Highways body moves towards pre-qualification of firms

Our Bureau New Delhi | Updated on March 09, 2011


Highway developers can now apply to the National Highways Authority of India (NHAI) to get pre-qualified for projects that will be bid during a year. The NHAI has invited applications for annual pre-qualification (RFAQ) from companies.

They can apply for pre-qualification as a single entity or as a consortium. The companies that get pre-qualified at the RFAQ stage do not have to not submit detailed application for project specific qualification (RFQ) stage.

At present, for each project, NHAI invites requests for qualification – a process that takes three to four months.

“The applicant is required to indicate the estimated project cost for which he wishes to get pre-qualified. The estimated project cost shall be indicated in a multiple of Rs 50 crore starting from Rs 200 crore, for example Rs 200 crore, or Rs 250 crore, or Rs 300 crore and so on,” stated NHAI. The annual pre-qualification is aimed at deciding the firm's eligibility for a specified estimated project cost.

The NHAI has also indicated a list of projects – covering 10,000 km — it proposes to bid over the next one year.

“The NHAI has decided to stream-line and ease the process of pre-qualification of applicants for participating in the bid process of individual projects,” the highways body stated while inviting applications.

For RFAQ, developers can submit applications till April 22. The pre-qualification shall be valid till December 2011. The pre-qualification points will be applicable from January 1 to December 31 every year. This time period was decided because the audited annual reports of the companies are ready by September 31.

The move — a long standing demand of developers — is aimed at reducing cost, time and disputes in the bidding process.

The country's investigating agency — Central Bureau of Investigation – had flagged the issue of arbitrary decisions being taken at the request for qualification (RFQ) level.

It will also help NHAI in moving towards e-tendering at the financial bids level.


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Published on March 09, 2011
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