The National Highways Authority of India (NHAI) has decided to depute independent teams from its headquarters to carry out frequent quality checks of works at sites for projects which private players have bagged, quoting “abnormally low bids”.
According to a policy circular, such random quality checks will be carried out once in every 2-3 months during the construction period. The circular says “It has been observed that the quality of construction, at times, does not get due attention and deficiencies at various levels have been reported. This aspect is more prevalent in projects where the works were awarded to abnormally low quoted bids.”
The finance ministry in last November had issued a circular specifying that the bid documents won’t have any provision for additional bank guarantee or performance security for those quoting abnormally low prices for works.
Earlier, the provision of additional bank guarantee was there to keep a tab on such bidders to ensure they complete work while ensuring quality.
The finance ministry has specified that the competent authority concerned can decide about the additional bank guarantee and performance security only with the approval of the next higher authority.