Over 670 Road Projects behind schedule, Minister informs Parliament
ROADS & HIGHWAYS

Over 670 Road Projects behind schedule, Minister informs Parliament

According to a statement made by Minister for Road, Transport and Highways, Nitin Gadkari, in the Lok Sabha, there are a total of 1,612 road projects currently under construction across the country, including in Tamil Nadu, as of June 30, 2023. Out of these, 674 projects have experienced delays in their original schedules due to various reasons.

However, Minister Gadkari clarified that not all of the delayed projects are subject to cost escalation. The payment for price escalation is based on the contract conditions, and the actual amount of such escalation and any increase in project cost can only be determined upon the project's actual completion and final settlement of bills.

In cases where the delay can be attributed to the contractor, penalties are imposed, and price escalation is not paid. Therefore, there is no additional cost incurred due to such delays.

To ensure efficient progress, the ministry actively monitors the national highway projects in close collaboration with project implementing agencies, state governments, and contractors/developers. Periodic reviews of the projects are conducted at various levels, and several measures are implemented to enhance the liquidity of funds available to contractors/developers and expedite the project's progress.

According to a statement made by Minister for Road, Transport and Highways, Nitin Gadkari, in the Lok Sabha, there are a total of 1,612 road projects currently under construction across the country, including in Tamil Nadu, as of June 30, 2023. Out of these, 674 projects have experienced delays in their original schedules due to various reasons.However, Minister Gadkari clarified that not all of the delayed projects are subject to cost escalation. The payment for price escalation is based on the contract conditions, and the actual amount of such escalation and any increase in project cost can only be determined upon the project's actual completion and final settlement of bills.In cases where the delay can be attributed to the contractor, penalties are imposed, and price escalation is not paid. Therefore, there is no additional cost incurred due to such delays.To ensure efficient progress, the ministry actively monitors the national highway projects in close collaboration with project implementing agencies, state governments, and contractors/developers. Periodic reviews of the projects are conducted at various levels, and several measures are implemented to enhance the liquidity of funds available to contractors/developers and expedite the project's progress.

Next Story
Infrastructure Transport

Cabinet Approves Key Highway and Rail Projects in Bihar Region

The Union Cabinet on Wednesday approved the four-laning of the 84.2-km Mokama-Munger section of the Buxar-Bhagalpur high-speed corridor, a key industrial region in poll-bound Bihar. The Cabinet also sanctioned the doubling of the 177-km Bhagalpur-Dumka-Rampurhat railway line, which passes through Bihar, Jharkhand, and West Bengal, at a cost of Rs 31.7 billion.The Rs 44.5 billion highway project will be constructed under the hybrid annuity model, a variant of public-private partnership. The Mokama-Munger stretch was the only remaining two-lane section of the 363-km Buxar-Bhagalpur corridor. Fou..

Next Story
Infrastructure Transport

NGT Issues Notice on Bengaluru Twin Tunnel Project

The National Green Tribunal (NGT) on Wednesday issued notices in response to a petition filed by Bengaluru Praja Vedike and others, challenging the Bengaluru twin tunnel road project. Petitioners claim the project was “hastily announced” and bypassed mandatory environmental impact assessment procedures.Notices have been served to the Karnataka Government, Greater Bengaluru Authority, State Environment Impact Assessment Authority (SEIAA), Bengaluru Smart Infrastructure Ltd (B-SMILE), the Union Ministry of Environment, Forest and Climate Change, and project consultants.The 16.74-km twin-tube..

Next Story
Real Estate

India’s Residential Sales to Dip Slightly in FY26

Residential sales in India’s seven major cities are projected to decline by up to 3 per cent year-on-year in FY26 to 620–640 million square feet (msf), amid a moderation in sales velocity, according to ratings agency Icra.In FY25, sales stood at 643 msf, down 8 per cent YoY, following a sharp contraction in new launches and moderated demand in the affordable and mid-income segments. This slowdown came after the sector posted a robust compound annual growth rate of 26 per cent in area sales between FY22 and FY24.Icra noted: “Having seen a strong upcycle, the sector entered an equilibrium ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?