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| The Zirakpur-Bathinda National Highway |
Centre terminates contract, says start process afresh
Chandigarh, June 24The four-laning of the Zirakpur-Bathinda national highway is set to be delayed by a year as the Union Ministry for Road Transport and Highways has decided to terminate the contract of the project given to two private companies.
"Ministry officials have conveyed to us at a meeting in Delhi to prepare for fresh tendering, which will take at least six to nine months as the process to terminate the existing contract has been set in motion," said Ashok Singla, Chief Engineer, PWD, Punjab.
The Rs 2,500-crore contract for four-laining of the 215-km-long highway, considered a lifeline for connectivity of the core Malwa region, was allotted in March last year.
"At the meeting, officials of both the companies informed the ministry that they would not take up the work on this project due to escalation in the prices of raw material used for road construction and unnecessary delay in getting various clearances," said Singla.
A decision on whether to forfeit Rs 50-crore security of both the companies would be taken by the ministry officials concerned. However, the companies have taken the plea that their security should be refunded. The PWD has been handling the project on behalf of the Union Ministry and the National Highway Authority of India.
To make a fresh beginning, a consultant would be appointed in a few days. "Immediately after appointing the consultant, a detailed project report will be prepared. Fresh financial model of the project will be prepared and the traffic load on the highway will be assessed afresh," said Singla.
After this, the project report would be sent to the Private Public Participation Appraisal Committee of the Union Government for clearance. "We are sure to prepare a fresh project report by July-end. Finally, this project will go for approval to the Cabinet Committee on Infrastructure, headed by the Prime Minster," he said, adding: "We hope to start the work early next year."
Hits Roadblock
- The Rs 2,500-crore contract for four-laining of the 215-km-long highway was allotted in March last year
- Contractors had refused to take up the work due to escalation in the prices of raw material and undue delay in getting clearances
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