Do we require Independent Engineer (IE) services for Highways? (Part 1 of 2)
Ashok Bansal
F&B in Hospitality, Catering, Fine dining and Healthcare - speeding up the change to higher quality and profitability!
Which Sector/Government Department has allegedly the maximum number of cases pending Arbitration? Maximum wrt the numbers of cases or/and maximum wrt the gross amount claimed through these Arbitration cases. Any guesses?
Whereas such statistics are not in public domain, the Infrastructure/ Highways sector would be a close contender to the top position. With almost 1,32,000 kms of Highways and an ambitious plan to link the four corners of the country with state-of-the-art highways, apart from expanding the 2/4 lane highways to 6/above lanes, the amount of resources at stake run into thousands of Crores.
The sector needs reforms, badly. Presently, the DPRs are made by one Consulting Agency, say, C1. Once made, C1 checks out, with its fee. The Bids are called and the Contractor/Concessionaire makes the detailed design and constructs the Highway section. IE (Independent Engineer) services are engaged to check the design, submit periodic construction quality reports, and aide in first level dispute resolution.
However, the flaws in DPR are carried forward. The Concessionaires are strategically smart enough to carry forward the same and harness them as a ready source of Additional claims and delays from the hapless Ministry. The Independent Engineer Services are given on QCBC criteria – and most of the times, are quite happy to sign on the Variation statements as generated/ desired by the Concessionaire. And a strong case is made, resting on variations, delays, reasons for redundant idling of machinery and manpower due to the ‘wrong’ requirements in the DPR/ bid.
The use of Technology and making use of machines like MBIUs, NSVs etc by the IEs since year 2018 is a welcome step but does not vary the above scenario at all. The system and the stakes are loaded heavily against the Department and in favor of the Concessionaire. Yes, on the sidelines, the IEs and the Arbitrators do earn their cheese and cakes, buts that’s a different story!
Its high time the Policies and the System is changed. Afterall, its National wealth at stake across the lakhs of kms of Construction, Operations and Maintenance of Highways.