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Time of India
20-05-2025
- Business
- Time of India
MoRTH mandates tighter oversight on state-implemented NH projects
The Ministry of Road Transport and Highways (MoRTH) has issued directives to expand oversight of regional officers on National Highway works implemented by state public works departments and road construction departments. In a circular, the highways ministry said critical lapses have occurred due to lack of due diligence in several projects pertaining to NH works implemented by state public works departments and road construction departments (PWDs/RCDs). According to the circular, the ministry's regional officers (ROs) are sometimes neither consulted nor involved during the bidding process or while defending contractual disputes before arbitration tribunals or courts, wherein such disputes are dealt with mechanically often without adequately safeguarding the interests of the Central government or aligning with the ministry's position. 'In order to prevent recurrence of such issues and to ensure greater due diligence in the bidding process... For all NH project works (including those costing less than Rs 100 crore but excluding maintenance works), the bid documents especially the Schedules prepared by State PWDs/RCDs shall be scrutinised by the concerned RO prior to invitation of bids,' it said. As per the circular, ROs shall examine the bid documents for any anomalies, inconsistencies, or deficiencies, particularly with respect to quantities, specifications, and contract conditions and also conditions imposed by the appraising and approving authority. 'It is imperative that ROs remain actively involved in all legal contractual disputes adjudication processes including arbitration matters related to NH works. 'State PWDs/RCDs shall not pursue such matters independently without consultation with ROs,' the circular said. It also said all replies, statements of defence, and written submissions intended for courts / arbitrations shall be vetted by the ROs and returned after scrutiny with comments or amendments, as the case may be, before submission within a period of 15 days failing which, the replies, statements or submissions may be deemed cleared. 'ROs shall ensure that these submissions are aligned with contractual terms or Ministry policy and protect the interests of the Central government,' the circular said. Where necessary, it said, ROs may engage legal experts from NHAI-empanelled law firms for advice and support.
The Hindu
20-05-2025
- Business
- The Hindu
Road ministry cites 'critical lapses', expands oversight on NH works implemented by states
The Ministry of Road Transport and Highways (MoRTH) has issued directives to expand oversight of regional officers on National Highway works implemented by state public works departments and road construction departments. In a circular, the Highways Ministry said critical lapses have occurred due to a lack of due diligence in several projects pertaining to NH works implemented by state public works departments and road construction departments (PWDs/RCDs). According to the circular, the ministry's regional officers (ROs) are sometimes neither consulted nor involved during the bidding process or while defending contractual disputes before arbitration tribunals or courts, wherein such disputes are dealt with mechanically often without adequately safeguarding the interests of the Central Government or aligning with the ministry's position. 'In order to prevent recurrence of such issues and to ensure greater due diligence in the bidding process... For all NH project works (including those costing less than ₹100 crore but excluding maintenance works), the bid documents, especially the Schedules prepared by State PWDs/RCDs shall be scrutinised by the concerned RO prior to the invitation of bids,' it said. As per the circular, ROs shall examine the bid documents for any anomalies, inconsistencies, or deficiencies, particularly with respect to quantities, specifications, and contract conditions and also conditions imposed by the appraising and approving authority. 'It is imperative that ROs remain actively involved in all legal contractual disputes adjudication processes including arbitration matters related to NH works. 'State PWDs/RCDs shall not pursue such matters independently without consultation with ROs,' the circular said. It also said all replies, statements of defence, and written submissions intended for courts / arbitrations shall be vetted by the ROs and returned after scrutiny with comments or amendments, as the case may be, before submission within a period of 15 days failing which, the replies, statements or submissions may be deemed cleared. 'ROs shall ensure that these submissions are aligned with contractual terms or Ministry policy and protect the interests of the Central Government,' the circular said. Where necessary, it said, ROs may engage legal experts from NHAI-empanelled law firms for advice and support.
Indian Express
19-05-2025
- Business
- Indian Express
‘Critical lapses occurred': Road Ministry expands oversight on NH works executed by States
Citing 'critical lapses' that occurred due to lack of due diligence, the Ministry of Road Transport and Highways (MoRTH) has issued new directives to enhance oversight on National Highway (NH) works carried out by state public works departments and road construction departments (PWDs/RCDs). The new directive has significantly increased the role for the ministry's regional officers (ROs) in the project lifecycle, from bid preparation to managing legal disputes. Along with National Highways Authority of India (NHAI) and National Highways & Infrastructure Development Corporation Ltd. (NHIDCL), state PWDs/RCDs are other key agencies who implement road projects for MoRTH. 'It has come to the notice of the Ministry that in several projects pertaining to NH works implemented by State PWDs/RCDs, critical lapses have occured due to lack of due diligence…Such lack of due diligence has led to unnecessary contractual disputes, legal complexities and financial liabilities for the central government,' states the circular dated May 16, 2025. 'It has also been observed that ROs are sometimes neither consulted nor involved during the bidding process or while defending contractual disputes before Arbitration Tribunals or Courts, wherein such disputes are dealt with mechanically often without adequately safeguarding the interest of the central government or aligning with the Ministry's position,' reads the letter further. Taking note of the situation, the ministry said that for all NH project works (including those costing less than Rs. 100 crore but excluding maintenance works), the bid documents prepared by state PWDs/RCDs must undergo thorough scrutiny by the concerned RO prior to the finalisation of bids. ROs will examine the bid documents for any anomalies, inconsistencies or deficiencies, particularly with respect to quantities, schedules, specifications, and contract conditions. 'It is imperative that ROs remain actively involved in all legal contractual disputes adjudication processes including arbitration matters related to NH works. State PWDs/RCDs shall not pursue such matters independently without consultation with ROs,' said the Ministry. A senior official of MoRTH said that a detailed guideline will soon be issued by the Ministry in this regard. The Ministry also permitted ROs may engage legal expert from NHAI-empanelled law firms for advice and support. Dheeraj Mishra is a Principal correspondent with The Indian Express, Business Bureau. He covers India's two key ministries- Ministry of Railways and Ministry of Road Transport & Highways. He frequently uses the Right to Information (RTI) Act for his stories, which have resulted in many impactful reports. ... Read More
