Mint explainer: why the government is cracking down on ultra-low highway bids
According to ICRA, the financial impact will be significant. A contractor quoting 40% below the authority's estimate currently has to furnish total performance security of
According to ICRA, the financial impact will be significant. A contractor quoting 40% below the authority's estimate currently has to furnish total performance security of around 8%, but under the proposed rules this will increase to 11%. For an extremely aggressive 60% discounted bid, the total performance security requirement will rise to 21%, compared with only 12% under the existing norms.
The BriefWire