Haryana PWD contractors seek relief over rising road project costs

Chandigarh: After the textile and leather export sectors, contractors associated with Haryana PWD (B&R) have now raised concerns over a looming financial crisis, claiming that escalating prices of bitumen and petroleum-linked construction materials have made execution of pending road projects financially unviable. The contractors have warned that road construction and re-carpeting works worth nearly ₹1,500 crore are at risk due to spiralling costs. According to the Haryana PWD Contractors Association, the actual execution cost of these projects has now risen close to ₹3,000 crore. Seeking urgent intervention, the association on Wednesday urged the Haryana govt to announce a special relief package to prevent contractors from facing bankruptcy. Ashok Jain, chairman of the Haryana PWD Contractors Association, said that road construction and maintenance activities across the state virtually came to a standstill because of the steep increase in prices of construction materials. Explaining the situation, Jain said that road re-carpeting contracts worth around ₹2,700 crore were awarded in the NCR region, out of which projects valued at nearly ₹1,200 crore have already been completed. However, he said the cost of executing the remaining ₹1,500 crore worth of projects has almost tripled due to the sharp rise in petroleum products and bitumen prices, making it impossible for contractors to continue work at previously agreed contract rates. "We have no option except to seek support from the govt. Our financial and human resources have been drained over the past three months. Instead of supporting our concerns, officials are pressuring contractors to complete the work orders," Jain alleged. He further stated that the association would hold meetings with concerned officials on Thursday and later seek an audience with the Haryana chief minister. If the matter remains unresolved at the state level, the association plans to approach the Central Govt as well. The contractors' body has demanded a special relief package, revision of existing contract rates, and a one-year extension for ongoing projects. Jain warned that unless timely decisions are taken, road construction and re-carpeting works across the region could face severe disruption. MSID: 131067011 413 |