BackRoad projects worth Rs25,399 crore stuck in disputes
The minister of state for tranportation and highways said 112 cases are pending under arbitration
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New Delhi: Road projects worth ₹ 25,399 crore are stuck in disputes between developers and highways regulator National Highways Authority of India (NHAI), the Parliament was informed on Thursday.
“112 cases involving ₹ 25,398.76 crore are pending under arbitration between NHAI and contractors/concessionaires," minister of state for road transport and highways Pon Radhakrishnan said in written reply to a Lok Sabha question.
The minister said NHAI has set up a high-level independent body for one time settlement of old cases pending in courts. “NHAI has set up a high level independent settlement advisory committee (ISAC) under the chairmanship of former justice, Delhi high court for one time settlement of old cases pending with various courts of law," Radhakrishnan said.
“The settlement negotiation is carried out by another committee comprising three chief general managers of NHAI. Therefore, the matter is placed before ISAC. Depending on the amount involved, the recommendations of the ISAC are placed before the NHAI board or its executive committee for final approval of settlement," he added.
Earlier, as part of corrective measures to boost the road sector, the NHAI in a white paper had sought greater functional autonomy and empowerment to chart out its own course to achieve targets. The white paper suggested “power to NHAI to carry out necessary changes in project documentation, adoption of market oriented delivery mechanism if market responds and alternate strategies for commercially non-viable projects and stretches which are critical in completion of grids."
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