NEW DELHI: Amid a significant rise in requests from various government organisations to execute road infrastructure projects outside its regular mandate, the National Highways Authority of India (NHAI) has introduced a comprehensive policy framework to streamline the execution of such projects on behalf of Central and state government departments, public sector agencies and other entities.
According to the standard operating procedure (SOP) prepared by the Authority, the move aims to ensure transparency, accountability and uniformity in the execution of "deposit works".
Unlike projects funded by the Ministry of Road Transport and Highways (MoRTH), deposit works are financed entirely by the sponsoring government agency or organisation requesting NHAI to execute them.
As per the policy document, the sponsoring organisation will bear 100 per cent of the project cost and provide the funds in advance before work begins. In return, NHAI will charge a fee of 3–5 per cent of the project's civil cost, although this may be waived at the discretion of the NHAI Chairman.
"The new policy is designed to establish a clear, transparent, consistent and uniform mechanism for granting approvals, ensuring that projects are executed in accordance with NHAI's established standards of quality, safety and project management. The adoption of a standardised procedure will facilitate efficient decision-making, ensure uniformity in processes across NHAI, and strengthen accountability and transparency," officials said.
Several government agencies are increasingly seeking NHAI's expertise to implement road connectivity projects, flyovers, bridges, approach roads, interchanges and other transport infrastructure.
The SOP clearly defines the approval process, identifying the competent authorities responsible for sanctioning projects and approving subsequent revisions. It also prescribes detailed procedures for preparing cost estimates, obtaining administrative approvals and managing expenditure during project execution.
Under the SOP, the sponsoring agency must submit a formal proposal outlining the scope, concept and objectives of the proposed work. The proposal will undergo technical and administrative scrutiny before being considered for approval.
A key feature of the policy is its emphasis on financial discipline. It lays down procedures for dealing with cost escalations, revised estimates and additional approvals if project costs exceed sanctioned limits during execution.
To strengthen project governance, the document assigns specific responsibilities to Regional Offices, Project Directors and other field officials for supervision, contract management and quality assurance. It also mandates continuous monitoring to ensure projects meet prescribed technical standards and are completed within approved timelines.
