Delhi govt approves one-time bitumen cost hike for PWD road projects

In view of a slowdown in road restoration projects due to the increasing cost of bitumen, the Delhi government has approved a one-time cost escalation proposal for the PWD, officials said on Tuesday.

The Public Works Department (PWD) has received approval from the Ministry of Road Transport and Highways (MoRTH) for all the projects starting from April this year to November.

“The price adjustment shall be admissible only for the bitumen component and shall be calculated strictly in accordance with the formula prescribed by MoRTH,” a PWD order said.

According to officials, due to the West Asia war, imports of bitumen material have been affected leading to a steep hike in prices which has slowed down the road repair projects across the national capital.

Last year, the central government had approved a fund request of Rs 803 crore to take up 152 road-related projects across Delhi covered under the Central Road and Infrastructure Fund (CRIF).

“In many projects, tenders had been floated and even work started on the ground; however, as the war broke out in Iran and the situation continues to be uncertain, the market was volatile, and the contractors could not continue due to the increasing costs,” an official added.

The PWD manages about 1,400 kilometres of roads in the capital. Out of this, tenders for work on 400 km have been floated that will be covered under the cost-escalation proposal. The Delhi government has initiated multiple projects aimed at reducing dust pollution, improving road quality, and easing traffic congestion.

Some of the longest stretches for which funds have been approved in West Delhi include a 16 km-long stretch of Najafgarh-Dhansa Road, a 5.75 km-long stretch of Outer Ring Road from Mangolpuri railway crossing to Keshavpuram drain and a 7.2 km-long stretch of Najafgarh-Jharoda Road, which will be taken up for road strengthening.

Also Read: SC asks Delhi Gymkhana Club members to raise management takeover concerns before HC

PWD Minister Parvesh Sahib Singh had earlier announced that these upgrades align with the city’s broader environmental and infrastructure goals.

CRIF is a scheme of the MORTH that provides funds to states and Union Territories for the development and maintenance of key roads and infrastructure.