The National Highways Authority of India (NHAI) has secured a favourable outcome in an arbitration dispute related to the Chittorgarh–Udaipur national highway project in Rajasthan. The tribunal rejected most of the claims submitted by the project contractor, limiting the potential impact on public funds.

The dispute concerns a 93.5-kilometre six-laning project connecting Udaipur and Chittorgarh. TRIL Roads had sought approximately Rs. 3.67 bn in damages and additional payments, including Rs. 2.38 bn for delays and higher costs incurred during the Covid period.

The tribunal’s decision represents a significant result for NHAI in a commercial dispute involving a major national infrastructure contract. Such cases commonly involve claims linked to construction delays, cost increases and changes in project conditions, making effective contract administration important for controlling financial exposure.

The outcome also forms part of NHAI’s wider record of arbitration decisions involving highway projects. In June 2026, the authority secured an award of Rs. 12.02 bn in the Tumkur–Chitradurga project in Karnataka.

In another case relating to the Bareilly–Sitapur toll project, NHAI successfully defended claims valued at Rs. 31.77 bn in July. The tribunal awarded Rs. 460 mn to settle that dispute, substantially below the amount claimed. Together, the outcomes indicate the authority’s continued focus on defending contractual positions and limiting liabilities in infrastructure disputes, while supporting the completion and operation of national highway projects.