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NHAI plans to cancel bypass project contract

NHAI is planning to temporarily stop procedures to implement the proposed Kundannoor-Angamaly bypass, Kollam-Chengotta Road and Thiruvanathapuram Ring Road0 projects as state govt is yet to consider the request of NHAI to exempt GST and royalty for the constructions.

National Highways Authority of India’s (NHAI) move to cancel the contract for preparing DPR for three proposed projects in the state, will badly affect the proposed Kundannoor-Angamaly bypass project.

NHAI is planning to temporarily stop procedures to implement the proposed Kundannoor-Angamaly bypass, Kollam-Chengotta Road and Thiruvanathapuram Ring Road projects as state govt is yet to consider the request of NHAI to exempt GST and royalty for the constructions.

For many months, the project has been waiting for final nod from state govt for commencing land acquisition process.

Central govt, which has already agreed to bear the entire cost of construction and land acquisition for the bypass project, had demanded state govt to waive the state’s GST share of construction materials and royalties of stones and soil. But state govt is yet to take a final decision on this and it has affected the commencement of land acquisition for the much-awaited road development project.

NHAI source said that it is not practical for the authority to continue with the contract as state govt is yet to take a final decision on the project. “The contract firm is unable to proceed with their work for DPR. But once the govt takes a decision we can restart the procedures to prepare DPR,” said the source.

Alignment of the 44km long bypass road was approved by NHAI in Jan 2023. The road will begin from Karayamparambu on the northern side of Angamaly town and will end at Kundannoor Junction on NH 66.

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