NHAI suspends Megha Engineering from fresh bids for a year over lapses in Kerala highway project
Thiruvananthapuram: The National Highways Authority of India (NHAI) has suspended Megha Engineering & Infrastructures Limited (MEIL) from participating in any new tenders for one year, media reports said.
The action stems from the company’s failure to carry out proper slope protection and drainage works on the Chengala–Neeleshwaram stretch of National Highway 66 in Kerala, according to a Business Today report.
Show cause notice and penalty
MEIL has been served a show cause notice regarding the one-year debarment, which may also carry a financial penalty of up to ₹9 crore.
The company had been awarded the contract to widen a 77-kilometre stretch of NH-66 from Chengala–Neeleshwaram to Thaliparamba, under the Hybrid Annuity Model (HAM).
The HAM structure mandates the concessionaire to maintain the highway section for a 15-year period.
As both the promoter and concessionaire of the project, MEIL is now obligated to reconstruct the damaged slope protection at its own expense.
Expert committee formed for review
In response to the lapses, NHAI has constituted an expert committee to assess the situation.
The panel includes a senior scientist from the Central Road Research Institute (CRRI), a retired professor from IIT-Palakkad, and representatives from the Geological Survey of India (GSI).
The committee will examine the project’s design, evaluate construction quality, and suggest corrective measures.
The NHAI has emphasised that it is taking all necessary measures to uphold safety and accountability in both ongoing and upcoming infrastructure projects.
MMRDA scrapped MEIL tenders in May
Separately, in May, the Mumbai Metropolitan Region Development Authority (MMRDA) cancelled tenders worth ₹14,000 crore for two major infrastructure projects, following a Supreme Court intervention.
The tenders had controversially been awarded to MEIL despite it being the higher bidder.
L&T approaches Supreme Court
Engineering major L&T had approached the Supreme Court last month after MMRDA rejected its bids for two key projects under Mumbai’s coastal road initiative.
These included a road tunnel between Gaimukh and Fountain Hotel Junction, and an elevated road along the Thane–Ghodbunder corridor.
The tunnel road project had attracted bids from L&T, MEIL, and three other companies in July 2024.
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