NHAI Secures Rs 8,199.6 Million in NH-44 Arbitration Rulings
In the first arbitration proceeding claims exceeding Rs 54,430 million (mn) were advanced on account of alleged loss of toll revenue termination payments and change of scope. The Authority contested entitlement and maintained that contractual termination followed defaults and deficiencies by the concessionaire. The Arbitral Tribunal rejected major monetary claims against the Authority and accepted counterclaims to deliver a net award of Rs 1,157.3 million (mn).
The second arbitration matter related to delay related losses escalation and prolongation expenses arising during project execution with claims in excess of Rs 29,317.9 million (mn). The Authority demonstrated lack of contractual entitlement insufficiency of evidence and non compliance with procedural requirements. The Tribunal substantially rejected the claims and after adjustment awarded a net sum of Rs 7,042.3 million (mn) in favour of the Authority.
Earlier the Authority had defended an arbitration concerning the six-laning of the Kamrej–Chalthan section in Gujarat where claims of Rs 1,744.9 million (mn) were largely dismissed and the Tribunal awarded only Rs 5.4 million (mn). These outcomes were presented as reinforcing the Authority's approach to enforcement of contractual obligations and protection of public resources. The rulings are expected to influence accountability and fiscal prudence in future highway project execution.