Controversy on over billing slows down progress on Chenani-Nashri Tunnel Project

Nishikant Khajuria

An inside view of Chenani-Nashri tunnel.
An inside view of Chenani-Nashri tunnel.

JAMMU, Oct 29: National Highway Authority of India (NHAI) is learnt to have taken cognizance of deliberate slowing down physical progress on Chenani-Nashri Tunnel Project as a major controversy between the Main Contractor and the Developer has been casting shadow over pace of the ongoing work.
According to reliable sources, the Project Developer, M/s IL&FS Transportation Network Limited and Contractor M/s Leighton Contractors (India) Pvt Ltd, have locked horns on the issue of alleged over-billing while the controversy has considerably slowed down progress of the Project, which has May 22, 2016 deadline.
While IL&FS  has squeezed the flow of payments following the controversy, the Leighton on the other hand has resorted to cost cutting measures, such as reduction in manpower and executing work in single shift only, sources said.
Due to slowing down of the progress, the excavation of the main tunnel, which was earlier likely to be completed by the end of next month,  may take around  three months for completion, sources explained.
Taking cognizance of deliberate slowing down of the work, the National Highway Authority of India Ltd (NHAI), which is the apex authority,  has issued notice to M/s IL&FS Transportation Work  to submit its reply on show cause within a fortnight, sources informed the Excelsior.
Pertinent to mention here that the Chenani-Nashri tunnel project, costing Rs 2519 crores, is part of proposed four-laning of Jammu-Srinagar National Highway and will act as an all-weather alternative to the existing NHAI section connecting Chenani in Udhampur with Nashri in Ramban district. It will also reduce the existing road distance between the two points from 41 kms to 10.89 kms.
Started on May 23, 2012, Rs 1732 crores were spent upto April 2014 on pre-construction and construction activities on this single tube Main Tunnel, which has 9.35 meters carriageway with approach road of 1350 meters on South and 563 meters on North.
So far, around 70 percent physical progress in work on 9 km long two- lane Main tunnel has been achieved.  Heading and Benching have registered a progress of 80 percent and 67 percent, respectively while 45  percent of its Final Lining has been completed.
While the things were moving in right direction with very good pace of work, sources said that the controversy erupted last month after the flash floods.  Citing losses due to the natural calamity and frequent strikes by labourers, M/s Leighton raised some bills and claimed the payments from IL&FS, sources informed adding that even extra payments were allegedly received in some cases without execution of work at ground level.
After the IL&FS came to know about extra payments, sources said that  M/s Leighton was taken to task by squeezing the flow of money. The situation forced M/s Leighton to resort to cost cutting, which included shunting out of  some highly paid foreigners in Engineering and others wings of the company, besides reducing the work time from 24 hour to single shift, sources explained.
Due to the emerged situation, the excavation of bi directional 8983 mtrs long Main Tunnel, which was to be completed by the ending of next month, may take around three months. So far 7835 mtrs tunnel has been excavated and the pace of progress is around 400 mtrs per month, sources explained.
If the stalemate between Main contractor M/s Leighton and Developer IL&FS continues, the pace of progress is likely to suffer more on the  Chenani-Nashri Tunnel Project, which was earlier predicted to be completed ahead of the schedule.

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