard work, and implementing a performance-based rating system, the government aims to raise the bar for highway construction and ensure that contractors deliver high-quality infrastructure for the nation.


Written By
Aarav Verma is a political and business correspondent who connects economic policies with their social and cultural implications. His journalism is marked by balanced commentary, credible sourcing, and contextual depth. Aarav’s reporting brings clarity to fast-moving developments in business and governance. He believes impactful journalism starts with informed curiosity.
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