The Ministry of Road Transport and Highways (MoRTH) has introduced revised norms for evaluating contractors and concessionaires engaged in National Highway (NH) projects, with the objective of strengthening quality oversight and improving accountability in highway construction.
Earlier, the contractor rating system primarily assessed performance based on general parameters relating to project execution, construction quality and adherence to timelines. However, the framework did not clearly define “catastrophic failures” or link such incidents to a structured penalty mechanism within contractor performance ratings.
To address this gap, the MoRTH has now formally defined “catastrophic failures” and linked them directly to contractor performance evaluations. Under the revised framework, incidents such as the collapse of bridges, flyovers, underpasses, retaining walls, tunnels or tunnel portals, whether during construction or operation, may be classified as catastrophic failures. Tunnel-related incidents resulting in human entrapment for more than 72 hours have also been included within this category.
The definition further covers failures occurring during project execution, including the collapse of launching girders, staging structures or other temporary construction systems, particularly where such incidents result in fatalities.
In addition, the framework includes major pavement failures, such as situations where a carriageway must be closed or diverted for repairs over a continuous stretch of 50 metres or more, or where damaged sections cumulatively exceed 1% of the total project length during the defect liability period or within five years of completion. Major failure of Pavement Quality Concrete (PQC) requiring full-depth reconstruction of more than 2% of the carriageway area within five years will also fall within this classification.
Under the revised contractor rating system, each instance of catastrophic failure will result in a deduction of 30 marks from the contractor’s performance score. As contractor ratings are taken into consideration while awarding future highway projects, such deductions may significantly affect a contractor’s eligibility for upcoming government contracts.
Contractors will remain responsible for such failures unless the incident is attributable to force majeure events. The final determination of whether an incident qualifies as a catastrophic failure will be made by the competent authority in the MoRTH, based on recommendations from the implementing agency responsible for the project.
The revised framework reflects the government’s broader effort to enhance construction quality, safety standards and accountability in national highway development.
In January this year, the National Highways Authority of India (NHAI) also introduced a comprehensive Performance Assessment Rating System for concessionaires.


