Question : Role of Construction Companies for Completion of NH Projects

(a) whether the work of national highways projects have been judged as completed even if these are not completed; if so, the reasons therefor;

(b) whether the CAG have said in its report that the construction companies have been paid crores of rupees as bonus for these projects, if so, the reasons therefor;

(c) the amount paid to such companies as bonus instead levying of fine and the names of such companies; and

(d) the highways for which this amount has been paid?

Answer given by the minister

THE MINISTER OF STATE IN THE
MINISTRY OF ROAD TRANSPORT AND HIGHWAYS

(SHRI PON. RADHAKRISHNAN)

(a) The Independent Engineer issues Provisional Completion Certificate/ Completion Certificates of the projects after ensuring the project highway that can be legally, safely and reliably placed in Commercial Operation as per the provisions of the concession/ contract agreements.

(b) to (d) The CAG in its Report No. 15 of 2016 (Volume II) ( Para No. 2.1 & 2.2) have pointed out payment of Bonus to following two concessionaires for early completion of the project:-

(i) M/s Mokama - Munger Highway Limited for construction of two-lane road on the Mokama - Munger Section of NH-80 in Bihar – Bonus of Rs. 21.83 crore was paid by NHAI for early completion of the project as per the provisions of the concession agreement.

(ii) M/s Hazaribagh Ranchi Expressway Limited, Ranchi (the Concessionaire for construction, of four laning Hazaribagh – Ranchi Section of NH – 33 in the State of Jharkhand. Bonus of Rs. 47.05 crore was paid by NHAI for early completion of the project as per the provisions of the concession agreement.

The bonus was released by National Highway Authority of India (NHAI) as per the provisions of concession agreement and on the recommendations of Independent Engineer. Action Taken Note of C&AG Paras have been furnished to C&AG justifying release of bonus.

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