+
PAC Demands CAG Audit of NHAI in Kerala
ROADS & HIGHWAYS

PAC Demands CAG Audit of NHAI in Kerala

The Parliament’s Public Accounts Committee (PAC) has issued a sharp critique of the National Highways Authority of India’s (NHAI) operations in Kerala, calling for an immediate audit by the Comptroller and Auditor General (CAG).
PAC Chairman and Congress MP K.C. Venugopal confirmed that the decision followed a detailed review conducted by the committee. The PAC’s latest report, tabled in Parliament, highlights serious concerns ranging from design flaws to questionable subcontracting practices.
The report revealed that NHAI itself admitted to a design flaw at Kooriyad in Malappuram district. The committee recommended strict action against officials responsible for such lapses and urged that negligent companies be blacklisted from future contracts.
Particular criticism was directed at subcontracting practices. The Kadambattukonam–Kazhakootam stretch of the National Highway was awarded for Rs 368.4 billion but subcontracted for just Rs 79.5 billion. A wider review of Kerala’s projects showed subcontracting averaged only 54 per cent of the original tender value, raising fears of compromised quality and weak accountability.
The PAC further recommended that the Ministry of Road Transport and Highways evaluate subcontracting practices and strengthen internal mechanisms for project design and approval within NHAI. To ensure greater transparency in toll collection, the committee also proposed the creation of a dedicated regulatory authority to determine toll rates.
Kerala’s highway projects have faced repeated setbacks due to land acquisition challenges, poor designs, and quality concerns. The NH-66 project, in particular, came under scrutiny in May when sections of the under-construction highway collapsed in three districts, sparking political controversy.
Both state Public Works Minister P.A. Mohammed Riyas and Chief Minister Pinarayi Vijayan were criticised for their handling of the crisis. Venugopal accused Vijayan of taking credit for the project until its collapse, then avoiding a site inspection despite being in Malappuram at the time.
In June, Vijayan and Riyas sought support in Delhi, securing assurances from Union Minister Nitin Gadkari that the damaged stretches would be rebuilt and the project delivered as a “New Year gift” for Kerala.
With the PAC now demanding a CAG audit, the controversy is expected to intensify, drawing political rivals into renewed confrontation over Kerala’s highway projects.

The Parliament’s Public Accounts Committee (PAC) has issued a sharp critique of the National Highways Authority of India’s (NHAI) operations in Kerala, calling for an immediate audit by the Comptroller and Auditor General (CAG).PAC Chairman and Congress MP K.C. Venugopal confirmed that the decision followed a detailed review conducted by the committee. The PAC’s latest report, tabled in Parliament, highlights serious concerns ranging from design flaws to questionable subcontracting practices.The report revealed that NHAI itself admitted to a design flaw at Kooriyad in Malappuram district. The committee recommended strict action against officials responsible for such lapses and urged that negligent companies be blacklisted from future contracts.Particular criticism was directed at subcontracting practices. The Kadambattukonam–Kazhakootam stretch of the National Highway was awarded for Rs 368.4 billion but subcontracted for just Rs 79.5 billion. A wider review of Kerala’s projects showed subcontracting averaged only 54 per cent of the original tender value, raising fears of compromised quality and weak accountability.The PAC further recommended that the Ministry of Road Transport and Highways evaluate subcontracting practices and strengthen internal mechanisms for project design and approval within NHAI. To ensure greater transparency in toll collection, the committee also proposed the creation of a dedicated regulatory authority to determine toll rates.Kerala’s highway projects have faced repeated setbacks due to land acquisition challenges, poor designs, and quality concerns. The NH-66 project, in particular, came under scrutiny in May when sections of the under-construction highway collapsed in three districts, sparking political controversy.Both state Public Works Minister P.A. Mohammed Riyas and Chief Minister Pinarayi Vijayan were criticised for their handling of the crisis. Venugopal accused Vijayan of taking credit for the project until its collapse, then avoiding a site inspection despite being in Malappuram at the time.In June, Vijayan and Riyas sought support in Delhi, securing assurances from Union Minister Nitin Gadkari that the damaged stretches would be rebuilt and the project delivered as a “New Year gift” for Kerala.With the PAC now demanding a CAG audit, the controversy is expected to intensify, drawing political rivals into renewed confrontation over Kerala’s highway projects.

Related Stories

Gold Stories

Next Story
Products

Interio by Godrej launches modular workplace solutions

Interio by Godrej has launched Workscapes, a modular workplace solutions category designed to help organisations configure and adapt workspaces to changing requirements. The portfolio combines mobile and compatible furniture and support elements that can be rearranged across different work modes without changes to fixed layouts.Workscapes includes Collaboration Tables, Privacy Solutions, Mobile Markerboards and Space Dividers, Power Solutions, Storage and Support Elements, Meeting and Presentation Tools, and Seating Elements. The range is designed for focused work, collaboration, informal disc..

Next Story
Infrastructure Urban

CAFE-III Gives Auto Industry Investment Clarity

The government’s new Corporate Average Fuel Economy (CAFE-III) norms have provided the automobile industry with a clearer framework for technology investments, according to industry representatives. The framework seeks to balance environmental objectives with flexibility for manufacturers while encouraging the adoption of flex-fuel vehicles and biofuels. Society of Indian Automobile Manufacturers (SIAM) President Shenu Agarwal said the five-year framework would give automakers greater predictability to plan investments and accelerate innovation. He said the regulation established annual targ..

Next Story
Infrastructure Energy

Mines Ministry to Auction Two Offshore Mineral Blocks in Andaman Sea

The Ministry of Mines will launch an auction of two offshore mineral blocks in the Andaman Sea on Thursday, seeking to unlock India’s offshore mineral potential and strengthen long-term mineral resource security. The blocks will be offered under a composite licence, which permits exploration and development activities in accordance with the applicable regulatory framework. The ministry said the auction was intended to encourage systematic exploration, attract investment and promote the use of advanced technologies for offshore mineral exploration and development. The initiative is also aimed..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code