Release work done payments of Rs 400 cr in time bound manner: Contractors

Excelsior Correspondent

JAMMU, Sept 22: Contractors’ fraternity has appealed the Government to release the work done payments to the tune of approximately Rs 400 crore in time bound manner.
In an open letter addressed to Lt Governor of J&K Manoj Sinha, the contractors said that the current pandemic post long spell of disturbances since 5th August 2019 followed by harsh winter of (Oct 2019 – March 2020) has caused great financial distress among all business communities at large and the construction agencies in particular, thereby proportionately disturbing the works program of all ongoing works/projects/schemes in all sectors including centrally sponsored ones.
“Further construction works are facing huge crisis due to material shortage despite sky rocketing costs for same post Government action on mining and unclear policy on availability of materials. We have been further pushed to wall by the Government action by way of non-payment of our long pending work done payments despite the fact that contractors fraternity has always been shoulder to shoulder apolitically with the governments of all times to fulfill the slogan of development on ground,” they added.
They urged the LG to look into their issues and extend real handholding and capacity building by making PWD self-sufficient and releasing work done payments (CRF/centrally sponsored schemes etc.) in time bound manner, honoring and implementing Atmanirbhar Bharat circular/scheme in letter & spirit, streamlining payments of centrally sponsored schemes viz CRF etc by way of creating a chest like for languishing to clear outstanding liabilities & enable forward movement in balance works, release of security/retention money retained from payments so far, etc.
Contractors also asserted for release of performance Bank Guarantees proportionally on pro rata basis, introduction of bid declaration form instead of bid security for future works involving bid security of more than Rs 20 lakh, inclusion of the change in legislation and the price variation clauses in all current and upcoming contracts (with completion time of more than one year) to handhold contractors and enable revival of contractual obligations and economic mobility sustainably. They also urged the LG to issue directions to the Department to keep all contracts technically and administratively wetted being prerequisite.