In the past two years, the National Highways Authority of India (NHAI) has taken decisive action against underperforming contractors and consultants, barring 29 firms from bidding on future projects due to concerns over poor quality work. This includes 12 construction companies and 17 consultancy firms. In addition to debarment, NHAI has imposed penalties totaling approximately ₹24 crore.
This stringent action reflects NHAI's commitment to maintaining high standards in highway development and addressing instances of substandard construction. The move came amid growing concerns about the quality of highway projects, with reports of newly built roads getting damaged due to poor workmanship.
Prime Minister Narendra Modi has also intervened, directing the Road Transport Ministry to establish clear norms and standards for subcontractors engaged by main highway builders. The aim is to ensure high quality of work during project execution. The ministry has also been instructed to rework the criteria for eligibility and selection of supervision engineers, who play a crucial role in quality compliance during construction.
NHAI has been actively identifying and taking action against non-performing contractors and developers. Show-cause notices were issued, and companies were given opportunities to respond. According to officials, the blacklisting decisions were made after rigorous scrutiny and examination.
Instances of poor quality work have included cracks in concrete pavements, lack of safety measures, missing road signages, and overall deficiencies in project execution. NHAI has also expressed concern over engineering consultants quoting "abnormally" low bid prices, which can negatively impact the quality of work.
In one instance, NHAI prohibited Gayatri Projects from participating in ongoing and future bids until defects on the Sultanpur to Varanasi stretch in Uttar Pradesh are completely rectified. Deficiencies in this project included cracks in concrete pavement and a lack of safety measures.
To further ensure accountability, NHAI has introduced a strict policy to deal with lapses in highway development. This policy includes graded penalties, with fines up to ₹10 crore for major lapses in structures, as well as debarment from future projects for up to three years. The policy also addresses minor lapses, with penalties and rectification work at the contractor's expense.
In cases of major lapses leading to loss of human life, heavy fines and debarment can be imposed, along with rectification by the defaulting contractors at their own cost. Consultancy firms involved in projects with lapses can also face fines and debarment.
NHAI has also taken disciplinary action against its own officers for negligence and dereliction of duty. In one instance, 26 NHAI officers, including general managers and deputy general managers, were suspended.
In a recent review of highway projects in Kerala following the collapse of an NH-66 stretch, NHAI Chairman Santosh Yadav directed two highway builders to complete the construction of new flyovers at the damaged locations at their own cost. They are also required to submit a monthly program for monitoring progress.
NHAI's efforts to ensure quality in highway construction extend to establishing a transparent and comprehensive 'Performance Rating' System for consultants, contractors, and concessionaires. This system, known as the 'Vendor Performance Evaluation System,' aims to promote accountability and improve the overall quality of highway projects.
These actions by NHAI demonstrate a strong commitment to quality and accountability in highway construction. By barring underperforming firms, imposing penalties, and implementing stricter policies, NHAI aims to ensure that highway projects are executed to the highest standards, providing safe and reliable infrastructure for the nation.