Ministry of Road Transport and Highways (MoRTH) has strengthened oversight of National Highways (NH) projects by formally defining catastrophic failures and linking such events to strict performance penalties for contractors and concessionaires. The move follows policy circulars that modify qualification criteria for engineering, procurement and construction projects and revise the rating of contractors and concessionaires working on NH projects. Under the revised rating framework, contractors will face a deduction of minus 30 marks for each instance of a catastrophic failure, a change intended to sharpen evaluation benchmarks and reflect the severity of construction and maintenance lapses. The deduction will apply during the contract period and affect future qualification and rating outcomes for both contractors and concessionaires. The circular sets out specific events that will qualify as catastrophic failures, including the collapse of any bridge, flyover, underpass or retaining wall during the contract or design period. The definition also covers the collapse of launching equipment or temporary support structures during construction if such an event results in loss of life, and it includes other major structural failures that compromise safety. Serious road damage is treated as catastrophic where a carriageway must be closed or diverted for repairs for a continuous stretch of 50 metres or more, or where multiple smaller damaged portions together exceed one per cent of the total project length. Such incidents are measured within the defect liability period or within five years, whichever is earlier, and will be recorded for rating purposes. Officials expect the tighter definitions and penalties to increase accountability, prompt closer monitoring and encourage more robust risk mitigation and quality assurance by project teams. The adjustments are likely to influence contractor behaviour, procurement strategies and the assessment of technical bids without altering project approvals or timelines.