3 weeks ago
NHAI Moves Against PNC Infratech After Lucknow-Kanpur Expressway Slippage
A brand-new road called the Lucknow-Kanpur Expressway opened for cars and trucks in July.
Just two weeks later, a part of the road began to sink and crack.
About 300 metres of the road was damaged near kilometre 64.
The company that built the road, PNC Infratech, is being held responsible.
The National Highways Authority of India, which looks after national highways, may stop PNC from building new roads for a while.
Some engineers and workers who looked after the project are not allowed to work on government road projects for two years.
Nobody pays tolls on the road until the damaged part is fixed.
PNC says its other road projects are fine and will continue.
A team from IIT Kharagpur, a famous engineering university, will study why the road broke.
PNC has faced problems before with other roads it built.
Slippage of about 300 metres was observed on July 26 near kilometre 64 of the 63-km Lucknow-Kanpur Expressway, two weeks after its July 13 inauguration.
NHAI has issued a notice proposing that PNC Infratech, the concessionaire, be declared a non-performer, which would bar it from future NHAI bids.
NHAI also proposes debarment of up to three years for responsible personnel, a penalty equal to 2 per cent of the performance security, and a downgrade of the concessionaire's Pavement Condition Index rating.
Toll collection is suspended until repairs are completed; NHAI estimates rectification costs at about Rs 3 crore and says toll losses will be recovered from the concessionaire.
PNC says there is 'no material impact' on its other projects, including two NH-927 projects worth a combined Rs 3,483 crore, while the episode follows earlier scrutiny over the Agra-Lucknow Expressway and a CBI-linked MoRTH tender disqualification.
- Who
- PNC Infratech, the concessionaire of Package-II of the Lucknow-Kanpur Expressway, and NHAI, which is pursuing disciplinary action; three project officials were debarred for two years.
- What
- A 300-metre stretch of the newly inaugurated expressway suffered pavement slippage, prompting NHAI to propose declaring PNC a non-performer, suspend tolls, and launch debarment and penalty proceedings.
- Where
- Near kilometre 64 on the right-hand carriageway of the 63-km Lucknow-Kanpur Expressway in Uttar Pradesh, India.
- When
- The expressway was inaugurated on July 13; slippage was observed on July 26; NHAI announced its disciplinary action on August 5.
- Why
- The pavement failed within two weeks of opening, and NHAI says the contractor and supervising officials were negligent in carrying out their responsibilities.
NHAI (regulator) position
PNC Infratech (contractor) position
Severity and consequences of the failure
NHAI (regulator) position
NHAI proposes declaring PNC a non-performer, which would bar it from future NHAI bids, and seeks penalties, repair costs, and recovery of toll losses.
PNC Infratech (contractor) position
PNC says there is 'no material impact' on its other projects and that it can continue bidding because it has not yet been formally debarred or declared a non-performer.
Accountability for the slippage
NHAI (regulator) position
NHAI has debarred three officials for two years, proposed debarment of up to three years for the head of pavement/highways, and ordered the concessionaire to repair the stretch at its own cost.
PNC Infratech (contractor) position
PNC notes the proceedings are at the notice stage and, under MoRTH rules, contracts concluded before a later non-performer declaration are not affected by that later order.
Key facts
- Expressway
- Lucknow-Kanpur Expressway (Package-II)
- Corridor length
- 63 km
- Slippage extent
- About 300 metres near kilometre 64, right-hand carriageway
- Timeline
- Inaugurated July 13; slippage observed July 26; NHAI action announced August 5
- Estimated rectification cost
- About Rs 3 crore
- Proposed penalty
- 2 per cent of performance security
- Officials debarred for two years
- Project Manager Vivek Kumar Gupta; Independent Engineer Team Leader Surendra Kumar; Resident Engineer Yatendra Kumar
- PNC's other NHAI projects
- Two NH-927 projects, combined bid project cost Rs 3,483 crore (excl. GST)
Sources
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