Govt allows E-bank guarantees for Highway, Ropeway contracts
ROADS & HIGHWAYS

Govt allows E-bank guarantees for Highway, Ropeway contracts

The government has made revisions to the contracts for the construction of highways and ropeways, allowing bidders to provide electronic bank guarantees and surety bonds. According to an order from the Ministry of Road Transport and Highways, amendments have been approved for various clauses in the model concession agreements for Engineering, Procurement, and Construction (EPC), Hybrid Annuity Mode (HAM), and Build Operate Transfer (BOT) contracts.

Furthermore, the order states that in the case of existing contracts, such as road development, toll contracts, and ropeways, the requirement for a Bank Guarantee (BG) can be replaced with an Insurance Surety Bond.

However, if a BG is necessary as bid security or performance security and it is not feasible to provide an e-bank guarantee, the physical BG will continue to be accepted.

Also Read
MMRDA to levy TOD charge on new buildings near Metro 7
Delhi Metro Constructs Longest Phase-IV Tunnel


The government has made revisions to the contracts for the construction of highways and ropeways, allowing bidders to provide electronic bank guarantees and surety bonds. According to an order from the Ministry of Road Transport and Highways, amendments have been approved for various clauses in the model concession agreements for Engineering, Procurement, and Construction (EPC), Hybrid Annuity Mode (HAM), and Build Operate Transfer (BOT) contracts. Furthermore, the order states that in the case of existing contracts, such as road development, toll contracts, and ropeways, the requirement for a Bank Guarantee (BG) can be replaced with an Insurance Surety Bond. However, if a BG is necessary as bid security or performance security and it is not feasible to provide an e-bank guarantee, the physical BG will continue to be accepted. Also Read MMRDA to levy TOD charge on new buildings near Metro 7Delhi Metro Constructs Longest Phase-IV Tunnel

Related Stories

Gold Stories

Next Story
Infrastructure Urban

KONE Opens India's First Digital Experience Centre in Pune

KONE, a global elevator and escalator manufacturer, has inaugurated its first Digital Experience Centre (DEC) in India, located in Pune. The facility aims to showcase how artificial intelligence (AI), connectivity and data-driven technologies can enhance customer experiences and improve building operations.The centre was inaugurated by Jussi Herlin, Executive Vice Chair, KONE Corporation; Philippe Delorme, President and CEO, KONE; and Nandan Nilekani, Co-founder and Chairman of the Board, Infosys.Designed as an interactive customer environment, the facility demonstrates digital solutions cover..

Next Story
Infrastructure Urban

CII GreenCo Launches Circularity Guidelines for Indian Industry

The Confederation of Indian Industry (CII) GreenCo Council has launched the CII GreenCo Circularity Guidelines – Pilot Version at the 17th CII GreenCo Waste & Resource Management Summit 2026 in Chennai. The initiative aims to strengthen resource efficiency, waste reduction and circular economy practices across Indian manufacturing and process industries.The guidelines introduce a structured framework with circularity indices covering raw materials, consumables, packaging and other resource inputs. These indicators will help industries assess existing practices, identify opportunities to ..

Next Story
Infrastructure Energy

Global Electronics Association Launches IPC-1783-CO2E Standard

The Global Electronics Association has introduced IPC-1783-CO2E, a new international standard aimed at improving consistency, transparency and comparability in product carbon footprint reporting across the electronics manufacturing industry.The standard, titled International Standard for Data Collection and Reporting of CO2 Equivalent (CO2e) Emissions for the Electronics Manufacturing Supply Chain, provides industry-specific guidance for collecting, estimating and reporting carbon emissions data.With increasing regulatory requirements and customer expectations, electronics manufacturers face c..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code