Low Bids, Poor Roads PMRDA Draws the Line at 20% Cutoff
In a bid to improve the quality of road infrastructure, the Pune Metropolitan Region Development Authority (PMRDA) has decided not to award contracts for road construction projects to contractors who quote more than 20% below the estimated project cost. PMRDA commissioner stated that this move comes after repeated instances where such underquoted bids led to poor execution, resulting in potholes and degraded road conditions within months. He emphasized that the focus is shifting from just awarding contracts to ensuring durable and quality infrastructure.
A senior official added that PMRDA will now evaluate both the technical expertise and financial strength of contractors during the bidding process, with a strong emphasis on performance monitoring. “If a tender comes in at over 20% below the estimated cost, we will scrutinize the proposal in detail and consult experts before making a final decision,” he said, reinforcing the authority’s commitment to long-term sustainability and better construction standards.
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