Eligibility criteria to develop highway projects simplified by Centre
ROADS & HIGHWAYS

Eligibility criteria to develop highway projects simplified by Centre

Businesses that have built linear infrastructure including airport runways, railway tracks, container yards, metro rail and ports are eligible to compete on capital-intensive highway projects. This was made feasible after the centre loosened the requirements for eligibility that bidders for highway projects under the public private partnership (PPP) mode. However, the decision from the Ministry of Road Transport and Highways also stated that in order to build motorways under the Build, Operate, Transfer (BOT), and Hybrid Annuity Model (HAM) modes, bidders must have a credit rating of BBB and above. This new need has been added to the PPP project eligibility requirements.

Highways are vital infrastructure, thus the centre wants to make sure that only businesses with a track record of large-scale project completion are permitted to submit bids. This precaution is taken in order to prevent projects from being hampered by fly-by-night contractors who lack the necessary skills to complete them and who may submit unrealistic bids. Bidders must be able to meet the technical and financial requirements of the eligibility criteria. The bidder must have a minimum net worth requirement and have experience working on projects in the associated core and highways sectors. Also, businesses must guarantee that they have executed at least one similar project worth 20% of the total project cost.

It has been determined that the core sector for HAM mode, where the centre bears a portion of the cost, will include projects with the names Rural Infrastructure Development Fund (RIDF), Pradhan Mantri Gram Sadak Yojana (PMGSY) roads, link roads, city roads, rural roads, sector or municipality roads, real estate projects that demonstrate road development, and building of bridges or culverts, among others. Also, it has been decided that maintenance projects would not be evaluated under the HAM project eligibility requirements.

New requirements have been added for standalone specialised projects under BOT, which calls for a greater outlay of cash by the private concessionaire. The bidder must have finished at least one major Bridge, Road Over Bridge (RoB), or Flyover project in the ten financial years prior to the bid due date if the cost of a specialised project is more than Rs 10 billion. Also, it has been established that the finished bridge must have a span that is at least 50% longer than the longest span of the project's proposed structure.

Businesses that have built linear infrastructure including airport runways, railway tracks, container yards, metro rail and ports are eligible to compete on capital-intensive highway projects. This was made feasible after the centre loosened the requirements for eligibility that bidders for highway projects under the public private partnership (PPP) mode. However, the decision from the Ministry of Road Transport and Highways also stated that in order to build motorways under the Build, Operate, Transfer (BOT), and Hybrid Annuity Model (HAM) modes, bidders must have a credit rating of BBB and above. This new need has been added to the PPP project eligibility requirements. Highways are vital infrastructure, thus the centre wants to make sure that only businesses with a track record of large-scale project completion are permitted to submit bids. This precaution is taken in order to prevent projects from being hampered by fly-by-night contractors who lack the necessary skills to complete them and who may submit unrealistic bids. Bidders must be able to meet the technical and financial requirements of the eligibility criteria. The bidder must have a minimum net worth requirement and have experience working on projects in the associated core and highways sectors. Also, businesses must guarantee that they have executed at least one similar project worth 20% of the total project cost. It has been determined that the core sector for HAM mode, where the centre bears a portion of the cost, will include projects with the names Rural Infrastructure Development Fund (RIDF), Pradhan Mantri Gram Sadak Yojana (PMGSY) roads, link roads, city roads, rural roads, sector or municipality roads, real estate projects that demonstrate road development, and building of bridges or culverts, among others. Also, it has been decided that maintenance projects would not be evaluated under the HAM project eligibility requirements. New requirements have been added for standalone specialised projects under BOT, which calls for a greater outlay of cash by the private concessionaire. The bidder must have finished at least one major Bridge, Road Over Bridge (RoB), or Flyover project in the ten financial years prior to the bid due date if the cost of a specialised project is more than Rs 10 billion. Also, it has been established that the finished bridge must have a span that is at least 50% longer than the longest span of the project's proposed structure.

Next Story
Technology

Himachal Pradesh Hosts Workshop on AI for Good Governance

The Department of Digital Technologies and Governance (DDT&G), Government of Himachal Pradesh, in collaboration with the National e-Governance Division (NeGD) under the Ministry of Electronics and Information Technology (MeitY), organised a state-level workshop titled “AI for Good Governance: Driving Transparency, Efficiency, and Impact” on 20 May 2025 at the HP Secretariat, Shimla.The workshop aimed to enhance AI adoption in governance by sensitising over one hundred senior officials from various state departments. It highlighted AI’s role in data-driven policymaking, optimising ser..

Next Story
Infrastructure Urban

DPIIT Extends Timeline for Safety Order on Electrical Appliances

The Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, has extended the implementation timeline for the Safety of Household, Commercial and Similar Electrical Appliances (Quality Control) Order, 2025. This decision follows stakeholder consultations chaired by Union Minister of Commerce and Industry Shri Piyush Goyal.The revised Quality Control Order (QCO) will come into force on 19 March 2026 for domestic large and medium enterprises and foreign manufacturers. The QCO covers electrical appliances intended for household, commercial, or similar us..

Next Story
Infrastructure Transport

Mumbai Metro Lines Four and Four A Set For Trial Runs Soon

The Mumbai Metropolitan Region Development Authority (MMRDA) is preparing to launch trial runs on a key 10-kilometre stretch spanning ten stations from Cadbury to Gaimukh on Metro Lines Four and Four A. These stations include Cadbury, Majiwada, Kapurbawadi, Manpada, Tikuji Ni Wadi, Dongripada, Vijay Garden, Kasarvadavli, Gownipada, and Gaimukh.While the designated depot for Metro Lines Four and Four A is still under construction, the MMRDA has devised an interim plan involving inspection pits beyond the Gaimukh terminal to facilitate early testing.Metro Line Four, which stretches 32.32 kilomet..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?