Mumbai to follow Strict Road Contract Terms
The Brihanmumbai Municipal Corporation (BMC) is introducing a set of tender rules to stop illegal bidding encouraged from the builders in Mumbai. The civic body is ahead to takeover this tender contract and the security deposit given by the road contractors will only be given after the bidding documents are checked throughly. Satish Badve the chief engineer reported saying that the security deposits are given back to the contractors only to whom the bid has not been sanctioned. This condition will be implemented only after the small road construction is permitted.
The contractors who have been driven by the profits gained from the tenders are the ones who encourage the tender bid very less. The project estimation for the major road construction is Rs. 549Crore and also nearly Rs. 370Crores for the minor road construction. The major drawback in illegal tendering was traced out to be nearly Rs. 550 crores as a floating amount for the road construction. The tender has laid down strict contract terms wherein the contractors have to support the conditions and this applies when the bidding is less than 12% and this is expected to result in a breakthrough in expenses taken up by the contractors.
Source: The Times of India
Brihanmumbai Municipal Corporation, Civic body, Contractors, Mumbai, Road construction, Road contract Tenders
