Highway transport ministry: Centre proposes mandating use of value saving strategies to construct highways

“It has been established that the financial savings realized by endeavor worth engineering workouts could be within the order of 10-15 per cent of the price of the initially designed undertaking,” a discover from the transport ministry stated whereas citing a World Financial institution report on the Indian Highway Building Business.

It’s being proposed that worth engineering shall be assigned as one of many process within the Phrases of Reference (ToR) for Feasibility Research and Detailed Engineering Initiatives. In Inception Report itself there shall be a Chapter concerning Worth Engineering, by which Advisor shall embody the potential and undertaking particular worth engineering facets recognized by the respective area specialists primarily based on web site reconnaissance surveys.

The transport ministry famous {that a} want is more and more being felt to undertake worth engineering practices in design, development and upkeep with reference to use of supplies and know-how. That is being thought-about as a significant step to satisfy the sustainable growth of the Nationwide Freeway (NH) community in a value efficient method. It is going to additionally result in improved sturdiness and security, greater high quality and a discount in upkeep.

In accordance with the discover, the present fashions beneath which freeway growth tasks are bid out have the potential that the Contractor or the Concessionaire to undertake designs and development methodologies to go well with the necessities of the undertaking and likewise convey down the price.

However regardless of the facilitative provision for worth engineering, contractors or concessionaires, out of a fear that the authorities would take antagonistic views about any different applied sciences, keep away from any deviations from the specs/applied sciences hunted for within the bid paperwork.

Additional, presently there aren’t any prevailing contractual facilitation for worth engineering in NH contracts which might compel the contractor to undertake worth engineering.