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MoRTH mandates tighter oversight on state-implemented NH projects

Source : PTI | 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.
Source: worldautoforum.com