Road ministry decides to double 'defect liability period' under EPC contracts to 10 years: Gadkari
Nitin Gadkari on Wednesday said the government has decided to double the 'defect liability period' to 10 years for contractors of engineering, procurement and construction (EPC) projects. Currently, under EPC projects, the responsibility for maintenance of national highways lies with the government after the defect liability period (5 years) is over.
«The quality of roads built under EPC mode is not good. The defect liability period under EPC mode is 5 years… and within 3 years, there are lots of problems on roads,» Gadkari said at an event here.
The road transport and highways minister noted that the roads built under BOT (build-operate-transfer) or HAM (Hybrid Annuity Model) mode are in good condition because the responsibility of maintenance of roads lies with the contractor and he has to pay the price.
«So now we have taken a decision, any road (built) under EPC mode, we will increase the defect liability period to 10 years from 5 years,» he said.
The minister noted that increasing the defect liability period for contractors will force them to make good quality roads.
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