Question : AWARDING OF ROAD PROJECTS UNDER NHDP

(a) whether construction work on several Highway projects under different phases of the National Highway Development Programme (NHDP) including Phase-IIIA could not take off since contracts could not be awarded for them or bidders could not be found during each of the last three years and the current year;

(b) if so, the details thereof during the above period, State-wise, NH-wise, NHDP phase- wise alongwith the reasons therefor;

(c) whether the Government proposes to offer incentives/relax existing bidding rules to attract private participation in road projects;

(d) if so, the details of the norms proposed to be relaxed;

(e) whether such relaxation in norms would amount to compromising with regulations stipulated for such projects;

(f) if so, the details thereof and reaction of the Government thereto;

(g) whether the Government proposes to approve the formation of Empowered Group of Ministers to fast track highway projects; and

(h) if so, the details thereof alongwith the steps taken by the Government to ensure that projects are awarded and implemented on time?

THE MINISTER OF STATE IN THE MINISTRY OF ROAD TRANSPORT & HIGHWAYS (SHRI R.P.N. SINGH)

(a) to (b) The details of the projects which could not be awarded during each of the last three years are enclosed as Annexure-I. The reasons include the bids having not been found reasonable or only single bid having been received. In some of the projects, no bids were received or the, bidders withdrew in view of the economic downturn during 2008-09 onwards.

(c) to (d) The Government has approved certain modifications to the Model Request for Qualification (RFQ) and Request for Proposal (RFP) for the road sector projects incorporating the recommendations made by the B.K. Chaturvedi committee keeping in view certain unique requirements of the sector and the need to provide certain flexibility for amendment of provisions which inhibit market acceptability. These include provisions relating to ‘Threshold Technical Capability’, ‘Eligible Projects’ and ‘definition of associates’, forfeiture of bid security of bidders on account of non-responsiveness, Eligibility of applicants/conflict of interest-common shareholding levels and continuation of conflict of interest’, and ‘substitution of projects wise prequalification by annual/periodic pre- qualifications’. Any further amendment wherever necessary, will be carried out by the Ministry on the basis of recommendations of NHAI Board.

(e) to (f) No, Sir.

(g) to (h) Government has set up an Empowered Group of Ministers comprising of the Finance Minister, Minister of Road Transport & Highways and Deputy Chairman, Planning Commission. The details of the steps taken by the Government to ensure that the projects are awarded and implemented on time are enclosed as Annexure-II.