Highways Ministry To Penalise Contractors For More Than One Accident In A Year On National Highways Stretch

Highways Ministry To Penalise Contractors For More Than One Accident In A Year On National Highways Stretch

Road Transport and Highways Secretary V Umashankar said the highways ministry has revised the BOT document, and now contractors will have to undertake crash management and take corrective steps if more than one accident happens in a particular period on a highway stretch built by them under the BOT model.

PTIUpdated: Monday, November 03, 2025, 10:41 AM IST
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New Delhi: To prevent road accidents and fatalities, the highways ministry has decided to penalise contractors if more than one accident happens in a year on a particular stretch of National Highways, built under the build-operate-transfer (BOT) model, a senior government official said on Sunday.

Road Transport and Highways Secretary V Umashankar said the highways ministry has revised the BOT document, and now contractors will have to undertake crash management and take corrective steps if more than one accident happens in a particular period on a highway stretch built by them under the BOT model.

"If more than one accident happens in a particular stretch, say 500 meters, then the contractor will face a penalty of Rs 25 lakh. Penalty will increase to Rs 50 lakh if an accident happens next year," he added.Umashankar said the highways ministry has 3500 accident-prone areas.National Highways projects are executed mainly in three modes: build-operate-transfer, hybrid annuity model (HAM) and engineering procurement and construction (EPC).

The concession period for projects, including maintenance, on the BOT model is 15 to 20 years and 15 years for HAM.The concessionaire is responsible for the maintenance of respective NH stretches within the concession period of the project.Only in the case of EPC projects, the defect liability period (DLP) is 5 years for the bituminous pavement works and 10 years for concrete pavement works.For toll-operate-transfer (TOT) and InvIT projects, the concession period, including maintenance, is 20 to 30 years.

Concession period for projects on operate-maintain-transfer (OMT) is generally 9 years.Umashankar also said the government will soon formally launch a cashless treatment scheme for road accident victims across India after making suitable modifications in the scheme by incorporating technical and project learning during the pilot project.Road accident victims will be entitled to cashless treatment of up to Rs 1.5 lakh for the first seven days at designated hospitals, the Ministry of Road Transport and Highways (MoRTH) had said in a notification issued in May this year.

The scheme is aimed at reducing the number of deaths arising from road accidents every year due to a delay in timely medical intervention."Any person being a victim of a road accident, arising out of the use of a motor vehicle, occurring on any road, shall be entitled to cashless treatment in accordance with the provisions of this scheme," the notification had said.

On March 14, 2024, the ministry launched a pilot programme in Chandigarh, which was later expanded to six states to provide cashless treatment to road accident victims.

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