Question : CONTRACTORS FOR NHS



(a) the criteria/norms laid down by the Government for award of construction work of national highway to contractors;

(b) the target fixed for completing the construction work during the year 2014-15 and the extent of construction work completed till date; and

(c) steps taken to expedite the pending works?

Answer given by the minister



THE MINISTER OF STATE IN THE MINISTRY OF ROAD TRANSPORT AND HIGHWAYS (SHRI PON. RADHAKRISHNAN)

(a) National Highways Projects are awarded on the basis of Model Concession Agreement (MCA) for Public Private Partnership (PPP) Projects, Standard Bidding Document (SBD) for Item Rate Contract and Engineering Procurement & Construction (EPC) Model Documents for EPC projects. Under PPP mode there are two type of road projects i.e. Built Operate & Transfer (BOT) Toll and BOT(Annuity).  BOT (Toll) shall be awarded to the bidder quoting the highest premium and in the event that no bidder offers a premium, then to the bidder seeking the lowest grant. In case of BOT (Annuity) projects, the project shall be awarded to the bidder seeking the minimum annuity for executing the project. In case the EPC projects, the projects shall be awarded to the bidder quoting lowest cost.

(b) Against the target of 6300 km for construction under various schemes of the Ministry during the current year, 3038 km have been constructed till 31st January, 2015.

(c) To expedite completion of the projects various steps have been taken which include streamlining of land acquisition, streamlining of environment clearances, exit for equity investors, premium re-schedulement, securitization of road sector loans, close coordination with other Ministries,   revamping of dispute resolution mechanism, frequent reviews at various levels etc.

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